Rise of a new media content group in Korea, Naver
FYI, for those who are not familiar with the companies that are going to appear in this article:
Naver: Naver is a South Korean Internet service company and operates the largest portal site in South Korea.
Studio Dragon: is a South Korean drama production, marketing, and distribution company under CJ ENM's E&M division. It is known for famous K-dramas such as “Crush Landing On you”, “It’s Okay To Not Be Okay”.
Recently, Naver signed a stock exchange contract with three of the CJ group’s subsidiary companies, including CJ ENM and Studio Dragon.
(source: Naver, CJ)
(source: YG, SM)
Naver, who secured a stake in YG Entertainment last year, also secured a stake in SM Entertainment earlier this year. In the second half of 2020, by securing shares of CJ ENM and Studio Dragon, it has possessed the core competency to enter the global media content market based on Korean content.
In April of this year, through “Beyond Live”, an artist performance channel created in collaboration with SM Entertainment, performances by Korean artists were provided as an online paid service, and it is reported that it generated USD 2.1 million in 2 hours. Naver announced that it will provide CJ ENM content to the Asian market through “V Live,” an influential video platform in the Japanese and Southeast Asian markets. The synergy with the rich webtoon IP that Naver holds is also attracting great attention from the entertainment industry. Naver webtoon's global MAU(Monthly-Active-Users) reach 67 million. Experts are forecasting if the webtoon IP and CJ ENM's global content production insights are combined, a new OTT service with the greatest potential in Asia will be possible.
Naver is a latecomer in the OTT market, but by forming a quick alliance and good relationships with domestic and overseas content producers, it has captured an advantageous position in the global OTT market beyond Korea.
In addition, Naver has the possibility of launching a new OTT service through ‘Line’, a global messenger app that Naver owns. Therefore, it is expected to compete with Netflix through a multi-channel strategy. Look forward to seeing whether Naver's content business can develop into a global OTT service.
(source: Line, Naver)
article source: https://www.asiae.co.kr/article/2020101511420702988