South Korea Courts Investors to Turbo-Charge its Content Industry: ‘There is More Growth to Come’

As someone who has spent a significant amount of time immersed in the world of entertainment and media, I find the U-Knock discussions both enlightening and inspiring. The innovative ideas and projects presented at this event truly showcase the boundless creativity and ingenuity that exists within the global content industry.

South Korea ranks among the globe’s most vibrant destinations for exporting a wide range of entertainment goods, including K-pop artists, films, television series, social media influencers, and webcomics.

However, there is room for South Korea to expand its media and entertainment market by welcoming more foreign investment and forming larger collaborations with American and international media giants. This was a significant point highlighted at the U-Knock: International Content Investment Forum 2024, which took place on November 7 in Las Vegas and was organized by South Korea’s Ministry of Culture, Sports and Tourism and its Korea Creative Content Agency.

The meeting assembled content creators, vendors, financiers, and tech companies to deliberate on the volatile nature of the international content market and strategies for sustaining rapid growth in South Korea’s sector. The objective is to facilitate enduring partnerships between government officials and industry leaders to draw investment into the content industry, as stated by Jin Jae-Young, head of the content industry financial support division at the Ministry of Culture, Sports and Tourism.

Sung Chul Paul Patrick LaValley, the head of Redbird Capital, emphasized to the crowd that it’s essential for South Korean leaders to make the process of conducting business within their country more understandable for executives originating from the West, by simplifying and clarifying the procedures involved.

In their discussion, LaValley mentioned that it’s simpler for people to envision conducting business in countries like the U.K., France, or Netherlands. To effectively promote South Korea as a favorable business destination, we require a Chief Marketing Officer who can articulate why investing time and resources into South Korea offers a good return on investment (ROI).

LaValley highlighted the commitment of automaker Hyundai, demonstrated through their establishment of manufacturing plants in South Carolina and other locations, as a clear indication of their determination to compete significantly in the U.S. market.

LaValley stated that the U.S. auto industry considers South Korea as a permanent fixture. The more top talent and leading companies South Korea sends over, the stronger this sentiment becomes.

On a bright note, South Korea boasts a vibrant youthful energy, according to LaValley. The majority of its entertainment industry is controlled by companies that have been operating for no more than 2-3 decades. This is an advantage when going head-to-head with established giants like Disney and Warner Bros., which have centuries of history behind them.

Companies specializing in K-content possess an inherent edge, so leverage their youthful energy to your benefit,” he suggested.

Vania Schlogel, founder and managing partner of Atwater Capital based in Los Angeles, highlighted upcoming trends that will further increase the worth of K-content in the future. It’s been demonstrated that South Korean-made dramas and telenovelas have gained global popularity. Moreover, they draw a dedicated and devoted fan base.

Currently, purchasing Korean content is beneficial for several reasons. Firstly, it’s typically produced at a lower per-unit economic cost compared to Los Angeles productions. This makes it an attractive choice. Secondly, if you’re a streamer, it significantly boosts viewer engagement. As Schlogel mentioned, “Squid Game” or “Hellbound,” for example, generate high levels of engagement, which in turn increases advertising revenues. In essence, these engaging shows drive both viewership and ad income.

South Korea Courts Investors to Turbo-Charge its Content Industry: ‘There is More Growth to Come’

Additionally, South Korean businesses equipped with necessary resources are increasingly delving into content creation, coinciding with shifting trends and models of negotiations in streaming services. This shift involves greater discussions about rights ownership and associated activities that can help content creators realize profits.

As a passionate advocate for the longevity of independent content, I firmly believe it’s crucial for creators and producers to maintain some degree of ancillary rights or rights preservation at the very least. This means that if we, as content creators, manage to produce a hit show on a technology platform, we should also be partaking in the value that this success brings to that platform.

Simon Pulman, a partner at Pryor Cashman law firm and head of its media and entertainment department, underscored the importance of being well-prepared when conducting business internationally. In simpler terms, small details in contracts can restrict creators and owners for extended periods, potentially leading to financial loss or disadvantage.

During an engaging discussion, Pulman cautioned that Hollywood often strives to acquire as many rights as it can. This event featured Kara Petit, a CAA agent focusing on Korean content, Sebastian Lee, president of Entermedia Pictures and co-executive producer for Apple TV+’s “Pachinko,” and the series’ stars Justin Chon and Minha Kim, who were moderated by Lee in another session.

When negotiating with major studios and streaming platforms, it’s typical for the initial proposal to be quite extensive and limiting, Pulman pointed out. He emphasized that content creators often have more success entering discussions with a project built around an existing brand or property, rather than just a concept or speculative script.

Pulman stated that you can’t keep the rights if you create a pitch or spec. It’s generally simpler to do so when it’s based on something that has been previously created.

Petit emphasized Pulman’s recommendation. Prior to engaging in any deal, she suggested they should communicate, explaining that she has had to convey disappointing news to clients who were unaware they had given up the option for revisions or adaptations in their local language for their programs.

At U-Knock meetings, there was a blend of broad perspectives about the worldwide content industry and detailed instances of innovation from South Korea. Despite the warnings and constructive feedback given, participants continue to be optimistic about South Korea’s potential to increase its influence in content, making it a significant player in both business and culture.

“I don’t think we’re anywhere near the peak. There is more growth to come,” Pulman said.

Among other highlights:

Sunggoo Lee, the CEO of Vlast, shared insights about the future of entertainment through their “Plave” franchise, which generates “virtual idols,” or K-pop stars that are virtually trained by humans and reside exclusively in the digital realm. The innovative virtual reality (VR) technology enables fans to engage with these characters more intimately, for instance, participating in dance competitions together.

As a film enthusiast, I’m thrilled about the “Plave” virtual K-pop group, which streams live performances on YouTube twice a week. Being behind the scenes, I can tell you that we’re meticulously crafting an array of virtual games and interactive elements using advanced AI tools and real-time graphic rendering technology to foster fan engagement.

“They’ll get better and better over time,” Lee said.

As a passionate cinephile, I’d love to share my thoughts on a fascinating conversation I recently had with WonWoo Park, the mastermind behind “The Masked Singer.” We delved into his journey witnessing this show skyrocket to fame not just in the U.S., but across various nations. But the real excitement came when he started brainstorming ideas for upcoming projects!

Park mentioned that he frequently seeks inspiration from an unusually traditional information source. “I scan book titles,” Park explained via a translator, “and I find innovative thoughts.

Maria Park, the Vice President and head of corporate development at video game creator Krafton, recently advocated for South Korea’s gaming infrastructure and its groundbreaking contributions to mobile and online gaming. According to her, gaming offers an exceptional experience that provides users with a feeling of accomplishment and satisfaction. She pointed out that South Korean narrative in gaming draws from a distinctive yet relatable blend of Eastern and Western perspectives. In her words, “Games are characterized by their high risk and high reward nature.

Jay Ahn, holding the position of VP for IPX Line Friends America, enthusiastically discussed the company’s achievements in retail for their collection of 11 adorable animated animal characters known as Line Friends. Currently, the company is engrossed in creating animated series and games featuring these characters. They currently operate stores selling a wide variety of merchandise in locations such as Seoul, Tokyo’s Shibuya shopping district, New York, Hollywood, and soon, another store will open at University City’s CityWalk.

2024-11-09 04:17

South Korea Courts Investors to Turbo-Charge its Content Industry: ‘There is More Growth to Come’

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