ENTERTAINMENT
Kakao Entertainment and SM Entertainment launched an integrated corporation in North America
Kakao Entertainment (CEO Kim Seong-soo, Lee Jin-soo) announced on the 1st that it would launch a local integrated corporation in North America with SM Entertainment (CEO Jang Cheol-hyuk). SM Entertainment's global IP and production capabilities, Kakao Entertainment's music/record distribution network and multi-label system, etc. will focus on the core capabilities of both companies to create strong synergy. With North America, the center of the world's entertainment industry, as its core base, it plans to secure a solid foundation for business cooperation and know-how, and accelerate its advance into global markets such as Europe. Through this, the goal is to firmly establish itself as a global K-pop key player and lead the expansion of exports of K-culture and strengthen its global status.
Through the launch of an integrated corporation in North America, the plan is to accelerate the global advancement of artists belonging to both companies, while actively developing and investing in new IPs to further enhance the competitiveness of the global music business. First, the global activities of artists belonging to both companies are gaining momentum. It plans to systematically build a global 360-degree management system and provide omnidirectional support for artists' global local activities such as album releases, performances, broadcasting, and promotions. By combining the global network capabilities of both companies, the company plans to focus on strengthening its network with local experts, including signing partnerships with leading global entertainment companies. As Starship Entertainment Ive under Kakao Entertainment and SM Entertainment's Aespa have already announced plans to expand their global activities, including in North America, by the end of this year, they will further expand communication with the global fandom centering on the integrated corporation and expand their activities in various ways to become global players. He plans to solidify his position as an artist.
It also focuses its capabilities on discovering local artists and IPs in North America. We plan to seek ways to discover local artists with skills and talents from various angles, and make strategic investments to discover and develop global IPs, such as establishing partnerships with overseas labels. In addition, by further expanding collaboration with local partners such as leading global record labels and distribution platforms, they will focus on strengthening their distribution competitiveness in the global music market, including North America.
The representative of the integrated corporation will be Jang Yoon-joong, CEO of Kakao Entertainment America. CEO Jang Yoon-joong, who is in charge of Global Strategy Officer (GSO) of Kakao Entertainment and Chief Business Officer (CBO) of SM Entertainment, established an integrated corporation based on a solid network with major partners in the global music industry. It plans to create synergy in global business by combining the strengths of both companies.
CEO Jang Yoon-joong said, “Through the North American integrated corporation, we will accelerate the global advancement and growth of Kakao Entertainment and SM Entertainment’s artists, and based on this, we will expand the growth potential of Kakao Entertainment’s music business, which encompasses the planning, production, and distribution of music and artist IP, to the global market. I will prove it,” he said.
The two companies plan to integrate the existing roles of Kakao Entertainment America and SM Entertainment USA into the North American integrated corporation, and for this purpose, detailed procedures will be completed quickly within this year.
Following the launch of the North American integrated corporation, the three companies Kakao, Kakao Entertainment, and SM Entertainment are speeding up the materialization of additional business cooperation plans. It plans to visualize various global projects that combine Kakao Entertainment's IP value chain, such as music, story, and media, with SM's music and artist IP, targeting the global market as well as North America.
Reporter Kim Ji-won, Ten Asia bella@tenasia.co.kr
