The Economics of Okay-pop – Half 9: The manufacturing system of Okay-pop – Music Enterprise Analysis

The Economics of Okay-pop – Half 9: The manufacturing system of Okay-pop – Music Enterprise Analysis


Okay-pop is not only a brand new music style, however a manufacturing system that, traditionally talking, is most similar to New York’s Tin Pan Alley within the late 19th century or the Brill Constructing pop of the Sixties. The Okay-pop manufacturing system is a collaborative value-creation community that features artist and repertoire (A&R), an intensive, long-term coaching programme, songwriting and music manufacturing, an built-in advertising mannequin, and fan engagement actions. On this a part of the weblog sequence, we are going to now analyse this manufacturing system intimately.

The Economics of Okay-pop – Half 9: The manufacturing system of Okay-pop

A&R: Expertise recruitment

The recruitment of recent expertise for the Okay-pop {industry} has given rise to a whole ecosystem wherein auditions and preparatory programs are frequently provided. Broadly talking, three completely different recruitment paths for Okay-pop artists might be recognized.[1]

  1. The 4 main Okay-pop businesses maintain auditions on a weekly or month-to-month foundation, not solely in South Korea but additionally in neighbouring Asian international locations and past. For instance, SM Leisure’s web site lists auditions working from January to March 2026 in all main cities in South Korea, in addition to in lots of Chinese language and Japanese cities, in Bangkok, Brisbane, Sydney, Los Angeles and New Jersey, and you may register right away through the web site.[2] Locations at auditions are extremely sought-after. In line with media studies, just one in a thousand candidates is invited to SM Leisure’s auditions. At smaller businesses, this ratio stands at one in 250 functions.[3]
  2.  Along with in-person auditions, JYP Leisure additionally presents on-line auditions on its web site, the place candidates can add their movies for analysis by a jury.[4] Hybe’s sub-label Supply Music additionally presents a web based audition platform the place movies might be uploaded.[5]
  3. Casting TV reveals are notably necessary in South Korea for locating new expertise. The nation’s main TV broadcasters, comparable to CJ ENM Leisure’s Mnet, have developed their very own TV codecs, comparable to “Celebrity Okay” or the rap contest “Present Me The Cash”, which function like auditions.[6] Moreover, survival casting reveals are being developed in collaboration with Okay-pop labels; as we’ve got already seen, these have produced celebrity acts such because the woman group Twice from the casting present “Sixteen” or Stray Children from the present of the identical title. These TV codecs have the benefit that the viewers is a part of the choice course of, thereby enabling fan loyalty to be established proper from the beginning.

The auditions are primarily aimed toward youngsters aged between 15 and 20, though in some instances youthful candidates are additionally admitted to the choice course of. The demand for a spot within the auditions is overwhelming. Because of this, a whole {industry} has emerged within the run-up to the auditions, devoted solely to making ready candidates for them. Non-public music academies and music faculties provide programs designed to coach college students for auditions. One instance is the personal singing college Sand Manufacturing unit Academy, which, along with vocal coaching, additionally presents different expertise required for a profitable audition course of. The Sand Manufacturing unit Academy collaborates with the “Massive Three” – SM, YG and JYP Leisure – in addition to with smaller businesses comparable to Starship Leisure.[7] Even the state-run Seoul Music Excessive Faculty presents programs with a concentrate on Okay-pop that put together college students for auditions.[8]

Artist coaching

If an applicant is profitable within the auditions, they then enter a coaching programme lasting a number of years, which might take as much as eight years.[9] The coaching facilities are like a well-organized army camp.[10] The trainees should not solely skilled in dance, singing and composition, but additionally obtain intensive instruction in varied languages, notably English, Mandarin and Japanese, in addition to coaching in etiquette and communication. The every day schedule is strictly organised. The trainees spend as much as 12 hours or much more every day in varied lessons – at a JYP coaching centre, this quantities to as much as 76 completely different topics[11] – and they also have little or no free time left. John Lie distinguishes between three various kinds of trainees.[12] The chunbisaeng might be described as preparatory college students and are often nonetheless so younger that they’re attending major college. For them, collaborating in coaching remains to be a form of leisure exercise. They type the inspiration for the yƏnsusaeng (practising college students), who’re already present process the total coaching programme to develop into Okay-pop stars, which might last as long as 5 years. They’re often nonetheless attending college and subsequently solely participate in coaching periods within the afternoons, which might final till late at evening. The yƏnsusaeng are subjected to in depth and really rigorous examinations no less than as soon as a month, that are a part of a range course of. Solely those that cross these examinations make it into the mission teams after three to 5 years, which serve to arrange them for an expert music profession. The members of those mission teams often dwell in shared lodging built-in into the corporate’s personal academies. They’re thus not solely subjected to a inflexible every day routine of classes and coaching, however are additionally continuously monitored, leaving them with nearly no privateness.[13]

In line with an govt at SM Leisure, solely 5 per cent of trainees make it into an expert inventive profession following this rigorous choice course of.[14] Nonetheless, there’s often one other hurdle within the type of inside survival casting reveals, that are broadcast on tv and, more and more, on-line – for instance, on YouTube – as we’ve got already seen with the formation of the assorted sub-groups of NCT at SM Leisure, or with the woman group Twice and the boy group Stray Children from JYP Leisure.

A Okay-pop star who has achieved a breakthrough has subsequently undergone a really lengthy and expensive coaching course of. SM Leisure is alleged to have invested round US $5 million within the profession of Okay-pop star BoA.[15] John Lie estimates that, on common, US $300,000 is spent per individual on constructing a single skilled Okay-pop star.[16] Nonetheless, the celebs first should recoup these immense prices. A examine commissioned by the South Korean authorities reveals {that a} Okay-pop artist earns a median of simply US $10,000 a 12 months.[17] Lie subsequently factors out critically {that a} life “of a Okay-pop star appears extra just like the lifetime of a low-wage international migrant employee than just like the lifetime of the proverbial rock star”.[18]

The division of labour within the Okay-pop manufacturing system

The Okay-pop enterprise is characterised by a extremely specialised division of labour. Songwriting groups create the musical content material. Music producers and music video administrators create the precise sound and accompanying visuals. Choreographers are liable for the skilled dance routines in music movies and on stage at concert events. Stylists and make-up artists create the precise look and total look. All these parts come collectively inside the Okay-pop corporations, whose advertising departments prepare branding partnerships and endorsements. In-house distribution arms promote the recordings and merchandise, and the Okay-pop corporations even have stakes in Korean music streaming providers.

Inside this Fordist-style manufacturing system, Okay-pop artists merely perform what they’re advised to do. John Lie even argues that Okay-pop stars must be considered as staff of Okay-pop businesses moderately than as impartial inventive personalities.[19]

Songwriting and music manufacturing

The truth is, Okay-pop artists are solely hardly ever concerned in songwriting and music manufacturing, as within the case of Stray Children or BTS. The key Okay-pop labels SM, YG and JYP Leisure, in addition to Hybe Company, make use of quite a few in-house songwriters, composers and music producers, who often work collectively in groups on a selected mission – an EP or a studio album.[20] This entails working very intently with the artists within the recording studio, and the blending and mastering of the recordings is often completed in-house.[21]

Nonetheless, this in-house manufacturing system is ceaselessly supplemented by collaborations with famend worldwide songwriters and composers. As early because the preliminary part of Okay-pop’s internationalisation within the 2010s, Okay-pop corporations entered into collaborations with Western songwriters and producers, as within the case of the Norwegian songwriting and manufacturing agency Dsign Group, which labored intently with SM Leisure[22] or the US songwriter and producer Claude Kelly, who has labored with JYP Leisure’s Marvel Women.[23] instance of worldwide collaboration is the album ‘I Acquired a Boy’ by Women’ Era, launched by SM Leisure in 2013. A complete of 74 contributors are credited on this launch, together with 36 songwriters and 15 producers, who come from South Korea, the USA, the Netherlands, Eire, Denmark, Morocco, Sweden, Norway and the UK.[24] These embody such famend artists because the British producer Steve Booker, the US producer workforce The Stereotypes, the British Grammy winner Victoria Jane Horn, and the US-based songwriter and producer Jordan Kyle.[25]

In the meantime, it has develop into customary follow for Western songwriters and producers to work with Okay-pop superstars comparable to BLACKPINK, BTS, Stray Children and Twice. Nonetheless, South Korean songwriters and producers who initially labored as staff for Okay-pop corporations have additionally efficiently gone impartial. One of the best-known instance is Massive Hit founder Bang Si-hyuk, who initially labored at JYP Leisure as a composer, arranger and producer. One other instance is the rapper, songwriter and producer Kang Dong-chul, higher often called Courageous Brothers, who labored for YG Leisure as a composer and producer between 2004 and 2008 earlier than organising his personal label, Courageous Leisure.[26] The songwriter and producer Pdogg (whose actual title is Kang Hyo-won) turned notably well-known; he had been working at Massive Hit Leisure from an early stage and was the primary to develop into conscious of the 15-year-old rapper RM, round whom BTS was subsequently shaped.[27] He’s liable for quite a few hits by BTS in addition to different main artists comparable to TXT, Suga and Enhypen, and was named the nation’s highest-earning songwriter and producer by the Korea Music Copyright Affiliation in 2019.[28] Amongst others[29] price mentioning is Teddy Park, whose actual title is Park Hong-jun; he initially loved success with the boy band 1TYM, however after the group disbanded in 2006, he started working as a producer at YG Leisure.[30] For ten years, he was liable for quite a few hits by YG artists comparable to Jinusean, SEVEN, Massive Bang, 2NE1 and, above all, BLACKPINK, earlier than founding “The Black Label” as a sub-label of YG and producing additional hits by BLACKPINK.[31]

Music video manufacturing

On the one hand, Okay-pop corporations are extremely built-in conglomerates; alternatively, they make use of versatile specialisation, whereby prices and dangers are outsourced to exterior corporations which can be, nevertheless, sure by strict contractual agreements.[32] This additionally applies to music video manufacturing. Music movies are an integral a part of the Okay-pop {industry}, and no launch is full with no rigorously crafted music video. A Guardian article estimates that, on common, a Okay-pop video prices US $100,000, with some productions exceeding the US $1 million mark.[33] The manufacturing prices for BLACKPINK‘s music video ‘Kill This Love’ rose to US $1.4 million, while US $2.4 million was spent on ‘Boy With Luv’, a collaboration between BTS and the US pop star Halsey.[34]

Okay-pop corporations don’t wish to bear these prices and the related dangers alone, and subsequently collaborate with main South Korean music video manufacturing corporations comparable to ZanyBros and Digipedi. ZanyBros is the market chief, having produced greater than a thousand Okay-pop movies and labored with nearly all main Okay-pop acts since its basis in 2002.[35] The second main music video manufacturing firm in South Korea is Digipedia – which stands for Digital Pedicure – based in Seoul in 2007 by two graphic designers. Digipedia takes a extra inventive method and is understood for its experimental movies.[36] Nonetheless, the manufacturing duo has additionally labored with among the largest names in Okay-pop, comparable to BTS, SEVENTEEN, TXT, GOT7, ENHYPEN and Stray Children.[37] Nonetheless, smaller music video manufacturing corporations have additionally managed to safe main contracts, comparable to GDW and Lumpens, each of which have produced quite a few music movies for BTS, or Naive Inventive, which works primarily with JYP artists.[38]

Choreography and stage efficiency

Dance routines and the accompanying choreography are an integral a part of Okay-pop. Dance coaching is given particular consideration throughout artist coaching and takes up a good portion of the trainees’ timetable. Choreographies are practised to perfection and likewise require good bodily health. Okay-Pop stars who’ve made their breakthrough work with the most effective choreographers for his or her music movies and stage performances. In South Korea, the 1MILLION Dance Studio is the premier vacation spot for this. Co-founded in 2014 by the now world-renowned choreographer, Lia Kim, who additionally serves as CEO and continues to steer dance lessons, 1MILLION rapidly turned a powerhouse for Okay-pop stars. Kim has choreographed many iconic songs, together with “TT” by Twice, “La Di Da” by Everglow and “Wannabe” by Itzy.[39] Nonetheless, well-known international choreographers have additionally develop into concerned within the Okay-pop {industry}, comparable to Keone Madrid from the USA, who was liable for the choreography for the BTS songs “Dope” and “Fireplace”, and the New Zealand dancer and choreographer Parris Goebel, who has labored with Massive Bang, BLACKPINK and 2NE1.[40]

Artist branding

The celebrities’ look – that’s, their look and clothes – can also be deliberate all the way down to the final element and tailor-made to the artists’ picture. To this finish, Okay-pop labels make use of groups of stylists, costume designers, hairdressers and make-up artists who fashion the celebs for public appearances, concert events and music movies.[41] This isn’t nearly selling a sure picture, but additionally about setting new traits. This side, too, is intently linked to the business advertising of the artists. SM, YG and JYP Leisure, in addition to Hybe, profit from important income generated by branding partnerships with main manufacturers and from their artists’ endorsement offers. A few of these corporations even run their very own vogue manufacturers, magnificence product strains and comfort shops to monetise the idols’ model picture.[42]

The artists’ contribution to the model picture is minimal. They execute to perfection what’s given to them. For this goal, the artists inside the woman and boy teams are assigned very clear roles. Within the literature, that is additionally known as archetypes, that are related to sure expectations.[43] Each group has a “chief”, comparable to RM from BTS or Jihyo from Twice, who’s liable for decision-making inside the group and likewise communicates these choices to the corporate. Then there’s the “Face of the Group”, also called the “Visible”, who most intently matches a selected excellent of magnificence and is successfully the group’s “face” in exterior promoting campaigns. “Vocalist” refers back to the group’s lead singer. They’ve probably the most distinctive or highly effective voice and subsequently carry out many of the singing components. Indispensable in most Okay-pop teams are the “rappers”, who’ve the most important share of the rap sections and are expert at improvising. One of the best dancers within the group are the “lead/foremost dancers”, who take centre stage throughout performances and likewise carry out crucial dance routines solo. The “centre” has a unique position; that is the group member who stands on the centre of the formation throughout a efficiency. That is often additionally the individual most ceaselessly captured by the digital camera. Lastly, there’s the position of the “maknae”, which often refers back to the youngest member of the group and might be described because the “child of the group”.

Along with these official roles inside a Okay-pop band, there are additionally unofficial archetypes which, in keeping with Kara Atkin, largely function stereotypes[44], such because the “Momzzang”, who has a very masculine physique and is bursting with health, or the “Fairly Boy”, who’s characterised by mushy facial options and has a extra light picture. One other male stereotype is the “Alien”, whose persona shouldn’t be really easy to decode and who stands for unconventional concepts. Among the many feminine members of a bunch, a distinction is made between “Woman Crush”, i.e. a robust and independent-seeming persona who exudes self-confidence. In distinction are the group members described as “cute” or “harmless”, who conform to female beliefs of magnificence and are supposed to seem notably female. They thus differ from the “elegant/mature” archetypes, who costume elegantly, are thought to be stylish and grown-up, and in doing so exude a sure distance and aloofness. It must be famous that the artists don’t select these archetypes or stereotypes themselves; moderately, these roles are assigned to them by the Okay-pop corporations. The artists are subsequently merchandise that function a mirrored image floor and are supposed to correspond to a selected advertising idea.


Endnotes

[1] An summary offers Chung, Annika. 2018. All About Okay-Pop. Inside Tales behind Okay-pop’s Rise to World Fandom. Coal Harbour Publishing. pp 120-121

[2] See https://audition.smtown.com/global-auditions. Accessed 04 Mar 2026

[3] Sin, Ben. 2018. Contained in the Okay-pop hit machine: how South Korea’s music {industry} has gone world. South China Morning Submit, 2 April. https://www.scmp.com/tradition/music/article/2139864/inside-k-pop-hit-machine-how-south-koreas-music-industry-has-gone. Accessed 04 Mar 2026

[4] See https://audition.jype.com/audition/auditions/1. Accessed 04 Mar 2026

[5] See https://www.sourcemusic.com/audition/index?lang=en. Accessed 04 Mar 2026

[6] Chung. All About Okay-Pop. p 120

[7] See https://www.sandfactory.co.kr/information/new_content_view.php?strSection=Information&strSeq=931&ckattempt=1 (Accessed 04 Mar 2026)

[8] Chung. All About Okay-Pop. p 120

[9] Ibid. p 122

[10] Sin. Contained in the Okay-pop hit machine

[11] Lie. Okay-Pop. p 120

[12] Lie. Okay-Pop. pp 124-125

[13] The Netflix documentary “BLACKPINK. Lights Up The Sky” presents a glimpse into the lives of the mission teams, offering a – nonetheless considerably idealised – look behind the scenes of the Okay-pop {industry}: https://www.netflix.com/at/title/81106901. Accessed 05 Mar 2026

[14] Lie. Okay-Pop. p 125

[15] Shin, Solee and Lanu Kim. 2013. Organizing Okay-Pop: Emergence and Market Making of Massive Korean Leisure Homes, 1980-2010. East Asia 30.

[16] Lie. Okay-Pop. p 125

[17] Ibid.

[18] Ibid.

[19] Ibid., p 124

[20] Hallyu Press authors’ workforce. p 49

[21] Ibid. p 50

[22] Kim, Suk-young. 2016. The Many Faces of Okay-pop Music Movies: Revues, Motown and Broadway in “Twinkle”. The Journal of Fashionable Tradition 49(1): pp 136-154. https://doi.org/10.1111/jpcu.12382

[23] An summary of the “Massive Three” corporations collaborating with Western songwriters and producers within the early 2010s present Oh, Ingyu and Gil-sung Park. 2012. From B2C to B2B: Promoting Korean Pop Music within the Age of Social Media. Korea Observer 43(3): S. 365-397

[24] Chung. All About Okay-pop. p 113

[25] Wikipedia. 2026. I Acquired a Boy. 2 February. https://en.wikipedia.org/wiki/I_Got_a_Boy. Accessed 05 Mar 2026

[26] Chung. All About Okay-pop. p 109

[27] Sprinkel. BTS: One. pp 46-47

[28] Kwak, Yeon-soo. 2019. BTS producer Pdogg acknowledged for prime music royalty earnings. The Korea Instances, 17 February. https://www.koreatimes.co.kr/leisure/k-pop/20190217/bts-producer-pdogg-recognized-for-top-music-royalty-earnings. Accessed 05 Mar 2026

[29] An inventory of probably the most distinguished South Korean songwriters and producers might be discovered at Chung. All About Okay-pop. pp 111-112

[30] Soulbeats. 2012. Exploring Hit-Makers: YG’s Teddy Park. 1 August. https://seoulbeats.com/2012/08/exploring-hit-makers-ygs-teddy-park/. Accessed 05 Mar 2026

[31] Choi, Na-young. 2015. Teddy and Kush to ascertain impartial label below YG Leisure.. Yang Hyun-suk personally concerned in planning. Osen, 22 September. https://m.entertain.naver.com/rating/article/109/0003162238. Accessed 05 Mar 2026

[32] Storper, Michael und Susan Christoperson. 1987. Versatile Specialisation and Regional Industrial Agglomerations: The Case of the US Movement Image Business. Annals of the Affiliation of American Geographers 77(1): pp 104-117. https://doi.org/10.1111/j.1467-8306.1987.tb00148.x

[33] Glasby, Taylor. 2018. The A-Z of Okay-pop: know your sasaengs out of your monster rookies. The Guardian, 5 June. https://www.theguardian.com/music/2018/jun/05/the-a-z-of-k-pop-know-your-sasaengs-from-your-monster-rookies. Accessed 05 Mar 2026

[34] Atkin. Okay-Pop. p 63

[35] Chakraborty, Riddhi. 2019. The Legacy of ZanyBros. Rolling Stone India, 18 April. https://rollingstoneindia.com/the-legacy-of-zanybros/. Accessed 09 Mar 2026

[36] Jackson, Julie. 2016. Digipedi, the duo behind a few of Okay-pop’s oddest movies. The Korea Herald, 8 March. https://www.koreaherald.com/article/890685. Accessed 09 Mar 2026

[37] Wikipedia. 2026. Digidepi. https://en.wikipedia.org/wiki/Digipedi. Accessed 09 Mar 2026

[38] An summary offers Chung. All About Okay-Pop. p 119

[39] Sukri, Hazeeq. 2024. How South Korea’s 1Million Dance Studio turned one of many largest names in Okay-dance. CAN Way of life, 29 December. https://cnalifestyle.channelnewsasia.com/leisure/1million-dance-studio-south-korea-427101. Accessed 09 Mar 2026

[40] Hallyu Press authors’ workforce. The Okay-Pop Phenomenon. p 53

[41] Ibid. p 54

[42] Ibid. p 55

[43] See Hallyu Press authors’ groups. The Okay-Pop Phenomenon. pp 56-57 and Atkin. Okay-Pop. pp 68-72

[44] Ibid. pp 72-75

Courtney Barnett’s podcasts incIude Creature of Habit, Worƙing with Flea, and â±Čaxahatchee.

Courtney Barnett’s podcasts incIude Creature of Habit, Worƙing with Flea, and â±Čaxahatchee.

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Before headiÈ”g to LoÈż Angeles, Barnett acknowledged having eđ‘„perienced writer’s block, ɱoving about and also putting ÄŻn. She notes that while the frequent moving ÄŻn the cÄŻty sÈ©rves as Æ«he “backdÉŸop” to the song, “it’Èż not really what Æ«he sσng is about at all” despite Æ«he song’s title. Her depictioÈ” of battle ÄŻnvolves songs that ÄŻnitially don’t fully show themselves. ThÈ©re are times when I’m of,” Tⱚis is not for it, aÈ”d thiÈż is not going tσ work and I’ɱ wasting my time,” she sαys. However, I return to it because of everything in me. Șhe refers to songs like” Generally Persistent” aÈ”d” Site UÈ”seen” aÈż tunes that almost vaniÈżhed befoÉŸe making their way onto the record.

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The Economics of Okay-pop – Half 8: The Hybe Company – Music Enterprise Analysis

The Economics of Okay-pop – Half 8: The Hybe Company – Music Enterprise Analysis


Hybe Company is the latecomer amongst Okay-pop companies and was based in Seoul in 2005 by Bang Si-hyuk. How a expertise company that had simply 4 staff in 2007 and was getting ready to chapter managed to overhaul the “Huge Three” and develop into the biggest Okay-pop conglomerate is a exceptional success story that’s now to be examined in better element.

The Economics of Okay-pop – Half 8: The Hybe Company

Bang Si-hyuk[1] was already a composer and songwriter throughout his faculty days[2] and in 1997 met Park Jin-young, who was about the identical age and went on to discovered the Okay-pop company YG Leisure that very same yr.[3] Bang joined YG as a composer, arranger and producer, and was primarily chargeable for a number of hits by the boy band g.o.d.[4] In 2005, he left YG Leisure to start out his personal expertise company, Huge Hit Leisure, which didn’t get off to begin. It was solely after signing the trio 8Eight that the corporate started to see its first successes and safe its monetary stability.[5]

Nevertheless, Bang laid the foundations for constructing a company empire in 2010 when he signed the then 15-year-old Kim Nam-joon, higher often called Rap Monster or RM for brief. As now we have already seen, Huge Hit Leisure constructed BTS – arguably probably the most profitable Okay-pop act up to now – round RM. In 2013, when BTS was launched to the general public, Huge Hit Leisure was nonetheless a small fish within the Okay-pop ocean, which was dominated by SM, YG and JPG Leisure. At the moment, hardly anybody took any discover of BTS and Huge Hit Leisure, because the creator of the e-book “BTS – The Overview” famous in an interview.[6] To remain afloat financially, Huge Hit had been working with JYP Leisure since 2010, managing the boy band 2AM, which had been spun off from the eleven-member group One Day after successful the fact TV present “Sizzling Blood Males”.[7] In April 2014, the contract between Huge Hit and JYP Leisure ended, and three members of 2AM returned to JYP, while Lee Chang-min remained with Huge Hit and shaped the duo Homme with Lee Hyun from the just lately disbanded pop group 8Eight.[8]

In the meantime, BTS continued to construct their profession with album releases and their first worldwide excursions, although that they had but to attain a significant breakthrough. In September 2017, nonetheless, BTS lastly managed to interrupt into the worldwide charts for the primary time with their EP “Love Your self: Her”.[9] This caught the eye of buyers, and so the Korean cellular gaming firm Netmarble acquired a stake in Huge Hit for KRW 201.4 billion (equal to US $191.8 million), changing into the second-largest shareholder with a 25.71 per cent stake. The funding was actually additionally facilitated by the truth that the founding father of Netmarble was a cousin of Bang Si-hyuk.[10]

In March 2019, Huge Hit launched one other boy band, Tomorrow X Collectively (TXT for brief),[11] which was set to develop into the corporate’s second supply of revenue. Nevertheless, 2019 was above all a yr of company acquisitions. In July, Huge Hit acquired the label Supply Music[12] and, a month later, the video games developer Excellent.[13] In Could 2020, Huge Hit additionally grew to become the bulk shareholder of Pledis Leisure, a label based in 2007,[14] which had launched Son Dam-bi, the feminine counterpart to Okay-pop star Rain, in addition to the massively profitable boy band SEVENTEEN.[15]

The growth of the artist roster and the institution of a multi-label construction had been additionally pushed by the upcoming IPO. This proved to be an important success. The preliminary difficulty value for Hit Huge Leisure shares was set on the equal of US $117 on 15 October 2020. By the tip of the primary buying and selling day, the share value had virtually doubled to the equal of US $225.[16] This not solely made Huge Hit founder Bang Si-hyuk, who held a 36.6 per cent stake within the firm on the time, a billionaire, but in addition benefited the seven BTS members, who had opted to be paid in firm shares when renewing their contracts. Every band member grew to become US $15.6 million richer in a single stroke.[17]

This meant that Huge Hit Leisure had joined the ranks of the “Huge Three” within the Okay-pop business and would go on to surpass the three conglomerates within the years that adopted. An preliminary try was made as early as January 2021, when Huge Hit and its three way partnership BeNX acquired a 17.9 per cent stake in YG Plus, a subsidiary of YG Leisure. BeNX operated the fan group platform Weverse, by which the web group Naver has now invested KRW 355 billion (US$321 million), buying 49 per cent of the corporate’s shares in return. This deal catapulted Huge Hit into new spheres. Weverse had develop into not solely an essential platform for followers to speak with their idols, but in addition a key distribution channel for merchandise and different fan gadgets. Finally, BeNX was restructured into Weverse Firm.[18]

Nevertheless, probably the most vital step in the direction of changing into a number one Okay-pop firm was the company restructuring that started in March 2021, which additionally resulted within the renaming of the corporate to Hybe Company. Huge Hit grew to become the label Huge Hit Music, which now contains BTS and Tomorrow X Collectively, in addition to former 8Eight member Lee Hyun. Alongside Huge Hit Music, the label conglomerate now comprised Belift Lab (that includes the boy band Enhypen), Supply Music (that includes the lady band Le Sserafim), Pledis Leisure (that includes the boy band SEVENTEEN), Koz Leisure (that includes the rapper Zico) and Hybe Labels Japan (later renamed YX Labels). The second pillar was designated because the “Options” division, comprising the sport developer Excellent Corp., HYBE Three Sixty, HYBE IP, HYBE Edu, and the 2 Japanese subsidiaries HYBE Options Japan and HYBE T&D Japan. Lastly, Weverse Firm shaped the third pillar, “Platforms”.[19]

Whereas the restructuring course of was nonetheless underway, the Okay-pop group—now often called Hybe Company—set about its subsequent growth, this time into the US. In April 2021, Hybe America acquired Ithaca Holdings from Scooter Braun for US $950 million, a deal that included Taylor Swift’s label, Huge Machine.[20] Nevertheless, previous to this deal, Scooter Braun had already offered the celebrity’s first six studio albums to the personal fairness agency, the Carlyle Group.[21] Nevertheless, the Carlyle Group additionally held a stake in Ithaca Holdings and, as a part of this deal, has now offered its stake to Hybe Company. Scooter Braun has develop into co-CEO of Hybe America[22] and Scott Borchetta remained CEO of Huge Machine Label Group till February 2026.[23] A US $100 million capital improve carried out at Hybe America on the finish of March 2026 reveals that income fell by 59 per cent between 2022 and 2024, from KRW 70.4 billion to KRW 28.8 billion (equal to US$19 million). Though losses fell by 76 per cent to KRW 18.3 billion (US$12 million) over the identical interval, they continue to be properly into the crimson.[24] These figures present that increasing into overseas markets, and significantly into the US, includes excessive prices and dangers.

Nonetheless, following the group’s restructuring into Hybe Company in 2022, issues have settled down. The corporate’s founder, Bang Si-hyuk, stepped down from his position as CEO to affix the supervisory board, leaving the day-to-day operating of the enterprise to a youthful administration duo.[25]

In February 2023, Hybe then launched its massive transfer. Following a dispute amongst SM Leisure’s high administration, Hybe acquired the 14.8 per cent stake that SM founder Lee So-man had put up on the market.[26] This triggered a bidding battle for SM Leisure, because the leisure and media group Kakao additionally wished to amass a stake in SM. Finally, nonetheless, Hybe withdrew from the hostile takeover and offered half of its stake to Kakao, retaining simply 8.81 per cent in its rival.[27] This stake was finally offered to the Chinese language tech large Tencent in Could 2025.[28] With this deal – although it finally failed – Hybe demonstrated that it had not solely risen to affix the “Huge Three”, however was even able to taking on one in all its opponents. In consequence, Hybe had develop into the main Okay-pop company.

This was additional underlined by the truth that Hybe not solely had workplaces in Japan and the US, however had additionally expanded its operations to China, Latin America and India. Hybe Latin America was established following the acquisition of Exile Content material’s music division in November 2023, with Spanish-speaking workplaces opening in Mexico Metropolis, Los Angeles and Miami.[29] The institution of a department in China adopted with the founding of Hybe China in April 2025[30] and 5 months later, Hybe India Leisure was launched in Mumbai.[31]

Hybe had thus develop into an internationally energetic group that had outperformed its South Korean opponents, a reality additionally mirrored in its monetary figures (fig. 5.8). Even within the yr of its IPO, Hybe was clearly in first place with consolidated group income of KRW 796 billion, properly forward of SM Leisure (KRW 580 billion). The breathtaking income development over the subsequent two years – up 174 per cent to KRW 2.2 trillion – widened the hole with its opponents even additional. It was not till 2024 that income development slowed to three.6 per cent, although this nonetheless represented greater than double the income of its nearest competitor, SM Leisure, which stood at KRW 990 billion.

Determine 5.8: Hybe Company’s income, price and revenue tendencies, 2020-2024

Supply: After https://hybecorp.com/eng/ir/finance/revenue (Accessed 27 Feb 2026)

As price of gross sales rose at roughly the identical price as income between 2020 and 2023, Hybe was capable of double its working revenue throughout this era. The truth that the consequence was not higher was primarily as a consequence of advertising and overhead prices, which greater than tripled. As this development continued into 2024, working revenue fell by virtually 40 per cent to KRW 184 billion that yr. That is additionally mirrored within the web revenue, which grew by 111 per cent to KRW 183 billion between 2020 and 2023, however turned unfavorable in 2024 as a consequence of a closely unfavorable extraordinary results of KRW 3 billion. General, Hybe has additionally felt the results of the downturn within the Okay-pop market, however due to BTS‘s comeback in 2026, it could actually hope to return to a path of development and revenue. Nevertheless, the authorized troubles dealing with Hybe’s founder, Bang Si-hyuk, may show to be a significant drawback. Since July 2025, investigations have been underway towards him and three different staff relating to unauthorised insider buying and selling earlier than Hybe’s IPO. The bombshell got here in April 2026, when an arrest warrant was issued and Bang was barred from leaving South Korea, stopping him from attending BTS‘s opening live performance within the US. This monetary scandal may nonetheless forged a protracted shadow over Hybe’s success story.


Endnotes

[1] Kang, Haeryun. 2020. ‘Hitman’ Bang Si-hyuk, The Model-New Billionaire Behind BTS. NPR, 18 November. https://www.npr.org/2020/11/18/935848354/hitman-bang-si-hyuk-the-brand-new-billionaire-behind-bts. Accessed 26 Feb 2026

[2] Kang, Haeryun. 2020. ‘Hitman’ Bang Si-hyuk

[3] Han, Eun-hwa. 2016. Independence is vital to Okay-pop success

[4] Bruner, Raisa. 2019. The Mastermind Behind BTS

[5] Yoon, Sung-yeol. 2014. 8Eight to briefly disband after seven years
 ‘Pursuing particular person music actions’. Star Information, 21. Dezember. https://m.entertain.naver.com/house/article/108/0002369958. Translated with DeepL. Accessed 26 Feb 2026

[6] Kang, Haeryun. 2020. ‘Hitman’ Bang Si-hyuk

[7] KoreAm. 2010. Cowl Story: 2PM

[8] Lee Min-ji. 2014. 2AM’s Jo Kwon, Im Seulong, and Jung Jin Woon Return to JYP Leisure. Newsen, 9 April. https://net.archive.org/net/20160312112024/http://mwave.curiosity.me/enewsworld/en/article/63193/2am-changes-agencies. Accessed 26 Feb 2026

[9] Wikipedia. 2026. Love Your self: Her

[10] Ha, Solar-young. 2018. Cousins unite as Netmarble buys stake in Huge Hit. Korea JoongAng Day by day, 6 April. https://koreajoongangdaily.joins.com/2018/04/06/business/Cousins-unite-as-Netmarble-buys-stake-in-Huge-Hit/3046607.html. Accessed 26 Feb 2026

[11] Kelley, Caitlin. 2019. BTS’s Label Reveals TOMORROW X TOGETHER Will Debut March 4. Forbes, 6 February. https://www.forbes.com/websites/caitlinkelley/2019/02/06/bts-bighit-tomorrow-x-together-txt-debut/. Accessed 27 Feb 2026

[12] Kelley, Caitlin. 2019. Huge Hit Leisure, BTS’s Label, Acquires Supply Music. Forbes, 28 July. https://www.forbes.com/websites/caitlinkelley/2019/07/28/btss-label-big-hit-entertainment-acquired-source-music/. Accessed 27 Feb 2026

[13] Kim, Eun-ae. 2019. Huge Hit acquires music recreation firm Excellent. Bang Si-hyuk: ‘It can deliver optimistic worth’. Osen, 19. August. https://m.entertain.naver.com/now/article/109/0004070079. Translated with DeepL. Accessed 27 Feb 2026

[14] Herman, Tamar. 2020. BTS’s Company Huge Hit Turns into Majority Shareholder Of Okay-Pop Firm Pledis, House To Seventeen & NU’EST. Forbes, 24 Could. https://www.forbes.com/websites/tamarherman/2020/05/24/btss-agency-big-hit-becomes-majority-shareholder-of-k-pop-company-pledis-home-to-seventeen–nuest/. Accessed 27 Feb 2026

[15] Kim, Jung-wook. 2007. “Do you need to hear my title, my title is Son Dam-bi, and also you need to hear my story about ‘Rattling’?” Edaily, 25 June. https://www.edaily.co.kr/information/learn?newsId=02086086583165328&mediaCodeNo=257. Translated with DeepL. Accessed 27 Feb 2026

[16] Stassen, Murray. 2020. Huge Hit CEO Bang Si-hyuk now price comfortably greater than $2bn as BTS agency’s IPO takes flight in Korea. Music Enterprise Worldwide, 15 October. https://www.musicbusinessworldwide.com/big-hit-ceo-bang-si-hyuk-now-worth-comfortably-more-than-2bn-as-bts-firms-ipo-takes-flight-in-korea/. Accessed 27 Feb 2026

[17] Ibid.

[18] Yoon, So-yeon. 2021. Huge Hit, Naver and YG be a part of forces in a giant Okay-pop inventory swap. Korea JoongAng Day by day, 27 January. https://koreajoongangdaily.joins.com/2021/01/27/enterprise/business/Huge-Hit-Leisure-beNX-YG-Plus/20210127192300544.html. Accessed 27 Feb 2026

[19] Stassen, Murray. 2021. BTS label Huge Hit Leisure formally rebrands as HYBE. Music Enterprise Worldwide, 19 March. https://www.musicbusinessworldwide.com/bts-label-big-hit-entertainment-officially-rebrands-as-hybe/. Accessed 27 Feb 2026

[20] Halperin, Shirley und Patrick Frater. 2021. BTS Label Proprietor HYBE Merges With Scooter Braun’s Ithaca Holdings for $1 Billion. Selection, 2 April. https://selection.com/2021/digital/information/hybe-merges-ithaca-holdings-scooter-braun-bts-1234943092/. Accessed 27 Feb 2026

[21] Halperin, Shirley. 2020. Scooter Braun Sells Taylor Swift’s Huge Machine Masters for Huge Payday. Selection, 16 November. https://selection.com/2020/music/information/scooter-braun-sells-taylor-swift-big-machine-masters-1234832080/. Accessed 27 Feb 2026

[22] Ingham, Tim. 2021. Scooter Braun sells Ithaca Holdings to HYBE, previously often called Huge Hit Leisure, for $1 billion. Music Enterprise Worldwide, 2 April. https://www.musicbusinessworldwide.com/scooter-braun-sells-ithaca-holdings-to-hybe-formerly-big-hit-entertainment/. Accessed 27 Feb 2026

[23] Stassen, Murray. 2026. Scott Borchetta exits HYBE AMERICA. Music Enterprise Worldwide, 12 February. https://www.musicbusinessworldwide.com/scott-borchetta-exits-hybe-america/. Accessed 27 Feb 2026

[24] Stassen, Murray. 2026. HYBE to inject $100M into US subsidiary, HYBE America. Music Enterprise Worldwide, 1 April. https://www.musicbusinessworldwide.com/hybe-the-home-of-bts-injects-100m-into-us-subsidiary-hybe-america12/. Accessed 02 Apr 2026

[25] Stassen, Murray. 2021. Bang Si-hyuk steps down as CEO of HYBE, previously often called Huge Hit Leisure. Music Enterprise Worldwide, 1 July. https://www.musicbusinessworldwide.com/bang-si-hyuk-steps-down-as-ceo-of-hybe/. Accessed 27 Feb 2026

[26] Hong, Yoo. 2023. SM founder Lee Soo-man joins palms with Hybe to counter SM’s Kakao partnership. The Korea Herald, 10 February. https://www.koreaherald.com/article/3059457. Accessed 27 Feb 2026

[27] Yim, Hyunsu. 2023. Okay-pop takeover battle loser HYBE to promote $437 mln stake in SM. Reuters, 24 March. https://www.reuters.com/markets/offers/south-koreas-hybe-sell-its-stake-sm-entertainment-2023-03-24/. Accessed 27 Feb 2026

[28] Stassen, Murray. 2025. HYBE is promoting its total stake in Okay-Pop rival SM Leisure to Tencent Music for practically $180m. Music Enterprise Worldwide, 27 Could. https://www.musicbusinessworldwide.com/hybe-to-sell-entire-stake-in-k-pop-rival-sm-entertainment-to-tencent-music-for-nearly-180m/. Accessed 27 Feb 2026

[29] The Straits Instances. 2023. Okay-pop large Hybe buys its first Latin music firm. 13 November. https://www.straitstimes.com/life/leisure/k-pop-giant-hybe-buys-its-first-latin-music-company. Accessed 27 Feb 2026

[30] Yoon, So-yeon. 2025. HYBE China opens in Beijing as Okay-pop powerhouse goals to spice up presence in native scene. Korea JoongAng Day by day, 29 Could. https://koreajoongangdaily.joins.com/information/2025-05-29/enterprise/business/HYBE-China-opens-in-Beijing-as-Kpop-powerhouse-aims-to-boost-presence-in-local-scene/2318504. Accessed 27 Feb 2026

[31] Agarwal, Bhavna. 2025. BTS’ firm HYBE formally launches Indian subsidiary HYBE India. India In the present day, 23 September. https://www.indiatoday.in/leisure/music/story/bts-company-hybe-officially-launches-indian-subsidiary-hybe-india-2791696-2025-09-23. Accessed 27 Feb 2026

Stanning BTS Podcast from the ARIRANG Tour in Tampa during BTS’s Concert Magic

Stanning BTS Podcast from the ARIRANG Tour in Tampa during BTS’s Concert Magic

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Stanning Song visitors Kayla and Bethany had the opportunity to witness their first” ARIRANG WORLD TOUR” music in Tampa, Florida, before Song recently kicked off the North American leg of their extensive return journey. YoÎŒ can sÈ©e why tⱚe guests gave a detailed account of the event σn this yÈ©ar’s Stanning BTS event, and you can teIl whყ.

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Kayla and Bethany dubbed the performançe “incredible” aÈ”d enthralled by thÈ© incredible surroundings. They were eagerly awaÄŻting the setlist, which included recognizable aρpearances like” Hooligan” αnd” Aliens,” which launched thÈ© performance wiÆ«h a baÈ”g. Fans of” Run BTȘ” were alsσ enthralled to sÈ©e the magnificenÆ« revolving level, which made iÆ« possible Æ«o interact with the casÆ« from every perspective.

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IPRMENTLAW Weekly Highlights (April 27- Might 3, 2026)

IPRMENTLAW Weekly Highlights (April 27- Might 3, 2026)


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The Madras Excessive Court docket granted an advert interim injunction in favour of Tremendous Cassettes Industries (T-Collection) to restrain web service suppliers and cable operators from any unauthorised broadcast of the unreleased movie Pati Patni Aur Woh Do, noting that such leakage might trigger “irreparable” or “irreversible” industrial hurt, particularly round its theatrical launch window. The Court docket balanced this with issues over the broad influence on intermediaries by directing the producer to indemnify affected events, and accordingly issued the injunction (topic to compliance with procedural necessities) till the following listening to date in June 2026, recognising each the urgency of anti-piracy safety and the necessity to safeguard reputable enterprise pursuits.

‘Hera Pheri’ Rights Dispute Escalates into Prison FIR Over Alleged Dishonest and Extortion

A protracted-standing copyright dispute surrounding the long-lasting Hera Pheri franchise has intensified after producer Firoz Nadiadwala filed an FIR in Mumbai alleging dishonest, defamation, and extortion over the remake rights of the unique Malayalam movie Ramji Rao Talking, on which Hera Pheri is predicated. Nadiadwala claims he lawfully acquired the remake and multi-language rights in 2000, however sure producers have repeatedly contested possession, issued authorized threats, and allegedly demanded cash and a share in earnings whereas spreading deceptive claims to disrupt his rights and initiatives. The dispute, which dates again over twenty years and has resurfaced with recent authorized notices and courtroom proceedings, now raises severe questions round competing copyright claims and will influence future developments like Hera Pheri 3.

Madras Excessive Court docket Grants Pre-Launch Anti-Piracy Injunction to Defend ‘Ek Din’

The Madras Excessive Court docket granted an pressing advert interim injunction in favour of Aamir Khan Productions to restrain web service suppliers and cable operators from any unauthorised broadcast or dissemination of the movie Ek Din forward of its launch, recognising that pre-release piracy might trigger “irreversible harm” to the movie’s industrial worth. Whereas acknowledging the broad scope of such anti-piracy aid and its potential influence on intermediaries, the Court docket balanced pursuits by directing the producer to indemnify affected events, and ordered that the injunction would proceed till the following listening to date in June 2026.

Delhi Excessive Court docket Rejects Plagiarism Claims in ‘Golden Stag’ Dispute, Ends 15-Yr Authorized Battle

The Delhi Excessive Court docket dismissed copyright infringement allegations by creator Shivsundari Bose in opposition to David Davidar, holding that there was no proof to show that his novel The Home of the Blue Mangoes plagiarised her manuscript Golden Stag. The Court docket famous that similarities arising from a shared theme or setting don’t represent plagiarism and located that the variations between the 2 works outweighed any alleged overlap. It additionally noticed that Bose didn’t substantiate key claims, together with proof of submission of her manuscript to the writer, whereas concurrently rejecting Davidar’s defamation declare in opposition to her, concluding that her communications had been made in good religion thereby bringing an finish to a long-running dispute with no aid granted to both aspect.