Ministry of SMEs Holds Meeting to Foster Startups in Gaming Sector
Netmarble, Krafton, and Others to Participate in 'Smart Korea Fund'
On the 2nd, Park Young-sun, Minister of SMEs and Startups, is giving the opening remarks at the startup meeting in the gaming sector held at Tipstown S1.
[Asia Economy Reporter Kim Cheol-hyun] The Ministry of SMEs and Startups (Minister Park Young-sun, hereinafter referred to as the Ministry) has decided to strengthen support for startups in the gaming sector. Major domestic game companies such as Netmarble and Krafton have agreed to participate in the 'Smart Korea Fund,' which supports startups in the gaming field. On the 2nd, the Ministry held a 'Meeting to Establish a Growth Ecosystem for Startups in the Gaming Sector' at Tipstown in Gangnam-gu, Seoul, and announced this plan.
This meeting was organized by the Ministry as a follow-up measure to the 'Comprehensive Plan for the Promotion of the Gaming Industry' announced by the government on the 7th of last month, to hear voices from the field regarding the direction for fostering startups in the gaming sector. The Ministry explained that it was meaningful in that major game companies, gaming startups, and venture capitalists (VCs) gathered together to explore ways to collaborate and coexist, thereby creating a growth ecosystem for startups.
Major game companies attending the meeting included Netmarble, NCSoft, Krafton, and Kakao Games, while five startup representatives who participated in the Ministry’s window program last year also attended. VCs included Kona Venture Partners, Smilegate, and LB Investment, which had significant investments in the gaming sector last year.
On the 2nd, Lee Seung-won, CEO of Netmarble, is speaking at the startup meeting in the gaming sector held at Tipstown S1.
The major game companies attending the meeting advised startups on business operation directions and requested active government investment and support for startups. Lee Seung-won, CEO of Netmarble, said, "I believe there are distinct roles for large companies and for SMEs, ventures, and startups for the development of the gaming industry. SMEs, ventures, and startups should play a significant role in new attempts and creative ideas. Support is also needed to create opportunities for collaboration between large companies and SMEs and ventures." Startup representatives conveyed voices from the field, including support and increased investment for various game genres and coexistence between major game companies and startups. VCs said that although investment is currently difficult, they will continue to strengthen investments in promising startups such as those in gaming.
Minister Park emphasized, "With COVID-19 as a turning point, rapid growth is expected in the gaming sector, a representative non-face-to-face content, but there are also difficulties such as the recent slowdown in the growth rate of the domestic gaming market," adding, "For the gaming industry to sustain growth, collaboration among major game companies, startups, and venture capitalists that make up the ecosystem is necessary." He continued, "Major companies and venture capitalists should actively support the diversification of startup content, and a win-win structure should be established where competitive startup content fills the platforms of major game companies, allowing mutual growth," and stated, "The Ministry will also strengthen support for startups in the gaming sector."
On that day, Minister Park introduced conversations he had with Bang Jun-hyuk, Chairman of Netmarble, and Jang Byung-gyu, Chairman of Krafton, regarding the gaming industry, saying, "Netmarble and Krafton have agreed to participate in the Smart Korea Fund if a specialized gaming industry fund is created." He also said, "The Smart Korea Fund features successful mentor companies nurturing junior startups. We plan to operate funds separated by industry, such as gaming-specific funds and bio-specific funds, respecting the intentions of participating investors who have specific purposes."
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