Naver Invests 100 Billion KRW in SM Entertainment to Expand Video Business

Cooperation for Establishing Next-Generation Digital Video Content Production Fund

[Asia Economy Reporter Jin-gyu Lee] Naver announced on the 3rd that it will invest approximately 100 billion KRW in SM Entertainment affiliates to strengthen the capabilities of V Live's global community membership platform 'Fanship' and expand next-generation video business.

Naver is investing in SM Entertainment affiliates 'SMEJ Plus' and 'Mystic Story' and will mutually cooperate with SM Entertainment to establish a next-generation digital video content production fund.

SM Entertainment will unify its fan club services, which it has operated so far, into Naver V Live's Fanship, further strengthening the capabilities of the global membership platform.

Based on this investment, Naver expects to enhance competitiveness in digital content production such as performances, music, and videos, and to create synergy between entertainment content platforms like Naver V Live and NOW and global artists. In April, Naver formed a strategic partnership with SM Entertainment to secure differentiated competitiveness in the global market.

Han Seong-sook, CEO of Naver, said, "We are building new competitiveness in the non-face-to-face digital performance market through advanced live and community platform technology and big data-based paid business models," adding, "Through this investment, we will enhance Fanship's competitiveness through closer collaboration with SM Entertainment and demonstrate new innovation in the global market."