[Asia Exclusive] "Korean Content Combining Marketability and Completeness, Expanding Business Areas Through Two Tracks"

Veteran Jo Hyun-rae, Head of Korea Creative Content Agency, Ensures Smooth Policy Implementation Through Collaborative Inducement
Expectations for Face-to-Face Projects Resuming Overseas Events... China Business Center Prepares Various Initiatives
Delays Due to Lack of Connection Between IP Sales, Exchanges, and Manufacturing... Expert TF Formed to Find Solutions
Exploring Infinite New Areas Through R&D "Leading Support, Distribution, and Talent Development"

Cho Hyun-rae, President of the Korea Creative Content Agency, is striving to enhance management innovation as well as strengthen the global market competitiveness of the content industry, based on his extensive experience in organizational management through a long public service career and expertise in the cultural industry sector. Photo by Kim Hyun-min kimhyun81@

Agricultural products vary in quantity and quality depending on climatic conditions. The same goes for content. Appropriate production environments and distribution networks are essential requirements. At the core of this foundation is the Korea Creative Content Agency (KOCCA). It oversees production and financial support, as well as distribution, talent development, technology development, and policy research.

The content industry, which had been thriving, faced a crisis two years ago. The spread of COVID-19 blocked overseas face-to-face export routes and caused disruptions to concerts and other performances. Although the crisis was overcome through a rapid shift to online business matching and other non-face-to-face methods, structural imbalances became entrenched across different sectors. Calls grew louder for a new strategy encompassing the entire industry to strengthen its foundational capabilities.

A ship leaning to one side needs a compass. A veteran was brought in to ensure KOCCA’s smooth sailing. Director Cho Hyun-rae, appointed last September, is an experienced helmsman. He has held various positions at the Ministry of Culture, Sports and Tourism, including Head of the Game Industry Division, Head of the Media Policy Division, Head of the Copyright Policy Division, Director General of the Content Policy Bureau, Director of Tourism Industry Policy, and Chief of Staff.

In an interview with Asia Economy on the 1st, Director Cho revealed KOCCA’s operational plans for this year. The reason expectations are spreading in the industry is due to his proven capabilities. He has a deep understanding of the industry and has been regarded as the right person to lead KOCCA early on by establishing timely policies.

Director Cho is a figure with the ability to guide policies to a smooth landing through collaboration inducement. The 2010 Game Industry Strategy Committee is a representative example. While serving as Head of the Game Industry Division, he gathered about eighty experts from various fields to prepare detailed mid- to long-term execution strategies for the game industry. He established a response system tailored to industry issues, realizing so-called ‘participatory policies.’

This is the color KOCCA will show this year. KOCCA plans to build a stable content production system by communicating with the field through a two-track approach of online and offline. Centered on eight business centers and two marketers, it will expand points of contact for overseas exchanges and broaden the scope of the Hallyu experience. Director Cho stated, "All support and policies will be promoted with content and creators at the center," adding, "We will strive for continuous improvement to enhance content value and maintain cultural competitiveness."

Asia Exclusive_Cho Hyun-rae, President of Korea Creative Content Agency./Photo by Hyunmin Kim kimhyun81@

-Even in the non-face-to-face era, many domestic contents moved the hearts of people worldwide.

"The export value of the content industry in 2020 was $11.92428 billion (approximately 14.5356 trillion KRW), a 16.3% increase from $10.25388 billion in 2019. Considering that the Korea Customs Service announced a 5.5% decrease in total exports in 2020 compared to the previous year, this is an astonishing achievement. It is thanks to creators who proved infinite creativity and storytelling. We plan to strengthen overseas accessibility to attract more consumers. Our staff are surprisingly good at organizing business matching events such as export consultations. This is possible because we have built a solid network over several years. If we only supplement consulting and educational capabilities, I am confident that another opportunity will come. We also have high expectations for face-to-face events resuming this year. We will prepare well so that even foreigners uninterested in domestic content cannot just pass by."

-This is possible only if the product value and completeness of content are consistently maintained.

"You just have to avoid falling into a rut. Consumers always seek new content. But if you look closely, most storytelling boils down to love or hatred. The key is how similar stories are composed and expressed through writing, video, songs, etc. Creators will not repeat stereotyped methods or attitudes. They would be ignored first in the high-expectation domestic market. With the rise of global Over-The-Top (OTT) services, many creators now plan and develop content with the global market in mind. We will establish systems suited to this and provide in-depth overseas information to maximize capabilities."

-Although export routes have been established in various countries, difficulties remain in exchanges with China.

"We hope the exchange venues will reopen soon. We cannot just sit idly by. We are preparing various projects centered on business centers in Beijing and Shenzhen in anticipation of resumption. Last year, we also carried out a Korea-China immersive content business matching support project and held ‘Korea Content Day.’ Since China is a country with a high export share, we plan to pay special attention. Despite difficulties such as the Hallyu ban, domestic companies have found self-help measures like switching to OTT. As a result, they have gained insight into entering the global market, which can be called a blessing in disguise. We are creating production and distribution environments and revising related systems to match the expanded choices. If we communicate with the field and reduce risk factors one by one, perhaps China’s door will open soon as well."

-What project do you most look forward to in terms of expanding overseas exchanges?

"The ‘K-Content Expo’ held in Vietnam in October and the ‘K-Brand Overseas Promotion Pavilion’ set up in Indonesia in November. If prepared systematically, the interest accumulated through non-face-to-face methods will explode, creating many opportunities. I hope exchanges will expand into various fields rather than just increasing sales contracts. Recently, the U.S. Wall Street Journal predicted that Korea could be the first in the world to transition to COVID-19 endemicity. Being able to prepare for face-to-face transition earlier than other countries is a considerable advantage. I believe the possibility of contracts and exchanges is greater than ever."

-Domestic intellectual property (IP) sales and exchanges are not very active. This is especially true for verified IP. It is often pointed out as a cause for the lack of momentum in new content fields such as metaverse and immersive content.

"Since it connects beyond simple genre shifts to manufacturing, delays seem inevitable. I judged that organization was necessary and recently established an in-house Content IP Task Force (TF). We have gathered experts from various fields to identify mutual demands and exchange diverse opinions. There are differences in the scope and function of IP as defined by each business sector. Therefore, we plan to apply discussion methods according to inter-industry demands through advisory committees by division. We aim to create a framework where various fields cooperate and find solutions, announcing a roadmap by the end of the year."

-You must have high expectations for the Content IP Expo scheduled within the year.

"We have not set a specific schedule yet. The vision is set as ‘Infinite Expansion of Content IP.’ Through exhibitions and showcases, we will promote the competitiveness of domestic IP, and conduct conferences, pitching, and business matching to grow it into Asia’s largest global content IP comprehensive business expo. We want to invite many IP companies representing each field and overseas buyers to encourage multifaceted exchanges as well as national interest."

Asia Exclusive Interview_Jo Hyun-rae, President of Korea Creative Content Agency./Photo by Hyunmin Kim kimhyun81@

-In new fields such as the metaverse, not only IP scarcity but also quality completeness issues are pointed out.

"Still, growth potential remains large. Even if the face-to-face era opens, non-face-to-face culture will continue in parallel. The problem is profit generation. Content providers and large companies still have doubts. I think District’s bold moves are the answer. They greatly improved profitability by establishing media art exhibition halls in Jeju, Yeosu, and Gangneung. KOCCA shared the burden arising from trial and error because we saw sufficient potential. It is no different in the metaverse. If similar conditions are provided, we are willing to invest boldly."

-New challenges for content companies must be supported by sufficient research and development (R&D). The role of the recently launched affiliated organization, the Culture, Sports and Tourism Technology Promotion Center, seems to be becoming important.

"Technology developed for content production is not used for just one work. It expands to other fields and creates new areas. KOCCA’s support in 2010 for Locus’s 3D animation authoring, rendering, and motion and expression implementation R&D is a representative example. It did not stop at producing the animation ‘The Seven Dwarfs (2010)’ but was used to make the film ‘Red Shoes (2019),’ which was released in 123 countries. Last year, we also produced the virtual human Rozi. The Culture, Sports and Tourism Technology Promotion Center is based on this integrated thinking. It aims to induce active R&D exchanges in culture, sports, and tourism fields to produce diverse content. Currently, we operate sector-specific working groups to discover new projects. Industry-academia-research experts and responsible producers monitor technology trends and generate ideas. We plan to derive and materialize specific business directions and strategies within the year."

-Have you ever thought about an ideal model or R&D?

"Two or three years ago, I watched a musical with my daughter. After the performance, she said, ‘The actor’s singing and the MR (music recording without vocals) were half a beat off.’ I have a poor ear and didn’t feel discomfort, but others made similar remarks. No matter how excellent the actors’ performances were, the overall quality of the show was lowered. It reminded me of ‘Cirque du Soleil’ I watched in Las Vegas, USA. It was probably because I felt the exquisite harmony of acting, stage, lighting, and sound. Now, theaters must also evolve to survive. There is infinite room to incorporate immersive content and more. I want to contribute to the content industry by increasing the feasibility of that realization."

▲Born 1966 ▲Bachelor’s in Public Administration, Korea University, 1991 ▲Passed the 1992 Administrative Examination ▲Master’s in Journalism and Broadcasting, Chung-Ang University Graduate School, 2005 ▲Master’s in Public Policy, KDI School of Public Policy and Management, 2009 ▲Head of Game Industry Team, Ministry of Culture, Sports and Tourism, 2006 ▲Head of Media Policy Division, Ministry of Culture, Sports and Tourism, 2009 ▲Planning and Finance Management Officer, Ministry of Culture, Sports and Tourism, 2010 ▲Head of Copyright Policy Division, Ministry of Culture, Sports and Tourism, 2012 ▲Director of Planning and Operations, National Museum of Korea, 2014 ▲Director General of Content Policy Bureau, Ministry of Culture, Sports and Tourism, 2017 ▲Director of Tourism Industry Policy, Ministry of Culture, Sports and Tourism, 2019 ▲Chief of Public Communication Office, Ministry of Culture, Sports and Tourism, 2020 ▲Chief of Staff, Ministry of Culture, Sports and Tourism, 2021