[2022 National Audit] Naver Z CEO: "Zepeto Content Not for Revenue... Different from Games"

Kim Dae-wook, CEO of Naver Z, "Zepeto Strong in Experience, Interaction, and Educational Purposes" Draws Line with Games

Minister of Culture, Sports and Tourism Park Bo-gyun is attending the National Assembly's audit on the Ministry of Culture, Sports and Tourism held on the 5th, responding to lawmakers' questions. Photo by Yoon Dong-joo doso7@

[Asia Economy Reporter Kim Heeyoon] Metaverse community Zepeto has received notification of game rating classification, but the developer has stated that it is different from a game.

On the 5th, during the National Assembly Culture, Sports and Tourism Committee’s audit, in response to Justice Party lawmaker Ryu Hojung’s question, "How do the purposes of games and game element content within Zepeto differ?" Kim Daewook, CEO of Naver Z, stated, "Content with game elements within Zepeto does not aim for revenue, so it differs from games."

On that day, lawmaker Ryu requested Kim as a witness and continued questioning regarding 'games and other content within Naver Zepeto (metaverse)'.

Presenting a video comparing game content within Zepeto and actual game content, lawmaker Ryu asked, "Game companies’ games have received game ratings, so why is a different guideline necessary only for games within Zepeto?"

In response, CEO Kim explained, "Both contents clearly include game elements, but there is a definite difference in the purpose for which the content was created. Games are planned and marketed to generate revenue from players, whereas content within Zepeto is mostly for experience, education, or experiential purposes rather than revenue, so there is a difference."

Lawmaker Ryu criticized, "Whether the purpose is revenue or gaming is irrelevant. Even if it is non-profit or educational, a game is still a game. I think this is sophistry."

On the 5th, Kim Dae-wook, CEO of Naver Z, appeared as a general witness at the National Assembly's Culture, Sports and Tourism Committee audit and is making a statement. Photo by National Assembly Broadcasting Station

Lawmaker Ryu asked, "Naver Z is collaborating and investing with 14 developers including game developers. Since games developed by game companies are expected to be serviced within Zepeto, have you considered becoming a self-rating classification business operator?"

In response, CEO Kim said, "We will faithfully follow the government’s opinion on that matter," expressing willingness to cooperate regarding becoming a self-rating classification business operator.

Currently, Zepeto offers about 40,000 pieces of content, of which 52 are games. Naver Z is collaborating with 14 companies, including game developers, to produce game content within the metaverse.

Lawmaker Ryu emphasized to Park Bo-gyun, Minister of Culture, Sports and Tourism, "A game is a game, and applying different standards will be seen as preferential treatment. As the minister in charge of overseeing content, please clarify your position and coordinate with other ministries."

The controversy over applying game laws to Zepeto has become a hot topic in the gaming industry, which is preparing to launch metaverse services. This issue has drawn attention as leading domestic game companies such as Nexon, which recently launched ‘Nexon World’ and ‘MapleStory World,’ Netmarble, NCSoft, and Com2uS are all preparing to launch metaverse services within the year.

Accordingly, the Prime Minister’s Office-led government coordination office pushed for the establishment of metaverse guidelines within the year, but the Ministry of Culture, Sports and Tourism and the Ministry of Science and ICT have not been able to reconcile differences during working-level meetings.

The Ministry of Culture, Sports and Tourism holds the position that it is impossible to enact an exception notice for game laws in the metaverse. As an alternative, it proposed that metaverse operators classify games themselves. Samsung Electronics and Kakao Games are currently designated as self-rating classification business operators.