Technology Is Rewriting the Korean Wave [K, to Hollywood]

Ministry of Culture, Sports and Tourism and KOCCA Host 'U-KNOCK 2025' in LA
K-Content Evolves with AI and AR at the Forefront
A Shift from Simple Support to an Arena of Investment Competition

On-site at 'U-KNOCK 2025 in USA'

Editor's NoteThe Korean Wave is shifting from "emotion" to "technology." "U-KNOCK 2025 in USA," held by the Ministry of Culture, Sports and Tourism and the Korea Creative Content Agency for three days starting November 5 (local time) in Hollywood, Los Angeles, showcased this transformation. Korean content companies engaged in negotiations with local firms for investment and collaboration, prominently highlighting next-generation technologies such as artificial intelligence (AI), augmented reality (AR), and emotion technology. According to statistics from the Korea Creative Content Agency, the Korean content industry reached a record export value of 1.334 billion dollars (about 1.9383 trillion won) in 2023. The industry has grown in size; now, it is time to change its structure. The government is shifting its focus from support to investment, and from emotion to technology, positioning the "industrialization of K-content" as a national strategy. The Asia Business Daily visited the U-KNOCK event to observe the driving forces of change: policy, technology, investment, and intellectual property (IP). The era of emotion is giving way to a new Korean Wave, rewritten through technology.

Korean content companies explored opportunities to enter the global market from the heart of Los Angeles. At "U-KNOCK 2025 in USA," they entered the Hollywood ecosystem, emphasizing technology, investment, and intellectual property (IP).

This marks a structural turning point, enabling direct contact with global capital. The Korean content industry has not experienced negative growth since 2010. However, its market share in the global arena remains limited.

According to market research firm PwC, the global entertainment and media (E&M) market was valued at approximately 2.9 trillion dollars (about 4,150 trillion won) last year. North America accounts for 40% of this figure, making it the world's largest market. This is why Korean companies are turning to Hollywood.

American companies are also paying attention to Korea. Paul Lee, CEO of independent studio WIIP, remarked, "Korea is one of the most dynamic content markets in the world. Its creativity, quality, and ambitious storytelling have changed the way global audiences consume content."

On-site at 'U-KNOCK 2025 in USA'

From Support to Investment

The government’s method of support is changing. Woo Seongbae, Head of Content Finance Support at the Korea Creative Content Agency, explained, "Traditional export support focused on overseas distribution and promotion of individual content. U-KNOCK is structured to connect with foreign capital, partners, and IP."

This event saw the participation of fifteen Korean content companies, which held business meetings with around fifty major American production and investment firms, including Etsy, Forbes, Warner Bros., Sony Pictures, M13, BAM Ventures, Upfront Ventures, and Southpaw Capital.

Woo emphasized, "We must move beyond production cost support toward a structure that attracts investment." The growth of tech companies is driving this change. Recently, animation, visual effects (VFX), and AI-based production companies have gained global attention. It is now becoming a reality for Korean firms to enter global production networks.

However, the transition is not without challenges. The biggest obstacle is the uncertainty of converting negotiations into tangible results. Even if meetings are arranged or memoranda of understanding (MOUs) are signed at investor relations events, it takes at least six months to secure actual investments.

Woo noted, "U-KNOCK is a project that began just last year, so it is too early to discuss results." Since investment deals typically take at least six months to materialize, outcomes are expected to become visible next year. He added, "In the Japanese market, some companies are pursuing financial investor (FI) investments and establishing joint ventures (JVs)."

On-site at 'U-KNOCK 2025 in USA'

Building Trust Is Key

Song Yusang, CEO of Millennial Works, who participated in U-KNOCK, said, "The biggest challenge is the preconception that we are 'unverified Asian startups.'" Jin Saem, Chief Technology Officer (CTO) of Curz, also commented, "In North America, local track records and references are central to building trust. Since we are still lacking in this area, it takes time to persuade partners during initial negotiations."

In reality, the overseas expansion of Korea’s content industry is still in its early stages. According to the "2024 Q4 and Annual Content Industry Trend Analysis Report" released by the Korea Creative Content Agency, while total overseas sales of the content industry have increased, their proportion remains small. For example, the animation industry accounts for only 0.9%.

In particular, small and medium-sized enterprises remain focused on selling finished products, lacking sufficient diversification into IP licensing and platform businesses. Market expansion is only possible when technology, capital, and IP are combined.

In this context, U-KNOCK could become a new bridgehead for Korea’s content industry. As technology, creativity, and capital converge, Korean companies are proving themselves in the global arena. The real beginning starts now.