Kim Hyun-bin began his journalism career at Arirang TV from 2012 to 2017, specializing in defense, foreign affairs and the economy. In 2018, he joined The Korea Times, covering society and business, and is currently responsible for embassy affairs.
Kakao, Naver strengthens OTT platform
By Kim Hyun-bin
Kakao and Naver, the country's two leading messenger and portal providers, have been strengthening their over-the-top (OTT) platforms to better utilize their vast intellectual property (IP) accumulated over the years.
Industry watchers are waiting to see if the two companies will be able to take back some of a market that is dominated by local telecom companies and global content giant Netflix.
Currently, the local OTT market is “controlled” by the three major telecom companies ― SK Telecom, KT and LG Uplus ― having a close to 90 percent share. Once the ongoing acquisitions of CMB and D'Live are sealed they will have over 95 percent.
Starting Sept. 1, Kakao will enhance its OTT platform KakaoTV to stream original content developed by its affiliate Kakao M. Kakao will offer short videos that are around 20 minutes in length.
Poster for Kakao M's upcoming video series "My Dream is Ryan" scheduled to be aired in September on Kakao TV. / Courtesy of Kakao M
By Kim Hyun-bin
The leading messenger is scheduled to release 20 series made up of 300 videos made this year. The videos can be viewed through Kakao Talk or the Kakao TV application where users will be able to enjoy up to 70 minutes of original content daily.
“Currently, the local OTT platforms lack original content, with most original material being watched on YouTube and TikTok, and mostly developed by one-person creators lacking professionalism,” a Kakao M official said. “We are focused on developing premium original videos that are 20 minutes per episode.”
Naver through its Series On platform has been expanding its presence in the market by hiring key talented workers in the industry and entering diverse partnerships with content providers.
Series On was launched in 2013 providing downloadable movies and broadcasts, but starting last year, it added its Naver Webtoon series.
Kakao and other IT platforms have been working for years to create an infrastructure to develop and distribute their content. Kakao through its affiliate Kakao M has acquired popular drama and movie production companies as well as recruiting renowned producers. It also acquired several entertainment companies such as BH Entertainment and J,WIDE-Company making it easier to hire celebrities for their productions and events.
The major strength of the IT platforms is the vast intellectual properties they have acquired. Kakao Page alone has over 7,000 accumulated pieces of content, some of which have been made into hit movies and dramas.
Kakao has established a strong content value chain derived from its 52 million monthly users as well as webtoons, which Kakao M plans to fully utilize.