CJ ENM CEO Kang Ho-seong. Photo|CJ ENM
[Maeil Economic Daily Star Today reporter Shin Young-eun]
CJ ENM announced its vision to become a global total entertainment company by investing 5 trillion won in content production over five years.
A press conference for “CJ ENM VISION STREAM” was held at CJ ENM Center in Sangam-dong, Mapo-gu, Seoul on the morning of the 31st. Kang Ho-sung, CEO of CJ ENM, and Yang Ji-eul and Lee Myung-han, co-founders of TVing, attended the event.
“CJ ENM has been making investments to industrialize contents of South Korea for 26 years.” said CEO Kang of CJ ENM. “Thanks to this investment, the Korean film Renaissance era has come, and global K-POP and global K-DRAMA have been produced,” he said. “It has been running with a long-term vision to become a global total entertainment company.” “After making huge investments for 26 years, CJ ENM has established itself as the largest contents company in South Korea.”
“We are trying to reveal a new vision,” CEO Kang said. “CJ ENM will not settle for its position as South Korea’s No. 1 content company.” The content market is now a global market where barriers between countries have been broken down. CJ ENM will be reborn as a global total entertainment company. “We will communicate with customers and meet various needs of customers.”
“We are planning to build well-made IP mass-production system and infrastructure while also increasing investment in contents. This year alone, 800 billion won in content investment is scheduled, and we plan to invest more than 5 trillion won in content over the next five years.”
“CJ ENM has been continuously increasing investment in contents. This amount comes out if you enroll previous content investments in the next five years. We are not suddenly making excessive investments, but are planning to increase investments based on current growth rate.”
Lim Sang-yeop, a CJ ENM COO, said, “This year, it will cost $800 billion (800 billion KRW). According to the content, it is about 2,000 episodes. It presents about four contents a day. “We plan to invest more than half of them in dramas, and the rest in entertainment and movies, including television.”
CJ ENM has come up with a strategy for ▲ upgrading content production capabilities ▲ securing music mega IP ▲ strengthening digital capabilities ▲ globalization of production capabilities. TVing presented strategies for growth of ‘NO.1K Content Platform’.
◆ Expand production area with transmedia content…Extending distribution to multi-platforms
CEO Kang said, “We will continue to create franchise IPs with LTV (Lifetime Value) and complete a complete self-produced ecosystem that creates transmedia content between dramas, movies, webtoons and performances.”
The idea is to have a multi-studio structure specialized in entertainment, movies, digital animation, etc., going one step further from opening a professional drama production studio through Studio Dragon in 2016.
Contents produced by professional studio structure will be supplied not only to TVing but also to global OTT including Netflix. Through this, it plans to secure profitability and provide motivation and vision for creators by continuously strengthening global planning and production capabilities.
CEO Kang said, “One of the measures to strengthen the ability to produce contents is the multi-studio structure. It has the advantage of being able to make new attempts to encompass both formats and genres. “I think the most optimized system for creating transmedia content while encompassing the genres of entertainment movies and digital animation is multi-studio,” he said. “I am thinking about all possibilities open.” “It’s too early to say anything now, but I’ll organize and share specific plans within this year.”
◆ Expanded mega IP investment for global music business
Samsung Electronics is planning to continue to secure and nurture Mega IP in order to expand its music business globally.
CEO Kang said, “We are planning to continue to secure and nurture Mega IP for global expansion.”
Representative Kang said, “N.Fippen, which was born through ‘I-LAND’, topped the Billboard World Album Chart.” JO1 (J.O. One), which was produced through an audition program in Japan, topped the Oricon chart, and the second season of the program is currently on air. “We joined hands with HBO-MAX and started planning and developing audition programs for South American K-pop idol groups.”
“Based on our ability to produce audition programs such as ‘Superstar K’ and ‘I-LAND’, we will continue to secure K-POP Mega IP through global audition program production and build an experiential global content ecosystem with CJ ENM’s IP portfolio by combining it with large global projects such as ‘MAMA’ and ‘KCON’.”
◆ TVing focuses on franchise IP for more than half of original content
“TVing is a D2C (Direct to Consumer) platform that allows content providers to interact directly with customers,” said Yang Ji-eul, co-CEO of Tving. “By directly providing content that can satisfy customers’ tastes, we will serve as a window to distribute K content globally.”
“TVing plans to produce about 100 original products by 2023, secure 8 million paid subscribers, and expand its global business by 2022 to achieve its vision of ‘No.1K Content Platform’,” he explained.
“TVing has proven capabilities. The strength of TVing is that there are CJ ENM, JTBC Studio, and Studio Dragon that can continuously provide quality content to TVing. “We will also provide discriminatory pleasure and expand our fandom through additional content of existing popular contents in the company said.
“We are planning to expand the IP of franchises for this purpose.
It is planning to focus more than 50% of its original investments on fostering franchise IP. “We plan to foster franchise IPs such as ‘Reply’, ‘Wise Life’, ‘New Journey to the West’ and ‘Great Escape’ and meet the tastes of various fandom with more than 6,000 films, colorful animations of kids and adult targets like ‘SinBia Apart’, documentaries with fresh plans and premium sports broadcasts.”
“TVing will create content that can become Asia’s Marvel. “We will create a variety of contents that can be enjoyed by all customers and present the best, the latest, and the best in TVing .”
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