Fri Oct 04 04:59:34 UTC 2024: ## CJ ENM Invests 1 Trillion Won to Combat Hollywood Competition and Industry Crisis

**SEOUL** – CJ ENM, South Korea’s largest entertainment company, announced plans to invest a staggering 1 trillion won (S$970 million) annually in content production, aiming to compete with Hollywood and revitalize the struggling domestic entertainment industry.

The investment pledge comes amidst growing concerns about the Korean entertainment industry’s future, despite the global popularity of K-pop and K-dramas. Rising production costs and declining advertising revenue from local platforms have put pressure on local players like CJ, while Netflix’s dominance in distributing K-dramas internationally, including the global hit “Squid Game,” adds further challenges.

CJ CEO Yoon Sang-hyun acknowledged the challenges but emphasized the opportunities: “The content media industry is said to be in crisis, with more competition than ever before and a rapidly changing ecosystem, but I think there is definitely an opportunity in it.” He believes that significant investment is key to establishing a truly international presence: “We will find solutions together, and we want to create a virtuous circle that our content travels around the world.”

To overcome the industry downturn, CJ’s affiliates are taking steps to expand internationally. Studio Dragon, known for Netflix’s “The Glory” and “Love Next Door,” is seeking to produce shows specifically for the US and Japanese markets. Tving, CJ’s streaming platform, is also aiming for global expansion, targeting major markets like the US, Southeast Asia, and Japan. Additionally, CJ is exploring new markets like the Middle East and India.

This ambitious investment and international expansion strategy demonstrates CJ’s commitment to securing a prominent position in the global entertainment landscape. Whether this will be enough to overcome the industry challenges and compete with Hollywood remains to be seen.

Read More