Netflix to spend $2.5 billion in South Korea

Netflix plans to invest $2.5 billion in South Korea over the next four years. They want more Korean TV shows, movies, and unscripted content, and are committing double the amount they have invested there since 2016.

The announcement was made after a meeting between South Korean President Yoon Suk Yeol and Netflix co-CEO Ted Sarandos. Yoon praised the investment as a "major opportunity" for South Korea's content industry and Netflix. The Koreans will benefit from increased cultural exports and soft power.

South Korea's entertainment industry, known as the "Korean Wave" or Hallyu, has seen significant growth in recent years, with its music market led by K-pop groups like BTS and Blackpink.

In 2021, exports of content including music, video games, and films reached a record high of $12.4 billion, surpassing home appliances and rechargeable batteries in export volume. That's really impressive.

Shares of South Korean production and entertainment companies such as Showbox and Studio Dragon rallied on the news.

Netflix's decision to invest in South Korea was based on the company's confidence in the Korean creative industry, citing the success of global hits like Squid Game, The Glory, and Physical: 100.