News Korean Media announces a new 'Big 4' (Big Hit, SM, JYP, and CJ ENM, exclusion of YG) (1 Viewer)

[Myco]

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Spoiler: Translation

The three major companies that led the Korean music market and K-Pop are now being reorganized into four major companies. JYP Entertainment (JYP), one of the three major companies in the past year, exceeded a market value of one trillion won and SM Entertainment (SM) has continued to stay. Meanwhile, YG Entertainment (YG) has been excluded. In contrast, CJ ENM has entered the music market, and Big Hit Entertainment (Big Hit) is also a new member with remarkable growth alongside BTS.

YG

Recently, YG has been fluctuating due to their companies' risks and their artist's controversies. YG, which boasts annual sales and high operating profits due to the 2015 and 2016 Big Bang world tour, 2017 Japan dome tour, and fan meeting, has peaked since Big Bang entered the military. In fact, the absence of Big Bang, which accounted for the majority of sales has affected YG, and YG also seems to be rebounding to external investment and other areas. However, it seems difficult to change the structure of the artist-based sales structure. In fact, the share price of YG in 2018 reached its lowest (May 9, 26,700 won) on January 7, 2018 (58,000 won), but the situation was not good. Last year, YG consolidated sales were estimated at 285.846 billion Won and operating profit at 9.48 billion Won, which was much worse than that of 2018 recorded at 349.8 billion Won (sales) and 25.1978 billion won (operating profit). Above all, YG's weakness is that it does not see its future growth engine. Winner and Ikon, who debuted after Big Bang, have gained popularity in the past few years, but the fandom has not grown enough to be able to have a World Tour or Dome, and the girl group Black Pink has succeeded both at home and abroad, but seems to be inadequate to take charge of selling out their tickets.

CJENM - CJ ENM does not directly manage entertainers, but operates a label as a stake investment method and is gradually expanding its influence. Jellyfish Entertainment, Stone Music Entertainment, Swing Entertainment, Amoeba Culture, AOMG, and Highlight Records. Recently, they cooperated with Big Hit to establish a joint label label, Belift Lab, to promote the development of boy band idol groups. Founded with a capital of W7.0bn, Belift is committed to nurturing artists in Big Hit, who has proven planning, production and music capabilities. CJ ENM supports artists in the broadcasting, convention, concert, and music circulation and supports in global music ventures. CJENM is also involved in audition programs such as SuperStarK and Produce 101, as well as helping host conventions such as MAMA and KCON.

Big Hit

Big Hit, who started as a small company grew to become a leading artist and entertainment company in Korea. Big Hit achieved sales of W214.2bn in the past, operating profit of W64.1bn, and net income of W50.2bn. This is an increase of 132% in sales, 97% in operating profit and 105% in net profit from the same quarter of the previous year. Big Hit is considered to be one of the most promising listed companies currently. If listed on the basis of last year's results, it can be conservatively estimated that the enterprise value will exceed KRW 1 trillion to a maximum of KRW 2 trillion. It is also possible that it will have the largest market price cap over SM, JYP and YG. And Big Hit is continuing to drive growth with the successful launch of the new boy group Tomorrow by Together (TXT). Of course, there are many risks such as artist continuity, renewal, and enlistment which are inherent in entertainment companies. However, they have resolved the contract renewal issue last year, and have recently made a successful debut with their junior group, reducing their risks to the maximum extent possible.

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[yeji]

intresting.
not suprised that CJ ENM is a part of it. Tjey are huge and as far as I know bought out alot of labels or arw partnering with alot of labels.

 

[yeji]

@everyone you can’t throw the big3 privilege bs anymore. be original ya'll and let’s support each and every group or at least not hate on each othery .

 

[Carlshutup]

Blackpink will comeback with no big 3 privilege. My fave gg from nugu company

 

[Crackhead]

is this like official?

also which groups and soloists are under CJ ENM?

 

[feepit]

is this like official?

also which groups and soloists are under CJ ENM?

These are the companies under them:

• Stone Music Entertainment (Main label)
• MMO Entertainment
• The Music Works
• HIGHUP Entertainment
• Jellyfish Entertainment
• Hi-Lite Records
• AOMG
• Amoeba Culture
• Studio Blu
• Swing Entertainment
• Off The Record Entertainment
• LM Entertainment

 

[Myco]

is this like official?

also which groups and soloists are under CJ ENM?

 

[Darkseid]

While a lot of labels are under CJ E&M, it's not like all of those are managing their artists super effectively or efficiently. But the sheer volume is hard to ignore.

Also, while YG may be being excluded, they still hold a considerable amount of influence- let's hope Blackpink's comeback is super successful.

 

[Crackhead]

These are the companies under them:

• Stone Music Entertainment (Main label)
• MMO Entertainment
• The Music Works
• HIGHUP Entertainment
• Jellyfish Entertainment
• Hi-Lite Records
• AOMG
• Amoeba Culture
• Studio Blu
• Swing Entertainment
• Off The Record Entertainment
• LM Entertainment

if this is true then VIXX will rise hopefully and finally

 

[Abeamus]

As long as YG has Teddy Big 2/3/4 or not the company will always be powerful since YGs music is the biggest point.

 

[Darkseid]

if this is true then VIXX will rise hopefully and finally

Vixx is still much better off than Gugudan.
This is why although CJ E&M is an extremely large conglomerate that makes YG/SM/JYP look tiny, it doesn't always translate to the groups being that much better off.

Also hopefully all this atleast somewhat wakes YG the fuck up. Literally ALL his artists are popular with the GP yet he doesn't leverage on those strengths. Blackpink, iKON, Winner, Lee Hi, AKMU, Zion T, all top charts and ideally should have been able to keep YG in the big leagues in BigBang's absence. Also after the Seungri stuff, it will be interesting to see what happens when the other members come back from enlistment this year.

 

[CrunchyLegend]

BTS OPPARS PAVED THE WAY FOR THE BIG 4

 

[taemkitten]

It isnt surprising given their revenue generated without as much to pay back to subsidiaries they own (Big Hit doesnt currently have many or any operating out of their main company, though that will definitely change as they continue to grow) and their clear breakthrough in the market, but something about the fact that they still are not a publicly tradeable company with stocks and bonds, public investors....makes me still feel they arent entirely connected.

Just my opinion though. Doesnt change the fact that they clearly have made a name for themselves.

It will definitely be interesting to see their profits likely level out the more they divide revenue to cover likely investments the company makes in developing their brand to other markets and areas of types of businesses that the others listed above have over the years.

 

[Crackhead]

Vixx is still much better off than Gugudan.
This is why although CJ E&M is an extremely large conglomerate that makes YG/SM/JYP look tiny, it doesn't always translate to the groups being that much better off.

Also hopefully all this atleast somewhat wakes YG the fuck up. Literally ALL his artists are popular with the GP yet he doesn't leverage on those strengths. Blackpink, iKON, Winner, Lee Hi, AKMU, Zion T, all top charts and ideally should have been able to keep YG in the big leagues in BigBang's absence. Also after the Seungri stuff, it will be interesting to see what happens when the other members come back from enlistment this year.

Ahh I see thanks for explaining ^^ and indeed YG should wake the fuck up if he plans on being in top 3 with the new top 4 I guess we're safe to say gen 4 is coming close too maybe?

SM also needs to wake up ngl, he's literally paying zero attention to his top groups rn. If they all did comebacks etc he could be easily up as no. 1.

Props to BH and CJ ENM but if BH doesn't think of more groups to produce he might fall off, no? Because they only have 2 groups rn.

 

[Darkyoda47]

OOF. Welp CJ ENM was always the most powerful out of all these entertainment companies anyway. Almost everything goes through them. Even if they didn't create the biggest names in Kpop history or have the biggest groups right now, they were still the ones who controlled most of the shit in the music industry.

As for YG, I wouldn't worry about them AT ALL tbh lol. They still have GP backing, government backing and also police backing apparently lol.

 

[Myco]

OOF. Welp CJ ENM was always the most powerful out of all these entertainment companies anyway. Almost everything goes through them. Even if they didn't create the biggest names in Kpop history or have the biggest groups right now, they were still the ones who controlled most of the shit in the music industry.

As for YG, I wouldn't worry about them AT ALL tbh lol. They still have GP backing, government backing and also police backing apparently lol.

Yeah pretty sure once Big Bang comes back that YG's sales will "skyrocket" again lol

 

[Darkyoda47]

Yeah pretty sure once Big Bang comes back that YG's sales will "skyrocket" again lol

Yep. They just need BB to start touring again. Like SM relies on TVXQ, YG relies on BB.
Also, BlackPink seem to be bringing in huge tour numbers as well. If YG doesn't continue to mismanage them, he can at bring back at least 50% of what BB use to bring from BP.

 

[RandAlThor]

These are the companies under them:

• Stone Music Entertainment (Main label)
• MMO Entertainment
• The Music Works
• HIGHUP Entertainment
• Jellyfish Entertainment
• Hi-Lite Records
• AOMG
• Amoeba Culture
• Studio Blu
• Swing Entertainment
• Off The Record Entertainment
• LM Entertainment

This is also why i believe SM is no longer going on M countdown. The buys in the mid year and the ongoing distribution issue.

 

[Administrator2]

Okay, but shouldn't CJE&M be considered a conglomerate? I mean, they have literally multiple companies within.

Also, super glad for YG

 

[RandAlThor]

While a lot of labels are under CJ E&M, it's not like all of those are managing their artists super effectively or efficiently. But the sheer volume is hard to ignore.

Also, while YG may be being excluded, they still hold a considerable amount of influence- let's hope Blackpink's comeback is super successful.

I have to say no to that :) i want IZ one to be super successful(not that it will happen but a guy can dream)