|
Korea¡¯s leading mobile operator SK Telecom is getting ready to branch out into the entertainment industry because it needs content for new mobile services like wireless broadband internet (WiBro) and satellite digital mobile broadcasting (DMB).
SK announced Friday it plans to acquire YBM Seoul Records for W29.2 billon (US$29.2 million), having signed a contract to acquire a 60 percent stake in the country¡¯s largest music label by taking over shares from the music company¡¯s largest shareholder Min Young-bin and issuing new stocks.
The acquisition will give YBM Seoul the right to distribute music content for SK Telecom both offline and online, including on its music portal site Melon. The record company¡¯s president Ham Yong-il will remain in office.
The mobile operator also plans to establish a music fund to promote the local music market and help Korean singers debut overseas. In February, it already acquired a 21.7 percent stake in entertainment company IHQ, which produces movies and dramas, for W14.4 billion. Seo Jin-woo, an SK Telecom executive, said through investment in digital content the company hoped to boost the sluggish local music industry and contribute to exporting Korean-made content to the global market.
(englishnews@chosun.com )
|
