[StartupRecipe] K-pop Boom Fuels VC Bets on Entertainment

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#Weekly Funding Overview

#FUNDING

#TREND ANALYSIS

K-pop Boom Fuels VC Bets on Entertainment

The global momentum behind K-content shows no signs of slowing, fueled by the successful world tours of BLACKPINK, SEVENTEEN, Stray Kids, and TWICE, as well as the recent breakout success of K-Pop Demon Hunters. Against this backdrop, investor interest is diversifying beyond major agencies to mid-sized entertainment companies and emerging entertech firms.

Whereas past investment trends were concentrated on fandom platforms, recent activity has increasingly centered on entertainment companies managing mid-sized idol groups. The appeal lies in their ability to leverage idol IP to expand into global markets while branching into platforms, concerts, and intellectual property (IP) businesses.

Notable investment cases this year include Modhaus (tripleS), S2 Entertainment (Kiss of Life), H Music Entertainment (Hitzys), Attrakt (FIFTY FIFTY), iNKODE (founded by TVXQ’s Kim Jaejoong), and 23rd Century Kids, which produces the virtual idol group WEGOSIX. Blitzway Entertainment has also expanded its presence by acquiring music label Klep (home to Kep1er), evolving into a comprehensive entertainment company with K-pop assets.

Key drivers behind investor confidence include technological innovation, global scalability, professional expertise, and proven results. In particular, building global fandoms and pursuing active overseas activities are common strategies across nearly all funded companies. Beyond artist rosters, investors are increasingly weighing technological capabilities and fandom platform operations as decisive factors. With industry giants like HYBE and SM Entertainment already diversifying revenues through platforms such as Weverse and Bubble, mid-sized agencies are adopting similar strategies. All Day Project, a rookie group under The Black Label, recently launched its own fan platform, Dayoff, highlighting this trend.

Technology has become a critical differentiator. Modhaus has expanded its ecosystem through Cosmo, a blockchain-based fan participation platform, accelerating global fandom growth. Meanwhile, entertech startup BIGC, which does not manage idols but counts 80% of its users overseas, secured funding by offering an integrated service spanning live streaming, ticketing, and OTT.

The expertise of industry veterans has also played a pivotal role in attracting capital. Many of the companies that recently secured investment were founded by former executives from major players such as JYP and Cube Entertainment, or even by K-pop stars themselves. A prime example is iNKODE, founded by Kim Jaejoong of TVXQ. Investors are also backing firms that have already demonstrated global traction, such as Attrakt, whose girl group FIFTY FIFTY achieved a mega-hit worldwide.

Given K-pop’s ability to generate diverse revenue streams—from fandom platforms to IP monetization—while expanding globally, investor appetite for mid-sized entertainment and entertech companies is expected to remain strong as long as demand for K-content continues.

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