HYBE and Kakao Entertainment Accelerate Push into Emerging Markets in India and Latin America...Undertaking Strategy to Develop Global Artists

Korean major entertainment companies such as HYBE and Kakao Entertainment are speeding up their expansion into emerging markets like India and Latin America. These firms, which have long pioneered the global K-pop market, are now implementing a strategy to localize the K-pop development model itself on a worldwide scale. HYBE stated in an official press release on June 30 that it is currently conducting research on the Indian market and plans to establish an Indian subsidiary in September or October. HYBE Chairman Bang Si-hyuk emphasized that “the K-pop business model must be adapted and exported to other music genres to survive in global markets.” India, which HYBE is focusing on, is a massive market with a population of approximately 1.4 billion people. The Indian entertainment industry is expected to reach 46 trillion won (3.3 billion dollars) by the end of 2025, and it ranked 15th in the global record market according to IFPI in 2024. HYBE is considering Mumbai as the base for its Indian subsidiary, taking note of the city’s vibrant music scene and rapidly growing K-pop fanbase. This expansion is part of HYBE’s long-standing “Multi-home, Multi-genre” strategy aimed at developing global artists through localization tailored to each country’s market and genre diversification. This is a core global expansion model directly led by Chairman Bang Si-hyuk. HYBE has already been applying this strategy in the United States and Latin America. In the U.S., it launched the multinational girl group “KATSEYE” through a partnership with Geffen Records. In 2023, it acquired the Latin music label Exile Music and restructured it as HYBE Latin America. In Latin regions, it is discovering artists through Tele Mundo’s audition program “Pase a la Fama” and separate reality shows. The most notable aspect is the application of training methods proven effective in Korea’s K-pop system. Kakao Entertainment has also secured a significant foothold in the Indian market. In 2020, it acquired Kross Pictures, which had been operating in India since 2015. Kross Pictures topped the box office in 2019 with “Oh! Baby,” a Hindi remake of the Korean film “Miss Granny.” Kakao also launched webtoon platforms Kross Komics and Tapas targeting urban youth in India, offering Korean digital comics in English and local languages. However, both companies face the complex cultural and linguistic environment in India. With a population of over 1.4 billion and more than 20 official languages, cities like Delhi and Mumbai serve as strategic entry points due to their globalized populations and established media industries. Yet, regional preferences, religious sensitivities, and the lack of a unified media distribution network require careful localization and local partnerships to ensure success. Competition among global music companies to enter India is fierce as well. Reservoir Media established an Indian branch in Mumbai in April and launched the “PopIndia” project to discover local artists. Primary Wave acquired two local labels in collaboration with Indian record label Times Music. Warner Music Group announced the joint label “5 Junction Records” in April to help South Asian artists break into North America, and it is accelerating its entry into the Indian market by acquiring shares in Indian digital content company Divo and investing in SkillBox. Industry experts expect HYBE’s entry into India to serve as an experiment in localizing K-pop training and production systems to fit the Indian market. Attention within the industry is focused on what results the K-pop development model, already proven successful around the world since BTS, will yield in India’s massive music market.