K-POP Industry at a Crossroads Amid Falling Album Sales and Rising Scandals

The K-POP industry is facing a structural crisis. With declining album sales and a surge in scandals in 2024, the industry’s future has become uncertain, prompting attention to whether the Comeback of BTS and BLACKPINK in 2025 could serve as a factor in overcoming this crisis. 2024 was a year of stark contrasts for K-POP. On one hand, there were major highlights such as the solo activities of BTS members and the release of self-produced music by BLACKPINK, but on the other hand, unprecedented scandals shook the industry. A series of controversies including HYBE’s public hearing regarding NewJeans, allegations of abuse against the global group VCHA under JYP Entertainment, and accusations of sexual violence against Taeil of NCT 127 overshadowed the music itself. The key to revitalizing the K-POP industry in 2025 lies in the full return of BTS. All seven members of BTS will complete their military service by the end of June 2025. Although official new songs or albums are not yet scheduled for the second half of this year, industry insiders expect the group to hold events and fan meetings to reunite with their global fanbase. However, the impact of member SUGA’s drunk driving incident on group activities remains unclear. BLACKPINK is also expected to play a significant role in elevating the status of the K-POP industry. The group’s 2025 world tour is anticipated to generate revenue on par with that of their previous tour, which amounted to $300 million (approximately 420 billion won). Yet, internal tensions within the group are evident, including a lack of enthusiasm from Jisoo and Jennie, as well as criticism regarding Lisa’s vocal abilities. Another aspect of the crisis in the K-POP industry is even more fundamental. What became apparent in 2024 is that South Korea’s entertainment industry is shaking at its roots. By the end of 2024, both the solo activities of BTS members and BLACKPINK’s new music projects were primarily in English, with collaborations mainly featuring international stars such as Justin Bieber and Ariana Grande. Fans have criticized this on social media, saying “K-POP no longer feels like K-POP.” It is argued that as K-POP enters its fifth generation, its focus on creating “global groups” that transcend geographical and cultural boundaries is damaging the genre’s original essence. Although major agencies such as JYP Entertainment, SM Entertainment, and YG Entertainment have announced new group Debuts for 2025, they are likely to remain constrained by strategies centered on Western markets. SM Entertainment is also expanding the market for AI artists like the virtual idol NAIVIS. While virtual idols such as PLAVE and NAIVIS gained attention in 2024, overcoming technical limitations and sustaining public interest remain ongoing challenges.