Government Designs the Market, Companies Compete for Real: A Move by K-Content [A Step for K-Content]

Policy-Driven IR Reshapes Overseas Expansion
U-KNOCK 2025 Connects Directly with Local Investors
Companies Take the Lead in Convincing Investors

The government is shifting from the traditional "support first, report later" approach to a performance-oriented support system to help Korean content companies expand overseas. Through a "policy-driven IR (Investor Relations)" model-where the government designs the market and companies engage in real-world competition-the strategy is to directly connect local investors and production companies with Korean firms. To back this initiative, the content industry budget has been significantly increased this year.

'U-KNOCK 2025 in USA' serves as a testbed for these changes. By adopting the policy-driven IR model, the government sets up the market, invites local investors and production companies, and directly connects them with Korean businesses.

The most significant change is that the government no longer relies solely on grant-based support. Now, companies must persuade investors on their own. The Ministry of Culture, Sports and Tourism uses investment performance as a key metric in policy evaluation, and links production or commercialization support to companies that sign investment contracts or joint production MOUs.

This year, the content industry budget amounts to approximately 1.3 trillion won. The scale of policy financing allocated to support export-oriented companies is increasing every year. The Ministry is expanding overseas hubs and supporting distribution, marketing, and investment attraction for small and medium-sized production companies through the "K-Content Fund."

The Korea Creative Content Agency has established a follow-up support system that continues even after the event, including investment consultations, global partner matching, and intellectual property (IP) commercialization counseling. Woo Seongbae, Team Leader of Content Finance Support at the Agency, said, "We regularly assess performance and award additional points to outstanding companies in the next year’s business evaluations." Among the 15 companies that entered the U.S. market this year, two were selected as outstanding companies through the domestic investment attraction program "KNOCK."

Participating companies have responded positively. Shin Changhwan, CEO of Studio Gale, said, "Given the weakened state of the Korean animation industry, the North American event is timely," adding, "If it were held quarterly or semi-annually instead of just once a year, there would be more opportunities for engagement." Song Yoosang, CEO of Millennial Works, commented, "It is an extremely important opportunity for early-stage startups," and noted, "Brand credibility is also enhanced through government verification." Kim Dongguk, CEO of Hi Stranger, stated, "U-KNOCK acts as a bridgehead for global expansion of tech startups," and revealed, "In July, we began open innovation discussions with major Japanese broadcasters."

Team Leader Woo emphasized, "We are strengthening support by establishing ongoing networks with local investors, as well as legal, distribution, and marketing experts, so that companies can settle stably in the local market even after the event."

The government is also operating a "content value assessment" system. A prime example is the "K-Value Fund (Value Assessment Linked Fund No. 4 and No. 5)," which was established in the second half of 2023 with a scale of about 33.3 billion won. This structure evaluates content IP as a financial asset and connects it to investment opportunities.

The evolution of policy is not simply a matter of grants, but depends on how much "market design authority" can be delegated to the private sector. U-KNOCK represents the first step in demonstrating this potential.