The Future Wave Envisions: Integration with TVING, Disney Plus, and IPO...

Lee Taehyun, CEO of Content Wave [Photo by Wave]

[Asia Economy Reporter Kim Heung-soon] "If Wavve and TVING each strengthen their influence through healthy competition and then seek a way to collaborate, I believe they can definitely win against global OTTs like Netflix."

Lee Tae-hyun, CEO of Content Wavve, said at an online press conference marking Wavve's first anniversary on the morning of the 28th, "I agree with the direction that 'domestic OTTs need to integrate to respond to global OTTs like Netflix,'" but added, "If each strengthens their capabilities in their own way, they can sufficiently compete from their current positions."

Rather than immediately focusing on collaboration with TVING, where integration is being discussed, the priority is to strengthen content exclusively provided by Wavve and increase the number of subscribers to build its own competitiveness.

"Global platforms like Disney Plus are landing..."
"The key is local content; must secure victory through overwhelming play domestically"

Regarding Wavve's global expansion, CEO Lee emphasized that overwhelming competitiveness in the domestic market must be a prerequisite. He said, "The premise is that a service loved at home will be loved globally," adding, "If we cannot achieve overwhelming performance domestically, global expansion is practically difficult."

The domestic OTT market is expected to become much more competitive as global players with their own content and capital, such as Disney Plus, Apple TV Plus, and Amazon Prime, join following Netflix. CEO Lee forecasted, "Even if global platforms enter the domestic market, the key is how much local content they have. If Wavve, either independently or in alliance with domestic OTTs, secures a winning position, it will not be completely overwhelmed by global OTTs despite capital disadvantages."

Regarding the partnership with Disney Plus that mobile carriers are anticipating, he said, "It is not desirable to provide only our content to Disney while giving up subscriber information or payment control," emphasizing, "We need to move toward a direction where we exchange content and grow the market together."

Photo by Wave

Surpassed 10 million members in one year
IPO planned for 2024... Targeting 6 million paid subscribers

Since its official launch on September 18 last year, Wavve has achieved a milestone of exceeding 10 million total members, including both paid and free, within one year. Although the exact number was not disclosed, the paid subscriber ratio reportedly grew by 64.2% compared to the launch period.

The monthly active users (MAU), which indicates how many users actually watch Wavve content, is also on the rise. According to market research firm Nielsen Korean Click, as of August this year, Wavve's MAU was 3,879,730, a 20.9% increase from the previous month (3,211,354). This figure is close to the all-time high of 4,023,722 recorded in November last year. It ranks second among all OTT providers after Netflix (7,558,292) and is the leader among domestic platforms.

CEO Lee cited the continuous expansion of the library as Wavve's strength. As an OTT platform formed by a coalition of SK Telecom and the three terrestrial broadcasters, it has the advantage of accumulating dramas, entertainment shows, documentaries, and other content aired on terrestrial channels in real time. Additionally, starting with the drama "Nokdujeon" last year, Wavve has released 12 original contents this year, including 7 dramas, 4 entertainment shows, and 1 concert. It also exclusively offers over 6,000 monthly subscription movies and overseas series such as "The Handmaid's Tale," "Normal People," "Gangs of London," "FBI," and "The Affair."

According to Wavve, the subscriber churn rate three months after installation is about 27%. They are also considering ways to retain these users. Bae Jae-geun, head of Content Wavve's Marketing Strategy Group, said, "We are promoting a campaign to improve the search service so that users can pleasantly and enjoyably find numerous Wavve contents," adding, "We expect to introduce this in the fourth quarter."

At the press conference, Wavve's IPO plans were also revealed. Jung Wook, head of Content Wavve's Corporate Center, stated, "We plan to apply for an IPO in 2023 and aim to list on KOSPI or KOSDAQ in 2024," adding, "By then, we expect to secure 6 million paid subscribers and achieve sales exceeding 500 billion KRW."

This content was produced with the assistance of AI translation services.