[Market Focus] Kakao Shares Plunge Over 5% Amid Harsh Criticism of KakaoTalk Update

by Cho Seulkina

Published 26 Sep.2025 10:53(KST)

Kakao's stock price is showing a decline of around 5% in the domestic stock market on the morning of September 26, 2025. Amid strong backlash from users over the KakaoTalk overhaul, even the 60,000 won per share level is at risk.

Yonhap News Agency

As of 10:45 a.m. on this day, Kakao shares were trading at 60,000 won per share, down 5.06% from the previous session. Kakao opened at 62,400 won, 1.27% lower than the previous day's closing price, and during the session, the price dropped several times to the upper 50,000 won range.

This is being interpreted as a result of continued user dissatisfaction following Kakao's major overhaul of KakaoTalk. Kakao has announced plans to integrate artificial intelligence (AI) and expand KakaoTalk into a social networking service (SNS)-style content platform. However, complaints persist about significant inconveniences, such as unwanted photos appearing in the KakaoTalk Friends tab.

Nevertheless, the securities industry has given a positive assessment. In a report released on this day, Daol Investment & Securities predicted that the advertising revenue growth effect from the KakaoTalk overhaul, which was announced on September 23, will be reflected starting in the fourth quarter. The company also noted that on-device AI will undergo closed beta testing in October and that full-scale monetization is expected to begin in 2026, maintaining Kakao as a top pick in the internet industry.