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Kapanlagi.com - The South Korean entertainment industry is witnessing a major move from one of the largest agencies, YG Entertainment. On January 17, 2025, YG announced that it will close its actor management division to fully focus on music. This decision marks a significant shift in YG's business strategy, especially amid the global popularity of their artists.
Fans of actors like Kim Hee Ae, Lee Sung Kyung, and Yoo Seung Ho are left wondering what the next steps will be for them. Additionally, questions arise about how this move will strengthen YG's position as a leader in the K-Pop music industry.
This article delves deeply into the reasons, steps, and impacts of this strategic decision by YG Entertainment.
The significant impact of the closure of YG Entertainment's actor division on the entertainment industry. (credit: instagram.com/yg_ent_official)
At the press conference on January 17, 2025, YG Entertainment announced that the closure of the actor division aims to return to their business roots, which is music. They mentioned that this restructuring has been planned since last year.
This decision was made after the internalization of YGX as a global training center. YG also expanded their internal production team to 50 people, strengthening their commitment to innovation in the music field.
The significant impact of the closure of the actor division of YG Entertainment on the entertainment industry. (credit: ygfamily.com)
YG Entertainment expressed gratitude to the actors and actresses who have collaborated, including big names like Cha Seung Won, Lee Soo Hyuk, and Jang Ki Yong. Although their contracts will not be renewed, YG promises to continue supporting them until the end of their contracts.
This process is carried out gradually, ensuring that each artist has a smooth transition to new management or independent paths. This demonstrates YG's commitment to maintaining good relationships with their artists.
The significant impact of the closure of the actor division of YG Entertainment on the entertainment industry. (credit: instagram.com/blackpinkofficial)
Along with the closure of the actor division, YG is accelerating efforts to strengthen its music business. Major projects such as BLACKPINK's comeback in 2025 and their world tour have become the main focus.
Additionally, the rookie group BABYMONSTER is also being prepared for a global debut with various ambitious projects, including a world tour in their debut year. YG is leveraging this momentum to expand their reach in the international market.
This decision by YG not only affects their artists but also the landscape of the Korean entertainment industry as a whole. The closure of YG's actor division provides opportunities for other agencies to recruit their talent.
However, it also opens up space for YG to strengthen their dominance in music, especially with the increasingly strong global K-Pop trend. Fans and industry analysts are now waiting for the results of this bold move.
The significant impact of YG Entertainment's closure of its actor division on the entertainment industry. (credit: ygfamily.com)
YG fans welcomed this decision with mixed feelings. Some praised their focus on music, while others felt a loss because they could no longer see their favorite actors under the YG banner.
With ambitious plans like the BLACKPINK project and the debut of a new group, YG is determined to show that this decision is the right strategic move. They hope to create new history in the global music industry.
YG wants to fully focus on the music business, including developing their artists and internal production.
They will continue to be promoted until the contract is finished, but there will be no contract renewal at YG.
What do KLOvers think about this? Come on, write in the comments section! If not now, WhenAgain?
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