On Tuesday, Netflix’s share increased after announcing its plans to invest $2.5 billion in South Korea.
Due to the popularity of the country’s entertainment industry, NFLX aims to produce Korean TV series, movies, and unscripted shows in the next four years.
This decision doubles the amount Netflix has invested in the South Korean market since 2016.
On Monday, South Korean President Yoon Suk Yeol arrived for a six-day state visit in the United States. Also, he had a meeting with Netflix co-CEO Ted Sarandos.
Korea’s leader said this investment is a major opportunity for the country’s content industry and Netflix.
Within the day’s closing bell, the US streaming service’s stock price rose by 0.32% to $329.02 apiece.
Also, South Korean entertainment firms also jumped, including Showbox and Studio Dragon, rising 8.75% to 2.26%, respectively.
In recent years, the country’s Hallyu or Korean Wave enjoyed a massive international boom. The global K-pop sensation BTS, which received several Grammy nominations, led the charge in the music market.
According to the South Korean government, its content exports, including video games and films, hit an all-time high of $12.40 billion in 2021. This data left behind the nation’s home appliances and rechargeable batteries.
Famous South Korean Series on Netflix
Sarandos said that Netflix has great confidence in the investment due to the global hit of its South Korean drama-made Squid Game, The Glory, and Physical: 100.
He added that the country’s creative industry is projected to continue portraying great stories in the future.
Netflix’s 2021 series Squid Games remains the company’s most-watched series of all time, racking 1.65 billion hours of streaming in the first 28 days.
Last week, the streaming platform offered a lighter than expected guidance. The entity is pushing on the password-sharing crackdown in Q2 to make improvements.
Several analysts believe that this move would delay some financial benefits.