What's Happening?
South Korea is rapidly emerging as a significant player in the Free Ad-Supported Streaming TV (FAST) market, according to research by Omdia. The country is projected to become the 12th largest global FAST market by 2030, with revenues expected to double from $23 million in 2024 to $48 million. This growth is largely attributed to the global popularity of Korean content, particularly on platforms like Netflix, which has been a major catalyst in promoting Korean programming worldwide. The Korean government is also supporting this growth through initiatives like the K-OTT Industry Global Competitiveness Strengthening Strategy, which includes a ₩1 trillion ($720 million) investment to bolster domestic OTT services, including FAST.
Why It's Important?
The expansion of South Korea's FAST market signifies a broader trend of increasing global demand for Korean content, which has implications for the entertainment industry worldwide. This growth not only enhances South Korea's cultural influence but also presents economic opportunities for content creators and streaming platforms. The government's investment in the industry underscores its strategic importance, potentially leading to increased competition among global streaming services to secure Korean content. This could result in more diverse offerings for consumers and increased revenue streams for Korean content producers.
What's Next?
As South Korea continues to expand its presence in the FAST market, other countries and streaming platforms may seek to emulate its success by investing in similar content strategies. The ongoing support from the Korean government and the establishment of the Global K-FAST Alliance are likely to further accelerate the international expansion of Korean FAST channels. This could lead to more partnerships and collaborations between Korean content producers and global streaming services, enhancing the global reach of Korean media.
Beyond the Headlines
The rise of South Korea's FAST market also highlights the cultural impact of Korean content, which has become a significant part of the global entertainment landscape. The success of shows like 'Squid Game' and the popularity of K-pop underscore the potential for Korean media to influence global cultural trends. This cultural exchange may lead to increased interest in Korean language and culture, further solidifying South Korea's position as a cultural powerhouse.
