SM Entertainment majority shareholder Kakao is building a superfan app to take on HYBE’s Weverse (report)

Kakao Entertainment appears to have its sights set on the superfan market.

The South Korea-headquartered company is set to enter the K-pop fan platform space with a new app, which is expected to launch as soon as this year.

The launch of such an app would directly challenge HYBE’s dominant Weverse platform.

Kakao recently filed trademarks for “BERRIZ” and “BERRYUS,” suggesting potential names for the upcoming platform, Korea JoongAng Daily reported Friday (January 31).

A Kakao Entertainment spokesperson confirmed to JoongAng: “We are currently preparing a fan platform.” However, they said “no details, including its launch date, are confirmed yet.”

Kakao Entertainment, together with its parent Kakao Corp., holds a 40.28% stake in HYBE rival SM Entertainment and owns several major K-pop agencies including Starship Entertainment, EDAM Entertainment, and Antenna

Kakao Entertainment also owns South Korea-based music streaming service Melon.

Kakao Entertainment’s foray into the superfan platform market comes as HYBE‘s Weverse continues to dominate the space.

In 2024, Weverse hit the milestone of 150 million cumulative global downloads, with 19% user growth last year. This growth was supported by 30% YoY rise in the number of artist communities on the platform, to 162 as of the end of last year.

In 2024, a total of 16 global artist teams joined Weverse, with high-profile international stars like Ariana Grande, Dua Lipa, Megan Thee Stallion, and Conan Gray driving double-digit user growth across North America, Europe, and Asia.

In the third quarter of 2024, HYBE’s “artist indirect-involvement” segment, which includes Weverse, reported a 31.8% YoY jump in revenue to KRW 205 billion (USD $139.4 million).

Koreaboo first reported on Kakao’s plans to launch a fan platform earlier this year.

The news outlet said the platform will let artists share live broadcasts, performances, videos, posts, and more with fans. It will also reportedly sell products using artists’ IP.

The company has also filed for a trademark in the United States with the US Patent Office (see below).

Superfan platforms generate revenue through multiple channels, including exclusive content subscriptions, merchandise sales, and direct artist interactions.

Kakao’s new platform aims to differentiate itself by offering a broader scope than traditional K-pop fan services.

Unlike existing platforms, it will incorporate content from Korean movies, dramas, and webtoons, Yonhap News Agency reported separately. This means Kakao Entertainment will leverage its diverse portfolio of entertainment companies and content producers.

Kakao Entertainment’s plans to tap into the highly lucrative superfan economy will be supported by its strong position in the Korean entertainment industry.

The timing of this launch follows Kakao Entertainment and SM Entertainment’s recent strategic alliance with US label gamma, announced in November for the debut of British boy band dearALICE.

At the time, the companies said they would “cooperate in all spheres to establish the band as a leading global artist with a solid fandom.”

Notably, several artists under Kakao Entertainment’s umbrella, including IVE and IU, have not joined Weverse, suggesting they may become exclusive to Kakao’s new platform.

However, other Kakao-affiliated artists, such as STAYC and Apink, currently maintain active presences on both Weverse and ‘bubble,’ a subscription-based private messaging service for fans and artists operated by SM Entertainment’s subsidiary Dear U.

In 2023, 13 artists under SM joined Weverse, including SNSD, Red Velvet, Vespa, TVXQ!, Super Junior, SHINee, EXO, NCT 127, NCT Dream, Way V, and Riize, along with soloists Kangta and BoA.

A source reportedly told JoongAng that Kakao’s K-pop fan platform will be different from bubble, which is a subscription-based messaging service for artists and fans.

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