HYBE, the South Korean music conglomerate renowned for its association with K-pop megastars BTS, has officially announced its expansion into the Latin music market. This strategic move was marked by the acquisition of Exile Music, an affiliate of the Spanish-language entertainment studio Exile Content. This acquisition heralds the launch of HYBE Latin America, a new division based in Mexico. Former YG Entertainment executive Kah Jong-hyun will spearhead the division, assuming the role of CEO.
Founded in 2019 by Isaac Lee, a former Chief Content Officer of Univision and Televisa, Exile Music has made significant strides in the Latin music industry. Lee is now Chairman of HYBE’s Latin American branch. He’s an award-winning producer with an extensive portfolio across platforms like Amazon, HBO, and Netflix. This move signifies HYBE’s commitment to diversifying its portfolio and extending its global influence.
HYBE’s foray into the Latin music sector is a calculated step towards expanding its international footprint. HYBE Latin America is set to act as a conduit for HYBE label artists to penetrate one of the fastest-growing music markets in the world. It also aims to be a hub for nurturing new talent and creating content specifically tailored for the Latin audience. Lee and Kah Jong-Hyun will collaborate to adapt the Korean model of artist development, known for its intensive training and development process, to the Latin music industry.
🔥HYBE LANDED IN LATIN AMERICA. NEW PROJECTS COMING IN THE REGION
HYBE is expanding beyond K-pop
This expansion is part of HYBE’s larger strategy to diversify its business interests. The move into Latin music comes at a time when the genre is experiencing a surge in popularity. As per the International Federation of the Phonographic Industry, recorded music sales in Latin America increased by 26% last year. Latin music has also seen a spike in the US market, with artists like Shakira, Karol G, and Bad Bunny topping the charts.
This strategic expansion into the Latin music market follows HYBE’s reported fundraising efforts. They are said to be seeking around 380 million USD to finance acquisitions and expand its business beyond K-pop. Industry sources suggest HYBE may have secured even more funding, potentially exceeding 1 billion USD. HYBE’s Chairman, Bang Si-Hyuk, has expressed interest in Latin music, noting its rapid global growth alongside other genres like afrobeats.
With Latin music surpassing 1 billion USD in US recorded music revenue in 2022 and claiming a significant market share of streaming revenues, HYBE’s entry into this market is both timely and strategic. This move positions HYBE as a formidable player in the global music industry, extending its influence beyond K-pop. – K-Pop News Writer
Featured Image: HYBE hopes to replicate the success it had in the South Korean market with BTS. Source: Reuters.
