South Korean internet giant, Kakao Corp, will be reportedly expanding its overseas revenue by 30% over the next three years under efforts to diversify its income source, which relies heavily on its domestic business, the company said in an online press conference.
Kim Sung-su, co-head of Corporate Alignment Center (CAC), Kakao, stated that the company’s 56 overseas branches will be looking to boost sales revenue by 40% this year. Sung-su added that by 2025, the company plans on increasing its overseas revenue so it accounts for 30%, instead of current 10%, of Kakao’s total sales.
The firm’s Japanese online webtoon platform, Kakao Piccoma, recently expanded its webtoon services to France with plans on entering other EU nations. Meanwhile, at home it intends to foray into new businesses in fields ranging from games, NFTs, and the metaverse.
On the other hand, for its North American expansion, Kakao Entertainment is looking to create synergy with the company’s recently acquired US-based webtoon services, Radish and Tapas.
Apart from that, the firm is also considering a partnering with Hon Kong-based web novel service Wuxiaworld.
Kakao also plans on achieving ₩500 billion ($410 million) of transaction value in the American market by 2024.
Kim added that Kakao Entertainment will also develop content using intellectual property of the nation’s coveted K-pop artists, including IVE, MONSTA X, and The Boyz.
The firm had been facing political criticism for taking away customers of small business owners. To make up for that, it will be spending ₩300 billion ($246 million) over the next five years to support digital content creators as well as small businesses.
Kakao stated that it will be helping creators debut overseas and will establish a foundation for nurturing them, all while helping them tackle issues pertaining to intellectual property infringement.
Furthermore, the firm will be investing around ₩20 billion ($16 billion) towards supporting startups and nurturing more than 100 social innovators. The firm will also provide ₩60 billion ($49 million) worth of aid to minorities to cope with the digital divide.
In the mobility space, Kakao Mobility, Kakao's taxi-hailing subsidiary, will be investing ₩50 billion ($41 million) for supporting around 250,000 taxi drivers.
Source credit: http://www.koreaherald.com/view.php?ud=20220406000646