Kakao, Naver in Win-win Relationship with Korean Government

Cooperation between government ministries and IT companies is on the rise for developing the cultural content industry. It is considered mandatory for the government and enterprises to work together to make a fair cultural content distribution environment and quality content. 

On October 7, the Ministry of Science, ICT, and Future Planning (MSIP), Ministry of Culture, Sports, and Tourism (MCST), and Kakao signed a cooperative business memorandum of understanding (MOU) for the win-win development of mobile and smart content. On the same day, the MCST formed a “Naver Cultural Content Fund” (tentative) in cooperation with Naver to create a healthy content business environment and doing cooperative business that eagerly supports the content industry.

The MSIP, MCST, and Kakao announced that they signed the MOU with a mutual understanding that cooperation between the government and content, business, and platform are mandatory for the mobile smart content industry to grow. Through this MOU, the MSIP and MCST will invest 34.9 billion won (US$32.5 million) in the mobile smart content industry, which is 16.3% more than they invested last year.  

On the other hand, to help content creators and business partners to grow together in this media fusion environment, Naver and MCST will form another Naver cultural content fund for creating a fair content business environment and a virtuous cycle within.