YG Entertainment

Y.G. Entertainment Inc.
Native name
 YG 엔터테인먼트
Public
Traded as KRX: 122870
Industry
Genre
Founded February 24, 1996
Founder Yang Hyun-suk
Headquarters Seoul, South Korea
Area served
 Worldwide
Key people
Products
Services
  • Publishing records
  • Entertainment agency
Revenue Increase US$150 million (2012)[2]
Increase US$28 million (2012)
Increase US$37.5 million (2012)
Owner
Number of employees
 254
Subsidiaries
Website ygfamily.com

YG Entertainment (Korean: YG 엔터테인먼트) is a South Korean entertainment company founded by Yang Hyun-suk based in Seoul, South Korea. The company operates a record label, talent agency, clothing line, cosmetics firm, event management and concert production company, music production company as well as its own music publishing house. The name of the company, "YG", is an abbreviation for "Yang Goon", a nickname given to the Executive Director/Founder Yang Hyun-suk.[3]

Once the home of hip-hop groups Jinusean and 1TYM, its current roster of recording artists are known to be some of the biggest K-pop acts to gain international fame, especially BIGBANG, 2NE1, and PSY. In terms of revenue contribution, Big Bang is the company's biggest act.[4]

A prominent entertainment company in South Korea, its record label is also one of the three big record labels in the K-pop industry, alongside SM Entertainment and JYP Entertainment.[3][5] Official contents by YG Entertainment and its artists have cumulatively garnered more than 7 billion views and are subscribed to by more than 18 million users on individual artists' YouTube channels.

The company officially became a publicly traded company on November 23, 2011. In 2012, YG Entertainment's share prices saw a year-over-year increase of more than 60% due to the increase in publicity following the achievements of multiple artists on the label, especially Psy's hit Gangnam Style.[6]

On September 13, 2014, French luxury giant LVMH's private equity arm, L Capital Asia, announced that it is investing up to US$80 million in YG Entertainment. Headquartered in Singapore, L Capital Asia will be the second-largest investor in YG Entertainment with an 11.5 per cent interest. Yang Hyun-suk, YG Entertainment's founder, has a 28 per cent stake.[7]

History

Hip-hop roots

Big Mama

On March 1996, Yang Hyun-suk, a former member of legendary Korean band Seo Taiji and Boys, founded YG Entertainment along with his younger brother Yang Min-suk. During their early years, the company put out groups such as Keep Six, Jinusean, and most notably 1TYM (pronounced "One Time"), who was credited with bringing hip hop to the Korean mainstream. In 1999, the company's artists released their first collaboration album under the name "YG Family".

The label followed with releases from Perry, Swi.T, Big Mama, Lexy, Gummy and Wheesung,[3] with Wheesung eventually becoming Korea's highest selling artist of 2003. The YG Underground label was also created to contain 45RPM and Stony Skunk. In 2001, a second YG Family album was released. Among others, it featured the 13 year old G-Dragon.[8]

The company grew after signing its first idol singer Seven, who found success in both Korea and Japan and was dubbed "Rain's rival" at the peak of his career. However, a dating scandal in 2009 with then-labelmate actress Park Han-byul, an unsuccessful US debut, and four year hiatus from the Korean entertainment industry slowed his career's momentum. Se7en's contract with YG expired in April 2013.[9]

Mainstream success

Big Bang

The company then turned its focus to creating its first idol group, Big Bang. Trainees G-Dragon and Taeyang had been with the company since they were just 13 years old.[3]Big Bang debuted as the youngest group at the time (age 15-18) to lukewarm reception. However, Big Bang skyrocketed in popularity during 2007 and 2008 with G-Dragon's self-composed songs, especially "Lies" and "Haru Haru", which stayed at #1 on the charts for eight consecutive weeks, the longest since, ironically, Seo Taiji and Boys. Girl group 2NE1 debuted in 2009 and quickly achieved success.

Big Bang branched out into Japan and focused on solo activities. Taeyang was the best selling solo artist of 2008. G-Dragon had the highest-selling album of 2009, beating out groups and industry veterans. All members of Big Bang have now released one or multiple albums as a soloist and/or duo, while still being active in film and television. The group completed their first full-fledged world tour in 2012, and continues to tour in Japan and Korea, attracting approx. 800,000 attendees annually.

In 2010, YG made a highly publicized move into a new building, while the old building became a training facility. YG first applied to the stock exchange in mid-2010 but was rejected. It is suspected that the reason was because YG Entertainment had too few active music groups and an unstable cash flow, despite an increase in earnings in 2009. Since 2007, Big Bang contributes to around 70% of the company's annual revenue.

Business expansion

Akdong Musician

The label expanded by signing already established acts such as Psy, a renowned rap artist; and Tablo, a lyrical savant from the group Epik High. In Korea, both were known to be rebellious independent acts and had respectively dealt with large controversies. CEO Yang Hyun Suk, a personal friend of Psy, offered to help when Psy struggled financially. However, Psy was hesitant to sign onto the label due to its extravagant image and young roster. It took convincing from his wife to revitalize his career and ultimately create the phenomenon known as "Gangnam Style." Tablo, at the time of his signing, was suffering from depression, as over 200,000 Korean netizens in an online community called "Tajinyo " had falsely accused him of forging his identity and Stanford academic degree. His first meeting with the label's representative was set up by his wife, then YG actress Kang Hye-jung.

Yang Hyun Suk made his television comeback after ten years as a judge on the reality singing competition K-pop Star in 2012, and signed the runner-up of the show, Lee Hi, to her own record deal. She released her debut album a year later at age 16. Other participants on the show, such as Lee Seung-hoon, were signed as potential members for the label's future boy groups. On the second season of the show, both the winner and runner-up, sibling duo Akdong Musician and Bang Yedam respectively, signed exclusive contracts with YG. Singer-songwriters Akdong Musician released their debut album in early 2014 at age 14 and 17. Yang Hyun Suk continues to participate in the third and fourth seasons of the television show.

In an attempt to expand their actor roster in 2014, YG Entertainment acquired T Entertainment's staff and actors such as Cha Seung-won, Im Ye-jin, and Jang Hyun-sung.[10]

YG Entertainment eventually passed the Stock Exchange Commission’s screening to go public on the KOSDAQ on November 23, 2011. The stock price opened at double the anticipated value. The company filed its first annual report in 2012 with a net gross of over 50%. In January 2015, the company invested 100 million USD in a new Gyeonggi-do based industrial complex. The complex will house commercialized K-pop infrastructure, such as spaces for the recording of music and performance facilities, as well as a recreational tourism complex. The complex is slated to be complete by December 2018.[11]

Partnerships

Music Distribution

YG Entertainment's records are distributed by the following:

KT Music

In March 2010, seven of the biggest talent agencies in Korea - YG Entertainment, SM Entertainment, JYP Entertainment, Star Empire Entertainment, Medialine, CAN Entertainment, and Music Factory - established a joint venture known as KMP Holdings (Korean Music Power). KMP Holdings is a service platform that aims to provide fair digital music distribution, music service, and television program productions.[12] Many believe this was held to challenge the duopoly on music distribution in Korea by Mnet Media and LOEN Entertainment.

In November 2012, KMP Holdings was acquired by KT Music.[13] The seven agencies behind KMP Holdings formed a collective bond partnership on January 2014. Collectively they purchased 13.48% of KT Music's stocks, leaving the parent company KT Corporation with only 49.99% share in the company.[14]

YGEX

YG first expanded into the foreign market with Se7en, in a partnership with Nexstar Records, a Nippon Columbia label that managed Japanese releases for Se7en.[15] In 2008, Big Bang signed a three-year exclusive contract with Universal Music for the promotion and distribution of their Japanese releases.[16]

On April 12, 2011, YGEX was established as a partnership between AVEX and YG Entertainment for the promotion and release of all YG Entertainment's material in Japan. Current artists under YGEX include all active YG Entertainment artists.[17] YGEX operates as a joint-label venture between the two companies. Since the beginning of this partnership, YGEX has released Japanese material for GD & TOP, Big Bang, 2NE1, Se7en, and Daesung. There was also a noticeable increase in promotional activities in Japan. Seungri and Daesung were also given the opportunity to host their own Japanese programs.

Artist Management

United Asia Management

SM Entertainment, YG Entertainment, JYP Entertainment, KeyEast, AMENT and Star J Entertainment are under a joint management agency named "United Asia Management". Established on April 2011, this joint corporate was created in an effort to push Korean and Asian music using a database system that manages intellectual property rights. UAM also acts as a global agency for artists' advancing or promoting overseas. There is a theory that UAM was created to allow less leverage for trainees under these companies.[18]

YG KPLUS

On February 18, 2014, co-CEO Yang Min Suk announced that K-Plus, a major model agency, signed a strategic partnership and shared investment agreement with YG Entertainment. Due to the recent trend in Asia of successful model-turned-actors, YG is helping these models transition into mainstream media by providing them with opportunities in television and films. K-plus Model Agency currently houses over 170 models including internationally well known models such as Kang Seung-hyun and Park Heyong Seop; as well as model/actors Lee Sung-kyung, Nam Joo-hyuk, Choi Sora, and more.[19] Since the partnership, K-Plus models have been heavily used in YG recording artists' music videos, as well as YG owned brands' advertisement campaigns.

Fashion and beauty

Nonagon

NONA9ON is a luxury street-wear brand founded by YG Entertainment and Samsung’s textile subsidiary company Cheil Industries in early 2012. Originally named Natural Nine, the brand was revamped and will launch in Spring/Summer 2015.[20][21]

Concert Production

Live Nation

YG Entertainment first teamed up with Live Nation in 2012 to produce Big Bang Alive Galaxy Tour 2012. Plans for a world tour were in place in 2011 until several members of Big Bang faced problems with the law, causing it to be postponed until the following year. This marks the first time Live Nation has worked with an Asian artist.

Subsequently, Live Nation also directed "2NE1 New Evolution World Tour 2012", and G-Dragon 2013 1st World Tour: One of a Kind. Live Nation first approached YG Entertainment with the idea as they had seen the growth potential of K-pop. Mats Brandt, General Manager of Live Nation Asia, said in an interview: "...of all the artists we have decided to focus on the talents of Big Bang. Big Bang has the talent, thus they have the best chance at becoming a global artist."[22]

Asiana Airline

As one of two of Korea’s major airlines, Asiana Airlines signed a deal with YG Entertainment on January 2013 to provide transportation to its artists to and from domestic and international destinations at no cost. In return, YG Entertainment will be placing the airline’s logo throughout their international concerts and tours.[23]

Philanthropy

YG Entertainment pledged to donate 100 won for every album sold, 1% of all merchandise sales, and 1,000 won for every concert ticket, to charities. In 2009, they raised US$141,000, and in 2010 $160,000.[24] YG Family have also directly delivered US$4,400 worth of charcoal to families in need during the winter time.[25] The company has also announced that it would be donating around US$500,000 for disaster relief to Japan after the 2011 Tōhoku earthquake and tsunami.[26]

In 2013, founder and CEO Yang Hyun Suk, made headlines when he donated all of the dividends he received as a shareholder of YG Entertainment to help young children needing surgery. His dividends totals to around US$1 million.[27]

YG Family

Recording Artists

1Psy (2001) was formerly part of LNLT Entertainment before transferring to YG Entertainment in 2010. He released his fifth album through his new label. Psy's sixth album which contains the international hit Gangnam Style is his second album under YG Entertainment.
2Epik High (2003) transferred from Woollim Entertainment after their contracts had expired. After Tablo signed as a soloist in 2011, the remaining members, DJ Tukutz and Mithra Jin were signed on the following year where they also released their seventh album 99.

Soloists (from groups) / Subunits

Singer-songwriters

Producers

Lydia Paek

Actors / Actresses

YGK+ Model-Actors / Actresses

  • Lee Sung Kyung
  • Bae Jeong-nam
  • Hwang So-hee
  • Jang Ki-yong
  • Jung Yoo-Jin
  • Lee Ha-Eun
  • Nam Joo-hyuk
  • Park Ji-Esuu
  • Stephanie Lee
  • Joo Woo Jae
  • Lee Soo Hyuk

YG Trainees

YG Dancers

HI-TECH

HI-TECH is YG Entertainment's exclusive dance team first formed in 2001. They are mainly a male dance team with the exception of current female dancer, Kim Hee Yeon. Current members :

  • Lee Jae Wook ( Leader )
  • Park Jung Heon
  • Kim Byung Gon
  • Kwon Young Deuk
  • Kwon Young Don
  • Lee Young Sang
  • Yoo Cheong Jae
  • Heo Jun Seon
  • Han Byul

CRAZY

CRAZY was created in 2002. CRAZY start off as back-up dancers for CB Mass and Shinhwa. The first YG Artist CRAZY worked with was Lexy. They went on and worked with other artist such as Bounce, BoA, Lee Hyori, Chae Yeon, and Eun Ji Won. CRAZY was back working with YG Artist once again in 2006. Current members :

  • Kim Hee Jung ( Leader )
  • Park Eun Young
  • Kim Min Jung
  • Won Ah Yeon
  • Choi Hye Jin
  • Kim Is Eul
  • Murakawa Mai
  • Oh Hye Ryeon
  • Park Eun Chong
  • Heo Seo Hyun
  • Kim Se Jin

Former Artists

Former Artists

  • 1996-1996: Keep Six (Park Dong Ho, Shim Young Ho, Lee Sae Young)
  • 2003-2004: XO (Kang Seong Min, Jeon Seung Woo)
  • 2002-2005: Swi.T (Lee Eun Joo, An Nae Young, Sung Mi Hyun)
  • 2003-2006: Wheesung
  • 2003-2007: Big Mama (Shin Yeon Ah, Lee Young Hyun, Lee Ji Young, Park Min Hye)
  • 2003-2007: Lexy
  • 2004-2007: Wanted (Jun Sang Hwan, Kim Jae Suk, Ha Dong Gyun, Seo Jae Ho)
  • 2005-2007: SoulStaR (Lee Seung Woo, Lee Chang Keun, Lee Kyu Hoon)
  • 2005-2008: 45RPM (Smash, J-kwondo, GR)
  • 2007-2008: Kim Ji Eun
  • 2003-2010: Stony Skunk (Kush, Skul1)
  • 2003-2011: Digital Masta
  • 2003-present: Se7en
  • 2003-2013: Gummy
  • 1998-2013: Kang Hye-jung


Former Trainees

Discography

See also

References

  1. ↑ 1.0 1.1 1.2 "Governance". YG Entertainment. Retrieved 2014-10-26.
  2. ↑ Star News (March 4, 2013). "SM·YG, 2012년 '사상최대' 총매출 2682억·순이익 543억". Star News (in Korean). Retrieved March 30, 2013.
  3. ↑ 3.0 3.1 3.2 3.3 "Big Bang theory pays off as YG embraces the attitude". Korea JoongAng Daily. 2012-09-04. Retrieved 2014-06-03.
  4. ↑ "YG Entertainment (122870 KQ/Buy)Share issues to create near-term downside pressures". KDB Daewoo Securities. 2014-05-19. Retrieved 2014-06-03.
  5. ↑ Forbes Staff (31 July 2013). "Korea's S.M. Entertainment: The Company That Created K-Pop". Forbes. Retrieved 11 March 2015.
  6. ↑ Cha, Seonjin. "Psy’s ‘Gangnam Style’ Hits 1 Billion Views on YouTube". Bloomberg. Retrieved 23 December 2012.
  7. ↑ Mok, Fei Fei. "L Capital Asia, YG Entertainment exploring potential tie-ups". The Straits Times. Retrieved 13 September 2014.
  8. ↑ "G-Dragon - 내 나이 열셋 (My Age is 13) Full MV". YouTube. 25 April 2012. Retrieved 11 March 2015.
  9. ↑ "So Much For 'Family' - YG Entertainment Reveals Se7en's Contract Ended Months Ago". KpopStarz. Retrieved 13 January 2015.
  10. ↑ enews24 전수미 기자 (January 20, 2014). "차승원, YG패밀리 됐다…싸이·빅뱅과 한솥밥" [Cha Seung Won becomes YG family... labelmates with Psy and Big Bang]. enews24 (in Korean). enews24. Retrieved February 18, 2014.
  11. ↑ Steven Koh. "YG Entertainment To Invest Nearly $100 Million Into K-Pop Culture Venue". Kpopstarz. Retrieved 18 January 2015.
  12. ↑ 음악제작 7개사 손잡았다 (in Korean). MK News. 2010-03-18. Retrieved 2014-10-25.
  13. ↑ "(kt PR room) KT to acquire KMP Holdings to strengthen its music businesses". KT Corporation. November 23, 2012. Retrieved August 2, 2013.
  14. ↑ Cho Seung-hoon (January 24, 2014). "SM, YG, JYP lead 7 companies as KT Music's new stakeholders". Gaon Music Chart (Korea Music Content Industry Association). Retrieved September 17, 2014.
  15. ↑ McClure, Steve and Russell, Mark (June 11, 2005). "Korean Pop Seeps Into Japan". Billboard. Billboard. Retrieved January 22, 2011.
  16. ↑ "Big Bang". Big Bang - Universal Music Japan. Universal Music Group. Retrieved January 22, 2011.
  17. ↑ "YGEX オフィシャルレーベルサイト" [YGEX Official Website]. YGEX (in Japanese). YG Entertainment and Avex Group. Retrieved September 4, 2011.
  18. ↑ "UAM -United Asia Management". Retrieved 11 March 2015.
  19. ↑ OSEN=표재민 기자 (February 18, 2014). "YG, 모델 업계 진출..K플러스와 손잡았다" [YG enters the modeling industry... partners with 'K-Plus' model company]. OSEN=표재민 기자 (in Korean). OSEN via Naver. Retrieved February 18, 2014.
  20. ↑ "YG Entertainment and Samsung’s Cheil Industries Partners to Launch New Global Fashion Line". Retrieved 11 March 2015.
  21. ↑ "YG Entertainment's fashion venture". Korea Times. 2014-10-13. Retrieved 2014-10-23.
  22. ↑ "Live Nation: "Big Bang Is the Most Suitable to Become Global Artist"". Soompi. Retrieved 11 March 2015.
  23. ↑ Phillip. "2NE1 helps YG Ent. fly with Asiana Airlines". hellokpop. Retrieved 11 March 2015.
  24. ↑ "YG Entertainment donates $160,000 USD to charity". Allkpop. 2010-12-28. Retrieved 2014-10-26.
  25. ↑ "YG, 2년 연속 1억원+@ 금액 기부" (in Korean). Newsen. 2010-12-28. Retrieved 2011-03-05.
  26. ↑ Lee, Hye-rin (March 15, 2011). "YG, 日대지진 피해에 5억원 기부 결정" [YG Entertainment decided to donate 500 million won to earthquake victims]. Naver News (in Korean). NHN Corp. Retrieved March 17, 2011.
  27. ↑ "Yang Hyun Suk to donate $922,000 USD to help children in need". Allkpop. 2013-03-06. Retrieved 2014-10-26.
  28. ↑ "2NE1′s CL Reveals How She and Teddy Came Up With ′The Baddest Female′". MWAVE. 2013-06-09. Retrieved 2014-10-26.
  29. ↑ 29.0 29.1 29.2 29.3 "Before the Album". Complex. 2013. Retrieved 2014-10-26.
  30. ↑ "Brown Eyed Girls’ Jea and YG Producer PK Have Been Dating for 3 Years". MWAVE. 2013-11-27. Retrieved 2014-10-26.
  31. ↑ 31.0 31.1 "Big Bang's fourth mini-album tracklist + concept photos released!". Allkpop. 2011-02-17. Retrieved 2014-10-26.
  32. ↑ "다재다능한 재능을 지닌 YG의 기대되는 프로듀서 빅톤" (in Korean). Cuvism. Retrieved 2014-10-26.
  33. ↑ 다재다능한 끼를 지닌, 프로듀서 리디아 백. (in Korean). Cuvism. Retrieved 2014-10-26.
  34. ↑ "Why Taeyang’s "Rise" is a Chart Topper". Hellokpop. 2014-06-04. Retrieved 2014-10-26.
  35. ↑ "SISTAR makes a hot comeback with "Alone" on 'Inkigayo'!". Allkpop. 2012-04-15. Retrieved 2014-10-26.
  36. ↑ "WINNER Debuts With Two Emotional MVs: "Empty" & "Color Ring!"". MTV K. 2014-08-12. Retrieved 2014-10-26.
  37. ↑ "2013 in Review: Day 6 – Pop, Ballad and Folk". Hellokpop. 2014-01-03. Retrieved 2014-10-26.
  38. ↑ "Unseen YG trainee Kim Joon Kyu to enter third year of middle school". Instiz. Retrieved 11 January 2015.
  39. ↑ "[Video] Big Bang’s G-Dragon Goes Black with YG Trainee Jennie Kim". Yahoo! Celebrity Philippines. CJ E&M enewsWorld. Retrieved 26 November 2014.
  40. ↑ "Kim Jisoo Of New YG Girl Group Spotted In Hi Suhyun's 'I'm Different' Music Video Featuring Bobby Of iKON". KpopStarz. Retrieved 26 November 2014.
  41. ↑ "Rumored YG Girl Group Member Lalice Manoban Spotted In NONA9ON Video Featuring iKON's Bobby And B.I.". KpopStarz. Retrieved 26 November 2014.
  42. ↑ "=Rumored YG Girl Group Member Jang Ha Na Of 'K-Pop Star 3' Signs With YG Entertainment: Will She Become A Member Of The Label's Next Girl Group?". KpopStarz. Retrieved 26 November 2014.
  43. ↑ "Yang Hyun Suk personally recruits Kpop Star 3's Lee Chae Young into YG Entertainment". AllKpop. Retrieved 27 November 2014.

External links

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