4월 9일 번역

[송정현]

Tvying and Wavve discuss merger plan to pursue No.1 position in S.Korea's OTT market

South Korea's two major streaming platforms-- Tying and Wavve-- are pursuing a merger plan, in a move to secure a leading position in the country's over-the-top platform market, according to industry sources on Wednesday.

Currently, Coupang Play is a leading player in the domestic ranking, riding on its global partnerships with Netflix and Disney+.

CJ ENM and SK Square, major shareholders of Tving and Wavve, respectively, are in close discussions to ink a memorandum of understanding for a merger deal by early next week, industry sources said Wednesday.

Under the goal of completing a merger by the end of 2024, the two companies aim to finalize the details and close the merger deal by next year. 

"We are currently discussing various ways with SK Square to enhance the competitiveness of our respective streaming platforms in the domestic market," a CJ ENM official said in a phone interview with Yonhap News Agency.

However, officials from both CJ ENM and SK Square declined to confirm‎ the merger plan.

Currently, the number of montly active users stands at 5.1 million for Tvying and 4.23 million for Wavve. If the merger happens, the MAU will amount to some 9 million, far exceeding that of Coupang Play in the domestic market.

Industry watchers say that the merger will allow the two companies to overtake Coupang Play, as well as effectively compete against global streaming giant Netflix. 

CJ ENM will become the major shareholder of the merged company, with SK Square being the second major shareholder.