Krafton has made an $89 million investment in Spoon Labs, a company specializing in short form K-dramas

Image credit: Spoon Labs

Krafton, the company behind PUBG, has allocated KRW 120 billion (approximately $89.3 million) towards Spoon Labs, a streaming service provider. This marks the most substantial investment Krafton has made outside the gaming industry so far.

Spoon Labs, headquartered in Seoul, operates Spoon, an audio platform, and has recently introduced Vigloo, a service for short-form videos with a focus on Korean drama. Krafton's investment is motivated by the promising growth of the short-form video drama sector and aims to develop new intellectual property. This market size in China is estimated to be around $5 billion, and significant markets also exist in the United States and Japan, according to the company.

CH Kim, CEO of Krafton, remarked on Spoon Labs’ international success through its audio platform, Spoon, over recent years. He expressed optimism about jointly creating widely appreciated entertainment and building a strong industry framework within the emerging short-form drama domain.

Hyukjae Choi, CEO of Spoon Labs, mentioned their strategic extension from audio to video content on a global level. He indicated future plans to penetrate the US and Japanese markets while collaborating with Krafton to set a new standard in the short-form drama industry globally.

This investment is part of Krafton’s ongoing expansion strategy, which recently included acquiring Tango Gameworks and Hi-Fi Rush IP from Xbox last month and obtaining a minority share in Polish developer Far From Home earlier in the year.