PLAVE Secures Investments from YG Plus and HYBE for Equity Stake with Global Expansion Plans
YG PLUS is PLAVE’s exclusive distributor.
YG PLUS is owned by YGE (33.72%), HYBE’s Weverse Company (17.90%) and others.
Lee Seong-gu, CEO of VLAST hosted a press conference on 22nd April 2024.
Rumors of HYBE and YG PLUS acquisition are false. "We recently received investments from HYBE and YG Plus… for equity…Since there are many aspects we are unfamiliar with, we believe that we can accelerate our international activities through this investment. They are currently providing us with valuable support."
VLAST is the company behind the virtual idol group PLAVE
VLAST is the company behind the virtual idol group PLAVE
Lee Seong-gu, CEO of VLAST, the producer behind the virtual idol group PLAVE, hosted a press conference on the 22nd at the Amanti Hotel in Mapo-gu, Seoul. Since joining MBC through open recruitment in 2002, CEO Lee Seong-gu has supervised various dramas and VR documentaries. VLAST, selected as MBC's inaugural in-house venture in 2020, commenced its initial operations in February 2021, devised its proprietary virtual live system in August of the same year, and finalized the optical virtual studio in August 2022.
VLAST is MBC's inaugural in-house venture.
When questioned about the inspiration behind the creation of virtual idols and the moment he gained confidence, CEO Lee expressed, "I had many concerns initially. Prior to their official debut, our members joined gradually and broadcasted as trainees. We had around 20 viewers. Despite concerns about the lack of significant growth post-debut, I decided to take the plunge because of our dedicated fan base and the belief that our IP held immense potential for love and success. That conviction remains unchanged."
Since its debut in March of last year, Plave has experienced continuous growth. Notably, their second mini-album 'Asterun 134-1', released earlier this year, surpassed 570,000 copies sold in its first week alone. This success propelled them to clinch the top spot on MBC's 'Show! Music Core'. CEO Lee remarked, "Unlike other K-pop artists, Plave boasts a remarkably large domestic fandom." He elaborated, "While typical K-pop fans may shift their interests among various idols, Plave fans exhibit a high level of loyalty." "Initially, some fans may have felt a bit disoriented, coming from diverse musical backgrounds, including K-pop and animation genres. However, I believe everyone has now acclimated to the K-pop ecosystem," he concluded.
"In the early days, the members didn't fully understand… Initially, they were surprised by the motion picture aspect and asked how it worked. Some were skeptical about how it functioned exactly, but watching the staff diligently prepare for broadcasts and witnessing technological updates, they gradually came to understand.”
It wasn't just the fans who were confused. In fact, in the beginning, the members also had difficulty adapting to this system. CEO Lee said, "In the early days, the members didn't fully understand. Those who were focused solely on music activities lacked knowledge in this area, so when discussions arose about engaging as virtual idols, they were puzzled. Initially, they were surprised by the motion picture aspect and asked how it worked. Some were skeptical about how it functioned exactly, but watching the staff diligently prepare for broadcasts and witnessing technological updates, they gradually came to understand. Nowadays, they actively contribute ideas and participate, and I believe it's thanks to their active involvement that we've come to this point."
Thanks to the love from fans, misunderstandings surrounding Plave are quickly dissipating. CEO Lee mentioned, "Initially, there were even suggestions that since it's AI, human involvement isn't necessary. However, achieving first place through our recent activities has garnered attention, leading to a better understanding of PLAVE. While there are still technical challenges, overall awareness has greatly improved. I'm truly grateful to the fans. Last year, despite the company's hard work, we faced rejection after rejection, but now, thanks to the fans' love, we're receiving numerous proposals."
PLAVE successfully held their first fan concert titled 'Hello, Asterum!'
On the 13th and 14th, PLAVE successfully held their first fan concert titled 'Hello, Asterum!' at the Olympic Hall, with a sold-out audience. CEO Lee remarked, "Last year, when we first sought venue rentals, many were unaware of PLAVE, and we were told we couldn't secure a venue. From our perspective, we believed we had to prove ourselves through this concert to move onto bigger stages. Therefore, we devoted ourselves to preparation with the mindset that success with this concert would pave the way for greater opportunities." He expressed great satisfaction with the successful concert and shared that the members also considered it a fantastic stage. He added, "We plan to continue organizing concerts, and we recently succeeded in securing a larger venue. Perhaps around autumn, we're considering a solo concert in an even bigger venue than now."
However, this concert experience also confronted them with practical limitations. CEO Lee explained, "When budgeting for the concert, the figures exceeded our revenue by far. Considering expenses for digital integration and stage construction labor, a substantial budget was allocated. We discussed potential deficits with the members, asking if they were okay with it, and everyone was willing to proceed confidently." He elaborated, "Technically, it was quite complex. Since it wasn't conducted onsite but remotely, various channels were necessary for stage preparation and audio. Despite having multiple backup systems due to technical challenges, the video quality fell short compared to conventional live broadcasts," he reflected on areas for improvement.
"Starting this year, we're contemplating areas where we can excel further. Being idols capable of real-time interaction, we believe there are more avenues for enjoyment.”
Regarding future activities, CEO Lee outlined, "Over the past year, we aimed to demonstrate what other idols could do. We proved that virtual idols can release albums, hold fan meetings, appear on music shows, and even conduct concerts. Additionally, we're preparing our own content within idol videos. We anticipate unveiling our first original content soon." Furthermore, he shared, "Starting this year, we're contemplating areas where we can excel further. Being idols capable of real-time interaction, we believe there are more avenues for enjoyment. While I can't disclose details yet, we're preparing new content unique to virtual idols. Our goal is to launch it within this year."
Furthermore, they are currently developing an AI studio to facilitate collaboration with other idols and entertainers. CEO Lee stated, "Due to technical constraints, we haven't been able to try many things so far. However, once the studio is set up, we'll be able to invite others to join us and have discussions together. We're aiming to have this ready within this year so that we can unveil content that involves collaborations with other celebrities. If the preparation goes well, we'll be able to engage in much more activities."
PLAVE performing their chart-making song WAY 4 LUV
Regarding music broadcasts, CEO Lee mentioned, "Given the attention PLAVE has received, I believe we can appear on other music shows as well, but our company lacked the internal capacity for it. When making a comeback, continuous production is required, but we've been struggling with the technical aspects, which have been holding us back. We're rapidly increasing manpower in that area, so appearing on other music shows is our goal for the future." This approach contrasts with other virtual IPs that primarily focus on internet broadcasts. CEO Lee remarked, "I think there are pros and cons. Each is evolving according to its own circumstances. As the virtual IP market grows, I believe broadcasting companies can also benefit by establishing infrastructure."
Asked about collaboration plans with webtoons or web novels, given the character-based nature of PLAVE, CEO Lee responded, "There have been ongoing attempts to expand the popularity of idols into other genres through these platforms, but in our judgment, they haven't been very successful. It seems challenging for fans to easily accept changes when their favorite idols are turned into webtoon characters." He added, "Since we are inherently based on characters, we believe the hurdle might be lower for us in webtoons or animations. We're considering it and believe we can handle it well."
“PLAVE has grown tremendously compared to the scale of our company. Managing just PLAVE alone is quite overwhelming, so although we have various considerations, there haven't been any concrete plans or decisions made for new projects."
When asked about plans for producing follow-up virtual idols, CEO Lee replied, "Certainly, it's true that we need new IPs, but it's also a fact that PLAVE has grown tremendously compared to the scale of our company. Managing just PLAVE alone is quite overwhelming, so although we have various considerations, there haven't been any concrete plans or decisions made for new projects."
Instead, the focus will be on further developing the IP of 'PLAVE'. CEO Lee stated, "There are still many cases where the virtual idol system is not well understood overseas, but we believe that PLAVE is pioneering virtual entertainment, and we are confident in this genre. Starting from this year, we are also considering overseas expansion. We have been holding meetings with overseas agencies several times recently to make plans for expanding internationally."
They have also established a framework to solidify these efforts. CEO Leerevealed, "We recently received investments from HYBE and YG Plus. There were rumors about an acquisition by HYBE and YG PLUS, but that's not true; we received investment for equity. It's not because we need capital, but because we need assistance for overseas expansion and activities. Since there are many aspects we are unfamiliar with, we believe that we can accelerate our international activities through this investment. They are currently providing us with valuable support." which further heightens anticipation for PLAVE’s future activities to unfold on a global scale
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