K-pop giants HYBE, JYP Entertainment, SM Entertainment, and YG Entertainment are preparing to establish a joint venture to launch a ‘global’ music festival.
According to an exclusive report from South Korean outlet Business Post on Thursday (April 16), the four companies, which collectively represent K-pop’s so-called ‘Big Four’, recently submitted a business combination report to South Korea’s Fair Trade Commission (FTC) as part of the JV formation process.
The filing is a regulatory requirement given that HYBE qualifies as a large corporate group with assets above KRW 5 trillion (approximately $3.4 billion), and SM Entertainment is an affiliate of the Kakao conglomerate.
An FTC official told Business Post that the regulator could not confirm individual filings, but noted that review timelines vary depending on the specifics of each case.
The venture comes as live music becomes an increasingly important revenue stream for K-pop’s biggest companies.
HYBE generated record concert revenues of KRW 763.9 billion ($537.5 million) in FY 2025, a 69.4% YoY increase, after the company put 12 artists on the road across 279 shows in 53 cities.
That live business is set to grow further in 2026 with the ongoing BTS World Tour ARIRANG, which spans 82 shows in 34 cities across 23 countries — the largest stadium world tour in K-pop history.
SM Entertainment saw its own concert revenues surge 53.6% YoY to KRW 34.5 billion ($23.8 million) in Q4 2025, as expanded global touring from acts including NCT DREAM, aespa, and RIIZE helped propel the company to record quarterly revenues.
The JV is expected to be established with equal equity stakes from all four companies, though details regarding leadership and governance, including the CEO and board structure, have yet to be finalized. The entity is likely to be named Fanomenon, a portmanteau of ‘fan’ and ‘phenomenon’.
The venture will focus on concert planning, with the aim of launching a large-scale music festival in South Korea in 2027 featuring artists from all four agencies.
JYP Entertainment confirmed the plans in a statement to Maeil Business Newspaper, saying: “It is true that we are discussing a public-private cooperation model with the government’s Presidential Committee on Popular Culture Exchange to promote the global expansion of the K-culture industry.”
The company added that the four companies in the committee’s music division are preparing to establish a company to push ahead with the Fanomenon event.
JYP described the JV as a collaborative model being explored to expand K-culture’s global footprint, adding that the initiative remains at an early review stage. “No specific business details or operating methods have been finalized,” the company said. “We plan to make careful decisions by comprehensively considering market conditions and a wide range of opinions.”
JYP added that the project requires cooperation at an industry level rather than on an individual company basis, and that the four firms are reviewing inter-company structures while completing the necessary regulatory procedures.
The Fanomenon concept was first introduced by JYP Entertainment founder J.Y. Park, who also serves as co-chair of the Presidential Committee on Popular Culture Exchange, at the committee’s launch ceremony at Kintex in Goyang, Gyeonggi Province, in October last year.
Park said at the time that the festival would debut in Korea in December 2027 after approximately two years of preparation, before expanding into a global touring event across major cities from May 2028.
He said the goal was to create a new festival that surpasses Coachella, and indicated that the event would also feature major global artists alongside K-pop acts.
Elsewhere in Asia, Sony Music Entertainment and Universal Music Group recently formed their own live music JV in Tokyo.
The company, Nine By Nine Inc., was incorporated on April 1 with a base in Shibuya and will focus on producing music festivals across the region, with a particular emphasis on supporting the international expansion of Japanese artists. Its first event is planned for 2027.Music Business Worldwide