Business Strategies of Korean TV Players in the Age of Over-The-Top (OTT) Video Service
This article is a comparative analysis of business models and strategies employed by firms in the South Korean digital video marketplace facing competition from over-the-top (OTT) content services. It analyzes the strategies of South Korean firms, including traditional access providers (e.g., telecom companies) deploying content, traditional content providers (cable networks) seeking new delivery channels, and terrestrial content and access providers (terrestrial broadcasters). Unlike third-party services, such as Netflix, that came up in competition with existing broadcasters and upended traditional paradigms of pay TV markets, South Korean OTT has emerged as extensions of established pay TV services. Thus, OTT services in Korea became an extension of established players’ offerings and part of their N-screen strategy, further entrenching their market position.