LOEN Entertainment will split their Artist Division into multiple Labels is one of the largest music distribution companies and the chief producers for artists like IU, Fiestar or Sunny Hill. They recently announced that they are planning to separate their artist production arm into several brands or labels.
This could mean that LOEN Entertainment plans to expand their artist production business and increase visibility for their brand. Firstly, LOEN Entertainment currently consists of three distinct business areas. They are the “MelOn Biz”, “Contents Biz,” and the most important, the “LOEN Artist.”
MelOn Biz is South Korea’s music distribution service MelOn, which is currently one of the most sought-after digital music platforms in South Korea.
“Contents Biz”, LEON’s content production arm, is responsible, according to LOEN “For the distribution over 300 titles per annum and working with competent agencies to discover great albums and invest in production of music content.” It is basically responsible for assisting agencies with the production of album, including cash investment, CD production and distribution, and any other tasks required to get the album off the recording booth onto the shelves.
We have finally “LOEN Artist”. This is LOEN Entertainment’s internal artist arm. It represents artists such as IU and GAIN (when she is solo), ZIA, Sunny Hull and Fiestar. Also, it includes actors Kim Suk Hoon and Jo Han Sun. These artists were marketed under “LOEN Entertainment”, but LOEN Entertainment now wants to differentiate their artist arm and announced that it will be split into several separate labels led by two well-known names in the music business.
LOEN Entertainment explained that they are seeking to grow their artist production business through constant investments in the system and splitting the current production arm responsible general artist management into separate labels.
The most important part is now: LOEN Entertainment will split their “LOEN Artists” business into two labels. One label will be “LOEN Tree,” which, with all their actors, will be responsible for IU and Sunny Hill. Jo Young Chul, the current head of music production at LOEN, will lead this label. LOEN Entertainment’s “LOEN Tree”, a label that isn’t new, doesn’t have to be. Since a long time, it has been used to describe their artist production division. The label was used by them when they recorded the song “Sea Of Moonlight” together with IU, Fiestar.
The second label is “Collaboddari Label” (romanized). LOEN Entertainment is yet to clarify the meaning of this name. However, I am assuming that it will eventually mean “Cola Package Label”. Just going by the logical way to split that name to actually mean something. The most important aspect of this label is the person who will be leading it. LOEN Entertainment seems to have found someone very interesting for this role.
Shinsadong Tiger, a composer who is well-known for songs like 4minute’s ‘Hot Issue’, BEAST’s ‘Fiction’, T-Ara’s ‘Roly-Poly,” A Pink’s ‘NoNoNo,” Secret’s ‘Magic’ and many more, will lead this label. It will be run by LOEN Entertainment. The new “Collaboddari Label”, which will be responsible for ZIA, Fiestar and other artists, is currently the responsibility of LOEN Entertainment. Entertainment did not mention if Gain would be under one of these labels.
LOEN Entertainment also stated that they plan to diversify their business into individual labels to produce music in a variety of genres and colours so that both labels and LOEN Entertainment can prosper. Then, we will make preparations for entering the global market.” These are very ambitious goals and a unique twist on the K-Pop industry.
Three Former Loen Entertainment executives receive Sentences for Stealing Royalties while Operating Melon In their first trial, Entertainment’s former executives were found guilty of theft of royalties while operating the music platform Melon.
Shin, a former CEO of Loen Entertainment, was previously indicted for violating the Act On the Aggravated Punishment. Specific Economic Crimes (fraud). Shin was sentenced by the Seoul Eastern District Court to three years and six month imprisonment on February 16.
Shin and the former vice-president of the company, Lee, were brought to trial. Lee was sentenced to two year and six months imprisonment with a probation period for four years. Kim, the former director, was sentenced to a year and six month in prison with a probation period for three years. These two executives will be sentenced to prison only if they are convicted of another offense within their probation period.
Shin and other Melon executives were indicted on September 19, 2019, for allegedly stealing 18.2 Billion Won (approximately $16.4 Million) while operating Melon. In 2009, Shin and the other executives were indicted on charges of stealing 4.1 billion won (approximately $16.4 million) in royalties. They took songs that had lost their copyright protection and registered them as though LS Music owned the rights. To make it appear that Melon users had downloaded songs from LS Music, they created records.
They also failed to pay 14.1 billion won (approximately $1.2 million) between April 2010 and April 2013. This money should have been paid to copyright owners. This was done by Melon’s modified royalty distribution system. Copyright holders could be paid according to the number of Melon users. Melon changed the system in April 2010 to remove users who made regular payments but did not use the service. They are accused of withholding this information from copyright owners, thus stealing royalties from non-users.
They were found guilty of all charges and sentenced to prison. There are many things to criticize. The court stated that Shin was entitled to the final decision on this systematized crime. He is therefore the most liable and has the most room for criticism.
