Cine21, a leading South Korean film and entertainment magazine, recently surveyed 51 leaders across Korea’s content investment, production, distribution and talent-management industries about the outlook for Korean entertainment in 2026. Despite concerns about the current market, industry leaders pointed to several areas that could shape what comes next.
Short-form dramas are becoming an established format, with dedicated platforms emerging and traditional production companies entering the market. AI is also becoming increasingly integrated into production, with more than 90% of respondents viewing its adoption positively or as inevitable. Uses already range from script review and trend analysis to VFX, sound mixing and other post-production work.
Another major concern is the concentration of the streaming market. With fewer outlets commissioning scripted content, producers worry that smaller and midsize production companies could find it increasingly difficult to secure financing and distribution for new projects.
One strategy gaining momentum is international co-production. More than 90% of those surveyed said they had pursued or seriously considered working with international partners. Rather than simply exporting finished Korean content, producers are increasingly exploring joint financing, development, production and distribution across multiple countries.
Concerns About the Industry Run Deep
The concerns about Korea's changing production environment aren't new. At a Korea Creative Content Agency forum in June 2025, Korea Drama Production Association Secretary-General Bae Dae-sik offered a stark assessment of the situation, saying the Korean drama industry was “on the verge of collapse.” [1]
Bae pointed to rising production costs and fewer dramas being made, while also raising concerns about intellectual property ownership when Korean studios produce originals for global streaming platforms. He argued that without retaining IP rights, the long-term financial benefits of globally successful Korean productions can flow disproportionately to the platforms distributing them.
His comments add another dimension to the concerns raised by industry leaders in Cine21's 2026 survey. As traditional commissioning opportunities shrink and production costs rise, the question isn't simply how Korean dramas will reach global audiences, but how the companies creating them can build a sustainable business around that success.
The outlook comes at an interesting time for the industry. 2026 is also the final year of Netflix’s four-year, $2.5 billion investment commitment in Korean content, announced in 2023. Netflix has become an important source of investment and global distribution for Korean productions, raising a significant question about what comes after that commitment.
For now, Korean entertainment leaders appear to be looking toward new formats, technology and international partnerships as they navigate rising production costs and a rapidly changing television and streaming landscape.
Translation Note: This article was created using an AI-assisted translation and summary of Cine21’s original Korean-language reporting. We’ve done our best to accurately represent the findings, but please excuse any minor translation errors or nuances that may have been lost in translation.
Other Sources: Asia News Network, Korea JoongAng Daily
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