Korean production house, Studio Dragon, leads the K-drama boom with the biggest budgets and access to the best talent pool among its advantages. Executive producer/IP strategy general manager, Lee Ki-hyuk, talks about growth and expansion every which way; diversifying platforms, partners and genres; filtering out the noise to focus on the story; and other things at the top of the US$1.5- billion, seven-year-old listed studio’s agenda as 2022 draws to a close.    

Studio Dragon productions increased to 13 titles in Q2 this year – +7 from Q2 the previous year. Is there anything in particular that needs to happen for you to maintain this level of growth? “In 2022, Studio Dragon focused on expanding its cooperation with not only linear channels, but with global OTT platforms (Disney+, Amazon Prime Video, Apple TV+, etc.), including those of Korea (TVing, Coupang Play). Therefore, we are planning and developing diverse genres suitable for diverse platforms, and strengthening our capability to develop new items.”

What (or who) has the greatest influence on what dramas you produce?

“There are many factors that influence drama production. There may be external environmental factors (such as expansion of OTT platforms and increasing demand for K-dramas) and internal environmental factors (such as securing creators, domestic competition and rising production costs). Recently, the most influential factor has been the diversification of viewers’ needs, varying across platforms. In order to meet these needs, we are putting effort into our planning and developing stages as well as discovering original IP.”

The studio has said it would like to diversify its genres – what would you say you are best at to date and what kind of diversification might you be exploring?

 “Studio Dragon presents stories of diverse genres such as romance, action, mystery, human, fantasy, creature, etc. Rather than focusing on the genre we are confident in, we are consistently seeking new stories that will fascinate the world. We would like to grow as a premium storyteller group, and we believe that every good starting point begins with a good story.”

What impact – if any – will CJ ENM’s focus on TVing have on Studio Dragon’s productions in terms of volume and the type of programming you produce?

“TVing is the Korean OTT platform with the most subscribers in Korea. Studio Dragon and TVing continue to cooperate in content production, and this allows us to introduce subject matters and formats, which were difficult to introduce through TV.”

Are you seeing any increase in interest in scripted formats/remakes of Studio Dragon drama IP?

“Global interest in IP owned by Studio Dragon is increasing. To provide a recent example, Flower of Evil, which was popular even in Korea, was successfully sold as a remake in India. It is meaningful because it is the first K-drama to be remade in India. As various countries are requesting for remakes, we notice the power of Studio Dragon’s originals.”

How do you view co-productions and where are possible partnerships with other production houses (in Korea or elsewhere) on your list of priorities?

“Currently, Studio Dragon is co-producing the American TV series The Big Door Prize with Skydance Media in the U.S. We are considering co-productions of other IP as well. Co-production with other countries (such as the U.S., Japan, etc) provide the opportunity to experience foreign production systems (such as the Hollywood production system) and to approach local viewers through works of Studio Dragon.”

Other than "Squid Game", what would you say is having the greatest impact on Korean drama perception in the rest of the world?

“It would be storytelling. Works like "Squid Game" have fascinated viewers across the world with their dystopian themes. However, K-dramas, regardless of genre, embrace a storytelling that immerses audiences in each and every episode... our storytelling fascinates viewers all around the world.”

What would you say has been the biggest change in Studio Dragon’s approach to content development and production in the past few years?

“It would be the diversification of distribution. Previously, distribution was limited to domestic TV channels and overseas local sales, but with the appearance of global OTTs, works could be distributed across the world. Studio Dragon has worked consistently, without differentiating between domestic and overseas content, and we have seen that both can appeal to the world.”

Generally, drama production budgets across Asia have increased as a result of streaming, with Korea at the top of the range in Asia, and talent costs soaring. But Hollywood budgets are still way higher. Do you see Korean production budgets continuing to rise to eventually reach those of the U.S.?

“The markets of Korea and the U.S. are different in nature, so even if production costs of Korea have risen significantly, they are not expected to reach those of the U.S. Production costs in the Korean drama market are rising due to efforts to scale up and improve quality, rising labour costs, etc.”

Studio Dragon has said it would like to be a global major studio: what does this look like? Will your HQ shift to the U.S.? Will your budgets/output be level with U.S. studios? Where does your “Korean soul/DNA” fit into this global operation?

“We would continue to secure successful IP and deliver diverse genres and hits. We aim to achieve high-growth and production stability by expanding our cooperation with global OTTs and top creators. With the rising popularity of K-dramas around the world, we have been asked this question several times, and we have seen countless times that works enjoyed by Korean viewers are also enjoyed by the rest of the world.”

What is at the top of your wish list for Studio Dragon in 2023? “Our influence on the global stage is still inadequate. We wish to expand our influence and advance as a global major studio, by increasing our own successful content cases.”

This feature appears in ContentAsia's December 2022 print magazine