Hybe Expands Its Horizons: Game Division Secures $21 Million in Latest Funding Round

Hybe IM Raises Additional Funding for Game Development

Hybe Interactive Media (Hybe IM), the gaming division of South Korea’s entertainment powerhouse Hybe, has announced that it secured an extra KRW 30 billion (approximately 21 million US dollars) to expedite the development and release of games.

Half of this new capital was contributed by previous investor Imm -investments, with Shinhan Venture Investment and Daesung Private Equity joining as new investors.

This latest funding round follows a remarkable 80 million dollars raised last year, led by the Fund for manufacturers, alongside contributions from IMM and Hybe’s parent company. With this latest funding, Hybe IM reports a total of KRW 137.5 billion (around 100 million dollars) raised.

Strategic Goals and Global Competitiveness

The new financing aims to broaden the company’s publishing capabilities and facilitate its long-term strategy, as stated in a release on Monday (March 31). Specifically, the funds will be allocated to marketing, operations, and “localization strategies to support a successful launch and stable live service” for Hybe IM games.

“This additional funding marks a crucial moment in strengthening the global competitiveness of Hybe IM in both gaming and development,” said Hybe IM President Wooyong Chung.

The gaming segment is part of a broader diversification strategy by Hybe, which includes expanding its musical endeavors into markets such as the USA and Latin America, as well as venturing into media beyond music.

This strategy appears to be, at least in part, a response to the realization that Hybe has reached the limits of how far K-Pop—and notably its flagship group BTS—can carry the company. With BTS on hiatus as its members complete mandatory military service, K-Pop now constitutes less than 20% of Hybe’s revenue.

In a 2023 interview, co-founder and Chairman of Hybe, Bang Si-Kyuk, noted that “K-Pop does not dominate the market globally.”

Future Ventures and Game Development

In its game development efforts, Hybe has leveraged the popularity of its K-Pop groups, particularly BTS. The company has developed BTS island: in seom and the mobile game The rhythm of the hive, which incorporates elements from various labels, including BTS, Le sserafim, SEVENTEEN, and Tomorrow X Together.

“This additional financing marks a key moment in strengthening the global competitiveness of Hybe IM both in the game and in development.”

Wooyong Chung, Hybe IM

Chung, however, emphasizes that the company is moving beyond mere integration with its K-Pop acts.

“We are striving to develop beyond IP-based games and become a next-generation publisher that provides compelling content for gamers worldwide,” he stated.

In 2022, Hybe acquired a stake in the developer Flint, known for the popular game Dragon Blaise. The following year, Hybe and Hybe IM invested 21.8 million dollars into the South Korean developer Aqua is Very, and followed that with a 1.45 million dollars investment in South Korean firm Square in 2024.

Hybe IM’s strategy also encompasses publication partnerships, such as the collaboration with Indie Game Developer Studio of the Fire, through which Hybe IM will publish the player-versus-player (PVP) game Arkeron in South Korea and Japan.

Perhaps the most anticipated title in Hybe IM’s lineup is the soon-to-be-released multiplayer online RPG (MMORPG) Architect: Earth of the Exile, crafted in collaboration with Aqua -Verm. The game trailer, released last fall, prompted Game Bible to describe it as “The Witcher meets Final Fantasy.”

In a letter to shareholders last year, HYBE’s CEO Jason Yasang Lee stated that games are “ready to play a decisive role” in Hybe’s future entertainment ventures.

“Although gaming fans and music fans may embody different characteristics and demographics, both fields are united by their essential ties to intellectual property and communities that value and enjoy these experiences,” he remarked. “We believe that the expertise HYBE has cultivated in the music fandom business can be effectively applied to the gaming industry.”