YG Entertainment has announced its decision to discontinue its acting management division.
The company revealed on January 17 that it will phase out its acting management business as part of a structural reorganization aimed at concentrating on its core music operations.
YG stated that the exit process will involve individual consultations with its actors, allowing them to depart the company gradually based on their contract expiration dates. The process began last year, and further organizational restructuring was implemented on January 1, 2025.
A company representative explained, “We have thoroughly communicated our situation and strategic direction to our actors, seeking their understanding during this transition.”
Actors currently signed with YG Entertainment include Kim Hee-ae, Cha Seung-won, Yoo In-na, Yoo Seung-ho, Lee Sung-kyung, Jang Ki-yong, Claudia Kim (Soo-hyun), Lee Soo-hyuk, Kyung Soo-jin, Han Seung-yeon, Son Na-eun, Seo Jung-yeon, Jin Kyung, Gal So-won, Park So-yi, Lee Ho-jung, and Joo Woo-jae. Notably, Yoo Seung-ho is expected to leave the company when his contract ends in March.
YG expressed gratitude to its actors and their fans, pledging to provide full support until the conclusion of each contract.
In recent years, YG has been shedding non-core businesses to enhance profitability. In 2022, it liquidated its food brand, YG Foods, followed by the sale of its golf service company, Greenworks, in 2023. Additionally, the company sold a 60% stake in its drama production studio, Studio Plex, relinquishing management control. Even YGX, a subsidiary highly valued by YG founder Yang Hyun-suk, has been dissolved.
The decision to exit actor management aligns with YG’s strategy to refocus on music production and bolster its financial performance.
The news has sparked mixed reactions online. Comments ranged from concern to understanding, with some asking, “Where will all these actors go now?” while others acknowledged, “If the company is struggling, focusing on what they’re good at makes sense.”
As YG Entertainment continues to streamline its operations, its renewed focus on music signals a significant shift in its long-term strategy.