The domestic OTT platform 'Wavve' has been failing to pay copyright fees exceeding 40 billion KRW for several years. The Korea Music Copyright Association (KOMCA) condemned this and filed a civil lawsuit.
KOMCA stated on the morning of the 27th, "Despite the overdue usage fees of Wavve amounting to more than 40 billion KRW, they have refused to pay for several years," adding, "Major OTT operators consistently show irresponsible attitudes towards the suffering of creators."
According to the association, the unpaid fees were estimated over 11 years from 2011 to 2022. The estimations were based on electronic disclosure of sales and subscriber data, applying the music copyright fee calculation standards (video transmission and webcasting application rates). This total includes a 15% infringement surcharge.
In 2022, major domestic OTT operators filed an administrative lawsuit against the Ministry of Culture, Sports, and Tourism. Platforms like Wavve, TVING, Watcha, and LG Uplus Mobile TV refused to pay the fees. However, the court sided with KOMCA.
KOMCA stated, "Even after losing the case, OTT platforms arbitrarily interpreted the collection rules," and added, "They refuse to provide basic data for calculating fees and still do not pay them."
They continued, "The total overdue fees of major OTT operators including Wavve surpass 100 billion KRW," and appealed that "the damages to music creators are growing daily, as they have never paid the fees."
Despite this situation, they pointed out that the activation of domestic OTT production is ongoing. The Ministry of Culture, Sports, and Tourism had announced financial support of 1 trillion KRW and 70 billion KRW in production support for OTT platforms.
They claimed that the issue of unpaid music copyright fees remains unresolved despite national investment. Concerns about the fair distribution of government support and the sustainability of the content industry ecosystem are growing.
The association expressed regret that despite their best efforts for an amicable resolution, they ultimately had to go to litigation. "However, there was no option but to decide on legal action since there is no other way to remedy the creators' losses," they stated.
Finally, they emphasized the protection of creators' rights. "If government support aims to enhance K-content competitiveness, the rightful protection of creators' rights must be the top priority," they asserted.
<Photo provided by KOMCA>
