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SM Entertainment Co., Ltd.
Native name
SM 엔터테인먼트
Formerly
SM Studio (1989–1995)
Public
Traded as KRX: 041510
Industry
Genre
Founded
  • February 14, 1989; 36 years ago (1989-02-14) (as SM Studio)
  • February 14, 1995; 30 years ago (1995-02-14) (as SM Entertainment)
Founder Lee Soo-man
Headquarters SM Entertainment 83-21, Wangsimni-ro, Seongsu-dong, Seongdong-gu, Seoul, South Korea
Area served
Worldwide
Key people
  • Jang Cheol-hyuk (CEO)
  • Tak Young-jun (COO)
  • Lee Sung-soo (CAO)
Services
  • Artist management
  • Album and digital music planning
  • Record production
  • Music distribution
  • Music publishing
Revenue Increase 960 billion (US$839.2 million) (2023)
Increase 115.8 billion (US$101.23 million) (2023)
Total assets Increase 1.46 trillion (US$1.28 billion) (2024)
Total equity 879.6 billion (US$768.91 million) (2024)
Owner
  • Kakao (21.61%)
  • Kakao Entertainment (19.89%)
  • Tencent Music (9.66%)
  • Others (48.84%)
(as of June 1, 2025)
Number of employees
695 (2024)
Divisions See divisions

SM Entertainment Co., Ltd. is a big entertainment company from South Korea. It was started in 1995 by Lee Soo-man. SM Entertainment is one of the largest entertainment companies in South Korea. It has helped many K-pop stars become famous around the world.

The company works as a record label, finding and managing talented artists. It also produces music, organizes events and concerts, and publishes music. SM Entertainment is known for leading the global K-pop trend, also called the "Korean Wave". Early successful groups included H.O.T., S.E.S., and BoA.

Today, SM Entertainment manages popular K-pop artists like Kangta, BoA, TVXQ, Super Junior, Girls' Generation, Shinee, Exo, Red Velvet, NCT, Aespa, Riize, Lucas, Naevis, and Hearts2Hearts.

History

How SM Entertainment Started

Smentertainment logo
Company logo until October 2017

After studying in the United States, Lee Soo-man returned to Korea in 1989. He started a company called "SM Studio" in Seoul. In the 1990s, SM Studio created a special system. This system helped manage all parts of an artist's career. Lee Soo-man wanted to reach teenage audiences. He focused on all the skills an entertainer needed to be successful.

In February 1995, the company changed its name to SM Entertainment. It then created many successful artists. These included the boy band H.O.T. in 1996 and the girl group S.E.S. in 1997. Other popular groups were Shinhwa in 1998 and Fly to the Sky in 1999. Solo artist BoA also debuted in 2000.

New Artists and Global Growth

KCON 2015 Super Junior 2
Super Junior at KCON in 2015.

In the early 2000s, some older groups like H.O.T. and S.E.S. stopped performing. Shinhwa moved to a different company. SM Entertainment started new companies like SM Entertainment Japan in 2001. The company also began working with the Japanese music label Avex Trax.

In 2003, SM Entertainment introduced a new five-member boy group called TVXQ. In the years that followed, more artists debuted. These included TRAX (2004), The Grace (2005), and Super Junior (2005).

Expanding Worldwide

Girls' Generation at DMC Festival 2015 MBC Radio DJ Concert in September 2015
Girls' Generation at the DMC Festival in September 2015
Shinee during the 2016 Korean Popular Culture and Arts Awards 03
Shinee in October 2016
151025 f(x) 01
f(x) in October 2015

Around 2005, SM Entertainment started focusing on promoting artists outside South Korea. They introduced Chinese soloist Zhang Liyin (2006) and Japanese soloist J-Min (2007). Other popular groups like Girls' Generation (2007), Shinee (2008), and f(x) (2009) also debuted.

In 2008, SM Entertainment created a Chinese sub-unit of Super Junior called Super Junior-M. They also planned for BoA to debut in the American music market.

New Projects and Partnerships

In February 2010, Lee Soo-man stepped down from his role on SM's board. He wanted to focus more on the company's global business and artist development. SM Entertainment also started working with other big entertainment companies. They formed a joint company called KMP Holdings.

In April 2011, SM Entertainment joined with other agencies to create United Asia Management. This group aimed to promote Asian music worldwide. That same year, SM partnered with a Thai media company to create SM True.

Exo at Ex'Act press conference June 2016
Exo in June 2016

In 2012, SM introduced the large boy group Exo. Exo was split into two units to perform in Korea and China at the same time. SM also started SMTown Travel, a travel company for fans. Many of SM's artists became stockholders in the company. This meant they owned a part of SM Entertainment.

SM also expanded into television. They created SM Culture & Contents (SM C&C). This new company signed famous TV personalities.

New Generations of Artists and Music Ventures

Red Velvet going to a Music Bank recording on June 28, 2019
Red Velvet going to a recording of Music Bank in June 2019

In 2013, SM C&C bought Hoon Media, a TV production company. They also acquired Woollim Entertainment, a record label with artists like Infinite.

In August 2014, SM debuted Red Velvet. They were the first new girl group from SM in five years. In November 2015, Super Junior got their own special label called Label SJ. SM also partnered with a modeling company called ESteem.

181012 NCT127 KBS '뮤직뱅크' 리허설 출근길 직캠 영상 01
NCT 127 during a recording of Music Bank in October 2018

In January 2016, Lee Soo-man announced plans for a new boy group, NCT. NCT stands for Neo Culture Technology and has many members. Its first sub-unit, NCT U, released songs in April 2016. NCT has grown to include other units like NCT 127, NCT Dream, and WayV. NCT currently has 25 members.

SM also opened a restaurant called SMT Seoul and stores selling branded foods. In February 2016, the Chinese company Alibaba Group bought a small part of SM Entertainment. SM also started a new EDM label called ScreaM Records. They also launched a digital music channel called SM Station.

NCT's Growth and Business Changes

In February 2017, SM planned to open an international K-pop academy. This school would train aspiring artists. In March 2017, SM bought a large part of the independent record label Mystic Entertainment.

In March 2018, SM acquired KeyEast, an entertainment agency. They also bought FNC Add Culture, a drama production company. In October 2018, SM acquired Million Market, a label for singers and rappers. SM also partnered with Trans Media in Indonesia.

SuperM at a Launching Press Conference on October 2, 2019
SuperM at a press conference in October 2019

In January 2019, SM debuted NCT's China unit, WayV. In August 2019, SM and Capitol Music Group announced SuperM. This was a "supergroup" with members from Shinee, Exo, and NCT. SuperM's first album reached number one on the US album chart. This made them the first Asian artist to do so with a debut release.

In April 2020, SM and Naver created Beyond Live. This was a series of online live concerts for global audiences. These concerts were important during the COVID-19 pandemic. In August, Naver invested a lot of money in SM. SM also partnered with JYP Entertainment to create Beyond Live Corporation. In October 2020, SM announced Aespa, their first new girl group in six years. Aespa debuted in November 2020.

20211116 이터널 리턴 X aespa (2)
Aespa in November 2021

In December 2021, SM created an all-female supergroup called Girls On Top. The first group from this project was Got the Beat. It included members from BoA, Girls' Generation, Red Velvet, and Aespa. They released their first song in January 2022.

In October 2022, SM partnered with Everland amusement park. They launched "Ever SM Town," based on SM artists and their universe. In December 2022, SM announced plans to open its Southeast Asian headquarters in Singapore.

The "SM 3.0" Era and Big Changes

In February 2023, SM announced its "SM 3.0" era. This meant big changes to how the company worked. Instead of one person leading production, multiple teams would now manage music and artist promotions. This new system aimed to avoid delays.

Kakao bought a part of SM Entertainment in February 2023. This made Kakao a major shareholder. Later, Hybe Corporation also bought a large part of SM from Lee Soo-man. However, Hybe later decided not to buy more shares. In March 2023, Kakao successfully bought a larger part of SM Entertainment. This made Kakao the biggest shareholder.

In March 2023, SM Entertainment appointed Jang Cheol-hyuk as its new CEO. Lee Sung-soo returned to his role in artist and repertoire (A&R). Lee Soo-man said this was "the end of an era" for the company he founded.

In August 2023, SM Entertainment and Kakao Entertainment announced a joint company in North America. SM also started a music publishing company called Kreation Music Rights. SM debuted its new boy group Riize in September 2023. The final NCT sub-unit, NCT Wish, debuted in February 2024. In March 2024, Kreation Music Rights launched a new production label called Kustomade. Hearts2Hearts, an eight-member girl group, debuted in February 2025.

In May 2025, SM invested in Great M Entertainment. Also in May 2025, Hybe announced it would sell all its shares in SM to Tencent Music.

Divisions

SM Entertainment has many different parts that help it run.

  • SM Studios: This group includes several companies:
    • SM C&C (since 2012): Makes TV shows and other content.
    • SM Life Design Group (2018): Focuses on lifestyle and design.
    • Dear U (2017): Manages fan communication platforms.
    • Mystic Story (since 2017): A music and entertainment company.
    • KeyEast (since 2018): An agency for actors and artists.
  • Dream Maker Entertainment (2006): Organizes concerts and events.
    • Beyond Live (2020): Produces online live concerts.
  • SM Brand Marketing (2008): Manages SM's brands and products.
  • SM Town Planner (2017): Plans SM Town events and spaces.
  • SM Culture Partners (2022): Works on cultural projects.
  • Studio Realive (2022): A production studio.
  • Kreation Music Rights (2023): SM's music publishing company.
    • Kustomade (2024): A new production label under Kreation Music Rights.
  • Studio White (2023): Another production studio.

Investments SM Entertainment also invests in other companies:

  • ESteem (since 2015): A modeling company.
  • Galaxia SM (since 2015): A sports marketing company.
  • Dreamus (since 2017): A music distribution company.

Branches SM Entertainment has offices and joint companies in different countries:

  • SM Japan (2001)
  • SM USA (2008)
  • SM True (2011): A joint company with True Corporation in Thailand.
  • SM Entertainment Beijing (2012)
  • SM Entertainment Indonesia (2019): A joint company with Trans Media in Indonesia.
  • SM Entertainment Vietnam (2020)
  • SM & Kakao Entertainment America (2023)

Labels These are special music labels within SM Entertainment:

  • ScreaM Records: Started in 2016, it focuses on electronic dance music.
  • SM Classics: A classical music label started in 2020 with the Seoul Philharmonic Orchestra.
  • Krucialize: A new label started in 2024 for a special SM project.

Institute

  • SM Institute (2021): An educational facility that trains aspiring artists.

Former Labels Some labels that were once part of SM Entertainment:

  • Baljunso: An indie record label acquired by SM in 2014, now closed.
  • Label SJ: A special label for Super Junior from 2015 to 2023.
  • Woollim Entertainment: A record label acquired by SM in 2013, later spun off.
  • All I Know Music (AIKM): A hip hop label that was part of SM, now closed.
  • Million Market: A record label acquired by SM in 2018.

Artists

Philanthropy

On February 13, 2023, SM Entertainment donated 200 million won to help people affected by the 2023 Turkey–Syria earthquake.

See also

Kids robot.svg In Spanish: SM Entertainment para niños

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