On October 14th, a parliamentary hearing on the state of the music industry highlighted the core copyright issues behind K-pop’s spectacular success.

At the center of the session was singer and administrator of the KOREAN MUSIC COPYRIGHT ASSOCIATION (KOMCA), LEE SIHA, whose dual role as a creator and leader of a collective management organization paradoxically illustrated why K-pop copyright issues have remained unresolved for years, while opening a new phase of debate.
■ Discovery of “missing money”… is the problem internal rather than international?
The main focus of the hearing was the existence of an “exploiting intermediary” revealed by LEE SIHA. During his testimony, he stated: “Chinese platforms like Tencent paid the copyright fees, but domestic publishers not contracted with the authors (intermediaries) collected them instead.”
This statement completely changes the copyright paradigm in K-pop. Until now, royalties from China were seen as “money difficult to recover abroad.” LEE SIHA’s testimony now frames it as a problem of “structural corruption and internal crime,” implicating domestic actors who diverted shares due to creators. The fact that this accusation comes from someone who is both a victim and an administrator greatly amplifies its impact.

■ “Zero value”… imbalance between global status and rights
LEE SIHA also emphasized: “Foreign authors receive royalties via Netflix, but Korean authors do not,” highlighting the reality that OTT royalties for Korean creators are “0 won.”
This reveals a severe imbalance between the global status of K-pop content and the rights of its creators. Despite international popularity, music authors do not even have their most basic rights guaranteed in negotiations with global platforms. LEE SIHA calls this a “reverse discrimination against domestic creators” and stresses the need to resolve it to ensure the sustainability of K-pop.
■ Why LEE SIHA… evidence of the limits of the internal system
This hearing drew attention because of LEE SIHA’s unique position. He is not only an aggrieved creator but also a frontline administrator for rights protection within the KOMCA.
His direct testimony before parliament, exposing internal system gaps and suspicions of corruption, demonstrates that the current management system alone cannot solve the problem. His courage clearly shows why strong, direct government intervention is necessary.

Assemblyman KIM JAE WON, member of the Culture and Sports Committee, emphasized: “Over the past 10 years, Korea has collected only 400 million won (approximately €250,000) per year on average in K-pop copyright royalties from China. Considering Tencent Music’s annual revenue reaches 6 trillion won (approximately €3.75 billion) and K-pop’s share can be up to 10%, hundreds of millions of won in royalties have disappeared each year. The Ministry of Culture, Sports and Tourism must immediately launch a comprehensive investigation, recover illegal profits, and prosecute those responsible.”
In response, Minister CHOI HWI YOUNG stated: “We will conduct a full investigation into copyright in China and the intermediaries.” From now on, the government bears the heavy responsibility of implementing this “comprehensive investigation.” The signal sent by LEE SIHA may not remain a simple alert but could become the driving force for structural reform to restore the K-pop industry ecosystem.
Journalist: Shawn
Translator: Shawn
Source: KOMCA