The domestic live streaming platform SOOP (formerly AfreecaTV), which has maintained its leading position, is shaking as it falls behind Naver's platform Chijijik. Launched in December last year, Chijijik surpassed SOOP in monthly active users (MAU) in less than a year. Although SOOP has attempted various changes, there are criticisms that it has struggled to shed its provocative image.
According to data analysis platform Mobile Index on the 18th, last month SOOP's MAU was 2,403,497, falling short of Chijijik's 2,421,729. The number of new app installations also favored Chijijik (187,141) compared to SOOP (181,091).
In response to Chijijik's rise, SOOP has attempted changes to defend its position. In October, it changed its name from the former AfreecaTV to SOOP and replaced the platform's user experience (UX) and interface (UI). At the end of last month, it officially launched its global platform and has been making efforts to penetrate overseas markets. On the 9th, after three years, Seo Sook-gil, the chief broadcast jockey (CBO), returned as CEO. This organizational change was determined to expand into the global market, strengthen e-sports-centered business, and promote new projects.
However, despite SOOP's efforts, there are concerns that it will be difficult to move away from its accumulated provocative image. SOOP has faced criticism for condoning sexually provocative or violent personal broadcasts. Recently, it has continued to maintain controversial 'Excel broadcasts,' leading to critiques stating it is passive in revitalizing its image.
'Excel broadcasts' are named for their presentation of real-time incoming Star Balloon sponsorship details and rankings of broadcast jockeys (BJs) in a spreadsheet-like format. Multiple BJs conduct group broadcasts where several female streamers dance or sing. The set atmosphere and the way women are ranked have drawn criticisms for resembling entertainment culture, with accusations of being a 'cyber bar.'
Speculation surrounding Excel broadcasts is also increasing. Last year, while investigating the so-called 'Rolls-Royce man incident,' police detected signs that criminal proceeds were laundered through Star Balloon channeling. The perpetrator conspired with a female BJ to sponsor Star Balloons worth approximately 500 million won at a time, then shared the amounts. Additionally, one streamer revealed that some female streamers were involved in drugs and prostitution to participate in popular Excel broadcasts.
Despite these issues, SOOP is not enforcing strong sanctions. Excel broadcasts generate substantial revenue, benefiting both streamers and the company. SOOP collects a commission when viewers give Star Balloons to streamers, with the commission structure based on their ratings: ▲ General 40% - 60% ▲ Best 30% - 70% ▲ Partner 20% - 80%.
In the third quarter of this year, SOOP recorded revenue of 311.5 billion won and an operating profit of 85.7 billion won. This represents increases of 25.9% and 34.1%, respectively, compared to the same period last year. In the third quarter, 78.4% of SOOP's revenue came from paid content, including Star Balloons. Currently, all of the top 10 streamers generating revenue from Star Balloons are engaged in Excel broadcasts. Excel broadcasts are the primary content for accumulating Star Balloons. In this context, CEO Jeong Chan-yong stated in October, 'Excel broadcasts do not possess illegality or illegitimacy,' expressing that rather than regulating them, they will choose to maintain their presence.
SOOP's response is contrasted with that of Chijijik. In January, Chijijik revised its terms of service to strictly limit the broadcasting activities of streamers with potential controversies such as crime, hatred, and incitement. It has also implemented an artificial intelligence (AI)-based 'Clova Green Eye' system to detect and delete pornography, provocative content, and deepfake sexual exploitation in real-time.
A streaming industry representative noted, 'As more famous streamers emerge, the biggest concern when deciding on a platform is its image,' adding, 'While SOOP has been absolute in the streaming platform market, the emergence of Chijijik has broadened the choice of platform image for streamers.' He continued, 'Unless SOOP improves its revenue structure centered around provocative content, revitalizing its image will be challenging.'