Last year, the K-pop industry was abuzz after it was revealed that YG Entertainment was unable to secure contracts for the individual activities of the BLACKPINK members.

Following the contract expiration in August, there was no news that the members had renewed with YG Entertainment, leaving fans uncertain about the group’s future. Throughout the ensuing months, the label consistently reassured fans that negotiations with the members were ongoing.

In a long-awaited announcement, in December 2023, YG Entertainment confirmed the renewal of BLACKPINK’s group activities under the label. However, it was revealed that individual members had chosen to explore other options for their solo endeavors.

On March 21, the business report for YG Entertainment was released by the Financial Supervisory Service. The report revealed the various assets the company holds as well as their expenses in 2023.

Drawing on the report, netizens deduced the cost YG Entertainment paid to renew the BLACKPINK members’ contracts for their group activities.

One netizen shared in a popular online community, “Upon reviewing intangible assets, it appears that a new acquisition cost of 41.185 billion KRW (30.86 million USD) in advance payments was made in 2023. Considering the significant amount of approximately 41.2 billion KRW (30.9 million USD) in advance payments acquired through new exclusive contracts between YG and YG artists in 2023, it is highly likely that the majority of this sum pertains to BLACKPINK’s renewal fees rather than new agreements with BABYMONSTER.”

The netizen continued, “If you examine the artist list, you can narrow down who signed new exclusive contracts with YG and renewed contracts with YG in 2023. Given the roster of artists that YG Entertainment managed in 2023, identifying those who either entered into new exclusive contracts or whose contracts were renewed could offer further insights. From what is known, BLACKPINK and BABYMONSTER were the only artists with contract activities last year. So it’s estimated that BLACKPINK’s renewal fees alone would exceed at least 30 billion KRW (22.5 million USD).”

The netizen added, “The annual amortization cost of KRW 5.5 billion (4.1 million) suggests a prediction that these renewals could span a 7-year contract term.”

The poster estimated that YG Entertainment renewed the group contract with BLACKPINK for around 10 billion KRW per member (7.5 million USD).

Korean netizens commented, “Wow, their value is so high even though it was contract renewal for group activities,” “Please release a new album,” “If it’s only 10 billion KRW per member, the members basically renewed out of loyalty because YG can easily make that money back from just one BLACKPINK world tour,” “They need to do a concert,” “Shouldn’t contract renewal be just for 3 or 4 years?” “I’m so envious, I want to be paid that much,” “BLACKPINK, do more group activities,” “They rake in money but they only gave them that much?” “I’m going to go to the next concert for sure,” “I don’t think this is official. Just a guess,” “Wow, 10 billion KRW for contract renewal…” and “I hope they do a lot of group activities.”