Netflix has begun reviewing the fees paid to high-profile actors.
It appears that the underlying intent is to reduce the compensation these actors receive.
Currently, it’s common for top actors to demand 1 billion KRW (approximately 100 million JPY) per episode.
According to industry sources, actors' fees, which were once around 100 million KRW (approximately 10 million JPY) per episode, have surged to between 300 million and 400 million KRW (around 30 to 40 million JPY) for leading roles, largely due to Netflix's influence.
The high fees Netflix is paying actors have caused production costs to skyrocket, leading domestic online video services (OTT) and broadcasters to significantly reduce drama production since the beginning of this year.
On the 4th of this month, Netflix held a media event called "Next on Netflix: Korean Films 2025" at the Park Hyatt Busan in Haeundae District, Busan, where a Netflix representative stated that discussions are underway regarding fair compensation for actors.
As concerns grow over rising actor fees pushing production costs higher—costs that are ultimately passed on to consumers—Professor Lee Sang-won from Kyung Hee University expressed his concerns, stating, “The influence of Netflix has caused broadcasting revenue to sharply decline, and the increase in production costs has disrupted the broadcasting industry's ecosystem. The reduction in drama production may soon become a crisis for the Korean Wave itself."
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