OhmyNews to receive $11 million investment

In a first for a Korean media firm, local online media outlet OhmyNews is to receive $11 million in foreign investment. Experts say that the investment, by Japanese Internet and network giant SoftBank Corp., clearly shows that Korea’s online news business is gaining foreign recognition. Oh Yeon-ho, president of OhmyNews, and Son Jung-eui, the chief executive of SoftBank, met three times from last September to discuss ways to globalize the services of OhmyNews, whose motto is, “All citizens are reporters.” As a first step, SoftBank paid $5.2 million on Tuesday as part of a capital increase deal to acquire a 13-percent stake in OhmyNews. Mr. Oh from OhmyNews said the funds gained from the capital increase would be spent on strengthening “OhmyTV,” the company’s online broadcasting outlet, and the English-edition OhmyNews, which has contributors from over 700 people in 65 countries. SoftBank will invest $5.8 million into OhmyNews’ Japanese branch OhmyNews International, which is slated for completion next month. OhmyNews and SoftBank will hold stakes of 70 and 30 percent, respectively, in the Japanese company, which will launch a Japanese version of OhmyNews. OhmyNews said the Japanese media have shown great interest in the “citizen journalism” concept. by Seo Ji-eun