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FTC conditionally approves Tving, Wavve merger, fees to remain unchanged until end of 2026

Published: 10 Jun. 2025, 12:00 Updated: 10 Jun. 2025, 16:31

YOON SO-YEON
[email protected]

The first hurdle in the merger of two Korean streaming platforms, Tving and Wavve, has been cleared as the Fair Trade Commission (FTC) gave conditional approval, ordering the companies to maintain current subscription fees for their services or any possible new service until the end of 2026.

The FTC announced Tuesday that the two platforms — Tving, owned by CJ ENM, and Wavve, whose majority shares are owned by SK Square — may merge their services as long as they maintain current prices for subscriptions so as not to hinder fair competition in the streaming market.

The two companies signed an agreement on Nov. 27, 2024, to have Tving executives sit on the board of Wavve. Papers requesting approval from the FTC were filed on Dec. 26 and Tuesday's decision comes as the first official move from the government to approve the two platforms' merger.

As of June, Tving's monthly subscription models are set at 9,500 won ($6.99) for a basic plan that supports only one user at a time, an ad-supported plan at 5,500 won and a standard model at 13,500 won that allows up to two users at a time and the premium model at 17,000 won that supports up to four users at a time.

Wavve's models are slightly cheaper. The basic model stands at 7,900 won, the two-user model at 10,900 won and the four-people model at 13,900 won.

"The decision is aimed at maintaining a similar level of pricing models so that consumers may use the services without being exposed to increased prices, even after the merger of Tving and Wavve," the FTC said in a press release.

Logos of Tving, top, and Wavve [EACH COMPANY]

The FTC cited concerns that the number of major domestic streaming services — Tving, Coupang Play, Wavve and U+ — may be reduced to three, if Tving and Wavve decide to streamline their services into one, thereby giving the hypothetical new service the upper hand in setting a higher price range.

As of 2024, Tving and Wavve were No. 2 and No. 4 in the market, respectively, with 21.2 percent and 12.4 percent shares each, according to data compiled by the FTC. The No. 1 was Netflix with a 33.9 percent share, and No. 3 was Coupang Play with a 20.1 percent share.

With the FTC decision, Tving and Wavve will have to keep their current prices capped until Dec. 31, 2026. The new service — if the two companies decide to make one — will also have to roll out subscription plans that match those of Tving and Wavve, according to the FTC.

"This decision is meaningful in that it prevents a potential damage to OTT [over-the-top] service users, but also approves a company merger that will facilitate their content supply and production capabilities, thereby increasing the OTT subscription market," the FTC said.

BY YOON SO-YEON [[email protected]]