Netflix caps K-drama stars' salaries: a turning point for the Korean industry?

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It's a decision that's likely to cause quite a stir in the Korean drama world. Netflix, the world's leading platform for the production and distribution of K-dramas, has just launched the set a salary ceiling for actors in its original Korean series. The amount: 400 million won per episode, or around €270,000. A high figure on the face of it, but far lower than the staggering fees some stars used to earn.

Budgets under strain, studios out of breath

Since the arrival of Netflix in South Korea, budgets per episode have literally exploded. Before the era of streaming, an episode cost on average 300 to 400 million won (€195 to €260,000), productions Netflix often exceeded 2 billion (over 1.2 million euros), mainly due to the salaries of the headliners. An inflation that ended up weighing heavily on the shoulders of Korean studios.

By capping salaries, Netflix seeks to breathe new life into local producers. The snowball effect of this inflation has weakened the entire ecosystem. Small studios are struggling to keep up with the pace imposed by the big productions, and many projects are abandoned or postponed for lack of funds. In fact, the number of dramas produced each year has been falling steadily since 2022 (from 141 in 2022 to 80 planned for 2025).

Beyond the simple question of budget, this decision opens up a wider debate on the structure of the industry. For too long, budgets have been concentrated around a few stars, to the detriment of writers, directors and technical crewsThese are essential to production quality. Reducing pay differentials could contribute to a better overall balance.

Lower salaries for headliners for a better distribution of budgets between the various participants in the making of kdramas. In photo: Dear Hongrang and Our Unwritten Seoul, released in May / June 2025 on Netflix.

A choice welcomed by some of the audience

Not everyone is unhappy about this new direction. Many Korean fans are delighted by this desire to return to more sustainable bases. Many hope it will encourage the emergence of new facesand will enable behind-the-scenes professionals to benefit from improved working conditions.

In taking this initiative, Netflix is sending out a strong signal It's time to rethink priorities to ensure the longevity of K-dramas. The salary cap could well mark the start of a new chapter, with diversity, innovation and balance once again taking their place at the heart of productions. A development closely watched by other streaming platforms, who could in turn follow suit.


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