When It Rains, It Pours: Has HYBE’s Multi-Label System Become Toxic?

HYBE Labels, a giant in the Korean music industry, is currently navigating through a storm of controversies across its various sub-agencies. Recent events have raised questions about the effectiveness and challenges of its multi-label system and whether it’s now backfiring by causing multiple problems at once.

At this year’s Coachella Music and Arts Festival this past weekend, LE SSERAFIM took the stage for their second performance amidst ongoing scrutiny. Previously critiqued for their live performances, the group attempted to engage the audience more actively, this time by lipsyncing and enhancing their backtrack features, according to fans. Nevertheless, these changes did little to sway public opinion regarding their performance abilities.

In a separate incident, SEVENTEEN — another group under HYBE’s umbrella through Pledis Entertainment — found themselves at the center of controversy due to a misstep in media portrayal. An MBC program inaccurately credited the construction of HYBE’s new headquarters to BTS and SEVENTEEN, causing a backlash that forced a revision of the subtitle to focus instead on the headquarters’ impressive new facilities.

Additionally, the newly formed group ILLIT faced its own set of challenges after announcing the name of its fan club. Originally named “LILLY,” the name was quickly discarded after complaints about its appropriateness due to its similarity with an existing group member’s name from NMIXX. The revised name, “Lillies,” also met with disapproval as it overlapped with the fan club name of BLACKPINK’s Lisa. The agency has since announced plans to reconsider the name following the backlash.

Amid these controversies, tension is now brewing within ADOR, another HYBE subsidiary. Reports have emerged about CEO Min Hee Jin’s intentions to separate from HYBE, leading to an audit involving the retrieval of company digital assets and securing statements from ADOR’s management.

Since then, Min has released her own statement in which she accused HYBE and its other subsidiary, BeLift Lab, of copying NewJeans through ILLIT’s debut concept and choreography.

These consecutive controversies point to the complexities and potential pitfalls of managing multiple artist groups under one conglomerate, leading to speculation about whether HYBE’s structure might be fostering a toxic environment within the industry. Despite all the speculation, one thing is for sure: fans are not happy.