PUBG maker Krafton has announced its plans to establish a joint venture with Naver Z Corp. to develop the metaverse platform business. The game-developing studio has shared its decision to acquire stocks and investment securities of other corporations to establish the joint venture. The total investment amount for the joint venture is KRW 48 billion, with Krafton set to acquire KRW 40.8 billion and Naver Z will acquire KRW 7.2 billion. After the acquisition, Krafton will hold an 85% stake in the joint venture, and Naver Z will hold a 15% stake.
What is Migaloo
Since 2022, both companies have been working on the Web 3.0-based metaverse project Migaloo. The companies decided to establish a joint venture to develop services to launch the metaverse within 2023. The joint venture will be established in North America, and the company name will be announced at the time of establishment.
“Migaloo” adopts a C2E (Create-to-Earn) system, where content creators can create various works in the metaverse space, and users purchase and own the works. The transaction of these creations will take place based on NFT and blockchain. All these transactions will be recorded on the blockchain for increased transparency in transactions and settlements.
Krafton will be responsible for program development, including the development of sandbox tools and blockchain systems for creators. Meanwhile, Naver Z will be responsible for service planning and partnership acquisition.
The goal of this metaverse platform will be to create a balance by combining Krafton’s expertise in developing and operating various global games and Naver Z’s knowledge in developing and operating the metaverse Zepeto which is based on AR avatar services.
“After much consideration, we defined the core services and a specific model of the metaverse that is attractive and feasible and proceeded with the establishment of the joint venture. As both companies have abundant experience in successful global content services and have united their efforts, we will definitely achieve good results,” said Henry Hyung-Chul Park, head of the Migaloo project at Krafton.
“The creator-centred ecosystem that we built in Zepto will also be implemented in Migaloo. We will grow Migaloo as a new metaverse platform where creators can realize new values in an NFT-based ecosystem based on their own creations,” added Chang-wook Kim, CEO of Naver Z.