At Naver 1784, the tech company’s new headquarters in Bundang, the basement area is undergoing a major transformation. Naver is renovating part of the space previously used by Naver Labs, the company’s R&D subsidiary, into a specialized tech studio to support virtual YouTuber (VTuber) production. The studio, named Motion Stage, is slated for completion in the first quarter of next year.
Naver also enhanced its mobile app for personal broadcasting with a new feature that allows users to create and broadcast as virtual characters. A VTuber, a portmanteau of “virtual” and “YouTuber,” is a virtual character that uses real-time motion capture technology to mimic a specific person’s movements and expressions. It is commonly used by individuals seeking to conceal their appearance or viewers who enjoy watching animated characters.
The presence of VTubers is extending beyond YouTube. Earlier this month, PLAVE, a five-member virtual idol group, hosted their first solo concert at Jamsil Gymnasium in Seoul. The event was a massive success, with tickets selling out in 10 minutes. Behind the scenes, five performers danced and sang in real life while virtual characters mimicked their movements in real time. Around 40,000 fans watched the animated group perform on a large screen.
Local governments are also embracing VTubers. In February last year, Seoul’s Gangseo-gu Office introduced “Saeromi,” the nation’s first VTuber public servant, to promote its district policies. In June, the district unveiled another VTuber public servant, “Shin Sae-rom.”
The rise of VTubers is driven by advances in motion capture technology and 3D modeling, which have made lifelike virtual representations possible. The VTuber industry is also attracting significant investment globally. In Japan, virtual YouTuber management agencies Cover and Anycolor went public in 2022. Google acquired AI avatar startup Alter for $100 million the same year.
According to market research firm Global Information, the global VTuber market is projected to grow at a compound annual growth rate of 35.55%, increasing from $1.639 billion in 2021 to $17.4 billion by 2028.
