Warner Bros. pulls DVD marketing and distribution from South Korea

Warner Bros. has pulled its DVD marketing and distribution operation in South Korea. Though the company said its commitment to the South Korean market will remain strong, it is handing over the business to a local licensee. The move by Warner Bros. seems to be related to internet piracy. Due to the exceptional broadband penetration (some 94 percent of homes have high-speed broadband access) in South Korea, internet piracy is rampant. An industry source commented that internet piracy in South Korea "creates a more challenging marketplace" than in other countries.