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‘King of K-pop’ pioneered music industry practices that fueled the genre’s global expansion

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Lee Soo Man resisted the title at first. “King of K-pop” sounded too brash, too nightclub-esque — like something you’d see on a neon sign in Itaewon, a nightlife neighborhood in the South Korean capital Seoul once popular with U.S. soldiers and foreign visitors. “I asked them, ‘Couldn’t it be Father of K-pop?’” the 73-year-old recalled during a recent interview with The Associated Press.

He was discussing the title of Amazon Prime’s documentary about his career. The producers insisted the bolder moniker would resonate better with American audiences. After some back-and-forth, Lee relented. “I had to follow their decision.”

The compromise speaks to Lee’s pragmatic approach to breaking South Korean acts into the American mainstream — a three-decade quest that often required him to bend but never break his vision. Now, as the founder of SM Entertainment and widely credited as the architect of K-pop’s global expansion, Lee will be inducted into the Asian Hall of Fame on Saturday alongside basketball legend Yao Ming, Olympic figure skater Michelle Kwan, and rock icon Yoshiki, among others.

Lee remains a prominent but controversial figure in K-pop history. His label pioneered the industry’s intensive training system, recruiting performers as young as elementary school age and putting them through years of rigorous preparation. Some of his artists have challenged their contracts as unfair, sparking broader debates about industry practices.

The recognition arrives as Lee reemerges into the spotlight after a contentious, high-profile departure from the agency he founded in 1995 — a management battle that included a public feud with his nephew-in-law and a bidding war over his shares. He’s been keeping busy since, debuting a new band, A2O MAY, in both China and the U.S. He’s also investing in a boutique Chinese firm’s high-tech production technologies.

Born in South Korea, Lee studied computer engineering in the U.S. for his master’s degree. That technical background would later inform his approach to everything from visualization and cutting-edge production technologies — he said he’s been rewatching “The Matrix” to revisit filming techniques — to pioneering elaborate “worldviews” and virtual avatars for his K-pop bands.

For Lee, the Hall of Fame honor “confirms that K-pop has become a genre that the mainstream is now paying attention to” — an acceptance that came after costly lessons and years of trial and error.

When America wasn’t ready for K-pop

Lee invested about $5 million in BoA’s 2009 American debut with “Eat You Up,” one of the first songs by a South Korean artist to be primarily written and produced by Western producers — a bold early attempt to bring K-pop into the U.S. mainstream. But with few widely recognized Asian artists in American pop culture at the time, the market wasn’t ready. After nearly two years, BoA — already a megastar in Korea and Japan — decided to return home. The experience, Lee has said, left him with lasting regrets.

“When I asked the songwriter(s) to revise ‘Eat You Up,’ they refused,” Lee recalled. “If we had changed it, I believe it would have achieved much better results.”

Lee Soo-man arrives at the Asian Hall of Fame Induction Ceremony on Saturday, Nov. 1, 2025, at The Biltmore Los Angeles in Los Angeles.

Richard Shotwell—Invision/AP

Sourcing the world’s best songs for K-pop

That setback taught Lee that K-pop needed to source global talent while maintaining creative control to adapt songs for the worldwide market. His quest for the perfect tracks took him worldwide.

“I once heard a song that was so good I couldn’t let it go,” he said, recalling the track that would later become “Dreams Come True” for S.E.S., the late-1990s girl group. “I could’ve bought the license to the song in South Korea, Hong Kong, or Sweden. But I wanted to play it safe, so I found the Finnish address, went to meet the songwriter directly, wrote up a contract, and brought it back.”

At the time, top Western songwriters prioritized Japan, the world’s second-largest music market. “European songwriters were willing to sell to Asia,” Lee explained. “That’s how we eventually built a system where music from Europe, Asia, and America could come together.”

Fictional universes that keep fans hooked

That fusion became K-pop’s signature. Lee also helped to pioneer another innovation: elaborate fictional universes, or “worldviews,” for groups like EXO and aespa — a storytelling approach that would later be adopted across the industry, including by groups like BTS.

The concept emerged during his time in the U.S., where he witnessed MTV transform music into a visual medium. “But we only have three or four minutes,” he said. “How do we express dramatic, cinematic elements in such a short time?”

Lee’s solution was to create ongoing narratives that unfold across multiple music videos and releases — think Marvel’s cinematic universe, but for pop groups.

Unable to attract established screenwriters, Lee developed the storylines himself. The strategy proved prescient: These interconnected narratives give global fans reason to follow groups across comebacks, waiting for the next chapter in an unfolding saga.

Despite K-pop’s global success, Lee remains focused on Asia’s potential. He envisions South Korea as a creative hub where international talent learns production. “Korea should become the country of producers,” he said.

With the Asia-Pacific region home to more than half the world’s population, he sees it as entertainment’s inevitable future center.

His latest venture with A2O MAY, which operates in both China and the U.S., is testing that vision in one of Asia’s most challenging markets. China’s entertainment landscape has grown increasingly restrictive, with Beijing recently cracking down on “ effeminate ” male celebrities and youth culture. Asked about potential political risks, Lee dismissed concerns.

“Political risk? I don’t really know much about that,” he said.

He said he aims to elevate South Korea’s cultural influence as a center of production while meeting China’s needs as it seeks to expand its soft power alongside economic dominance.

“Culturally, does China need what we do? I believe they do.”

The documentary also addressed darker aspects of K-pop close to Lee’s heart, including the suicides of SM Entertainment artists.

He traces the problem to anonymous and malicious online comments that often evade accountability, especially when posted on servers outside South Korea’s jurisdiction, calling it a global issue requiring international cooperation. Lee advocates for worldwide standards on user verification and mediation systems where victims could identify attackers without expensive legal battles.

But Lee resists the media’s focus on K-pop’s problems. “Should we always weigh the dark side equally with the bright side, the future?” he asked. “Media should consider whether K-pop represents more future or more past that holds us back. Rather than just discussing the dark side and dragging us down by clinging to the past, shouldn’t we talk more about the future?”

After more than three decades, Lee’s definition remains straightforward: “K-pop is a new language of communication that transcends barriers. These languages move around naturally — what you can’t stop is culture.”



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Credit card companies are jacking up annual fees for airport lounges

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For every passenger trying to decide if a $17 slimy ham and cheese croissant and their phone’s 34% remaining battery will sustain them for a four-hour layover, there’s someone smugly sipping a complimentary gin and tonic in a secret luxury lounge.

Once a refuge for frequent business travelers, airport lounges are increasingly becoming more popular (and crowded) with casual travelers, encouraging some companies to create even more exclusive spaces—or raise the barrier to entry:

  • Capital One opened its largest lounge (13,500 square feet) in June at NYC’s JFK Airport, complete with Ess-a-Bagels and a designated cheesemonger (as well as classic lounge amenities, like shower suites and a cocktail bar).
  • Over half of JFK’s overall Terminal 4 lounge space has been added in the last two years.

How much would you pay for exclusivity?

The increase in global airport lounge visits in 2024 (31%) has outpaced growth in air traffic overall (10.4%) compared to the previous year. And access isn’t cheap. United charges $750 annually for individual access to its airport lounge network. Amex recently announced that the annual fee for its Platinum card—which includes the perk of lounge access—is increasing from $695 to $895. And one of the most popular travel perk cards, the Chase Sapphire Reserve, just ratcheted up its annual fee from $550 to $795.—MM

This report was originally published by Morning Brew.



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Trump’s $2,000 tariff ‘dividends’ would cost twice as much as the revenue coming in, budget watchdog warns

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President Trump’s recent proposal to pay Americans “at least $2,000 a person” from new tariff revenue—a policy he calls “tariff dividends”—is facing sharp criticism from a budget watchdog, who calculates that the plan will actually lose twice as much money for the country as the tariffs are generating.

Writing in a weekend post on Truth Social, Trump argued that tariff revenues could be redistributed directly to individuals in the form of annual payments, with “high income people” excluded from the payouts. The idea, pitched as a way both to reward taxpayers and possibly reduce the national debt, bears a strong resemblance to the structure of the COVID-era Economic Impact Payments, according to an analysis by the nonpartisan Committee for a Responsible Federal Budget (CRFB).

But the numbers reveal a steep fiscal challenge. The CRFB estimates that distributing just a single round of $2,000 payments to Americans—calculated to match the COVID payments, which included both adults and children—would cost the federal government around $600 billion per year. By contrast, the tariffs that Trump has championed have raised about $100 billion to date and, even accounting for pending legal cases, are only projected to raise about $300 billion annually going forward.

Deficits could skyrocket

“If tariff dividends are paid annually, deficits would increase by $6 trillion over ten years,” the CRFB writes, “roughly twice as much as President Trump’s tariffs are estimated to raise over the same time period.” This means not only that the revenue from tariffs would fail to cover dividend payouts, but also that the policy would exacerbate America’s long-term fiscal challenges.

To put the numbers in perspective, if dividends were paid out on a “revenue neutral” basis—matching payouts to actual tariff revenue—the analysis estimates that payments could be made only every other year, starting in early 2027. Should the Supreme Court uphold current lower court rulings that have deemed some of Trump’s tariffs illegal, remaining tariffs would only cover the dividend payments once every seven years.

Debt implications

Beyond blowing past the revenue generated, diverting all tariff proceeds to pay these dividends would restrict the government’s ability to use tariff income for reducing deficits or paying down debt, as some administration officials have proposed. The CRFB warns that using all tariff revenue for rebates would push federal debt to 127% of Gross Domestic Product (GDP) by 2035, compared to 120% under current law. If $2,000 dividends were paid annually, that figure could jump further, reaching 134% of GDP over the same period.

Such projections come at a time when annual budget deficits are nearing $2 trillion and national debt is quickly approaching an all-time high, making fiscal discipline a top concern for watchdogs and policy analysts.

Trump’s proposal draws inspiration from pandemic-era Economic Impact Payments (EIPs), but those measures were carefully income-tested to phase out payments for individuals earning over $75,000 and joint filers over $150,000. The CRFB said its analysis used similar eligibility parameters for its cost estimate, suggesting that without strict limits, the fiscal hit could be even higher.

For this story, Fortune used generative AI to help with an initial draft. An editor verified the accuracy of the information before publishing. 



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Wendy’s plans hundreds of store closures to boost profits

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Wendy’s plans to close hundreds U.S. restaurants over the next few months in an effort to boost its profit.

The Dublin, Ohio-based chain said during a conference call with investors Friday that it planned to begin closing restaurants in the fourth quarter of this year. The company said it expected a “mid-single-digit percentage” of its U.S. stores to be affected, but it didn’t give any more details.

Wendy’s ended the third quarter with 6,011 U.S. restaurants. If 5% of those locations were impacted, it would mean 300 store closures.

The new round of closures comes on top of the closure of 240 U.S. Wendy’s locations in 2024. At the time, Wendy’s said that many of the 55-year-old chain’s restaurants are simply out of date.

Ken Cook, Wendy’s interim CEO, said Friday the company believes closing locations that are underperforming – whether it’s from a financial or customer service perspective – will help improve traffic and profitability at its remaining U.S. restaurants.

Cook became Wendy’s CEO in July after the company’s previous CEO, Kirk Tanner, left to become the president and CEO of Hershey Co.

“When we look at the system today, we have some restaurants that do not elevate the brand and are a drag from a franchisee financial performance perspective. The goal is to address and fix those restaurants,” Cook said during a conference call with investors.

Cook said in some cases, Wendy’s will make improvements to struggling stores, including adding technology or equipment. In other cases, it will transfer ownership to a different operator or close the restaurant altogether.

U.S. fast food chains have been struggling to attract lower-income U.S. consumers in the past few years as inflation has raised prices. In the July-September period, Wendy’s said its U.S. same-store sales, or sales at locations open at least a year, fell 5% compared to the same period last year.

Cook said $5 and $8 meal deals — which have been matched by McDonald’s — have helped bring some traffic back to its U.S. stores. But Wendy’s isn’t doing a good job of bringing in new customers, Cook said, so the company plans to shift its marketing to emphasize its value and the freshness of its ingredients.

Wendy’s shares dropped 7% Friday. On Monday, they were down 6% in afternoon trading.



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