SM, JYP, and YG Entertainment are considered the “Big 3” among K-Pop companies. They have produced many legendary idols, and have helped K-Pop expand.
There’s also an interesting story of how SM Entertainment might have been the origin and possibly the reason that the other two companies were made. It begins with JYP Entertainment and Park Jin Young.
Before Park Jin Young created JYP Entertainment and was the head of his own company, he was an aspiring artist. He revealed how he was eliminated from many companies while auditioning to become an artist. The final company he auditioned for SM Entertainment and Lee Soo Man had the most ambiguous response to his audition.
Park Jin Young ended up not making it and got rejected by the company.
Lee Soo Man was impressed with Park Jin Young’s ability as a producer and had a simple question for him.
Park Jin Young was upset about not making it into the company and had a very depressing answer.
If Park Jin Young had made it into SM Entertainment, then there’s a good chance that he might have never created his label.
Regarding YG Entertainment, Yang Hyun Suk always mentions that BIGBANG is the reason that YG Entertainment exists.
The leader of BIGBANG is G-Dragon, and he was originally a trainee at SM Entertainment.
G-Dragon later decided to become a rapper and was noticed by Yang Hyun Suk. Yang Hyun Suk was so amazed by G-Dragon’s talents that he persuaded him to join his company. G-Dragon left SM Entertainment and became a trainee at YG Entertainment. Who knows how YG Entertainment would have turned out without BIGBANG’s leader.