There is a new Korean “Unicorn” (a company valued at US$1 billion): Yello Mobile. Founded in August 2012, Yello Mobile is a company that bought 61 mobile companies just last year in Korea. This might make you wonder if it’s really a startup. Yes and no. The company has became huge, with 74 companies in its portfolio, but it tries to retain the startup culture and managing style and prevent having a centralized culture among its divisions to avoid the bureaucracy endemic to large companies.

Last year, Yello Mobile received US$100 million investment from Formation8 with valuation at over US$ 1 billion. It helped the company to acquire even more startups and marketing them. The company runs Yellomobile Service Incubating Center, providing startups with services for member development, design, marketing, and operations.

Following this business model, NHN Entertainment, which operates the nation’s top search portal “Naver”, has acquired TicketLinkPNPSecure and GodoMall to keep up with tech trends. This doesn’t always indicate that an acquired company will grow larger or faster, or that it will increase the synergy within the parent company. However, Yello Mobile has helped companies grow even more after its acquisition. For example, COOCHA, the e-commerce service grew from 850,000 monthly active users to 3 million users, and revenues increased from US$160,000 to US$810,000, after acquisition.

Start your free trial now.

Get instant access to all our premium content, archives, newsletters, and online community.

Monthly Membership

Yearly Membership

What you get

Full access to all premium content and our full archives

Members'-only newsletters

Preferential access and discounts to all TechNode events

Direct access to the TechNode newsroom

Start your free trial now.

Get instant access to all our premium content, archives, newsletters, and online community.

Monthly Membership

Yearly Membership

Eva Yoo

Eva Yoo is Shanghai-based tech writer. Reach her at evayoo@technode.com