On May 10th 2006, Seoul Records and Warner Music Korea, have agreed on the contract establishing a music-production joint venture, with paid-in capital of 8 billion Korean Won. Warner Music Korea will have a 60% stake in the venture company while Seoul Music and SK-KTB Fund will own the other 40%. The new venture’s name will be WS Entertainment. Acquired by SK Telecom in 2005, Seoul Records has secured the music contents by investing in domestic music-production companies including LOJIT Entertainment, ZeroOne Interactive by using the capital of KRW 40 billion from the Music Fund, co-established by SK Telecom and Seoul Music. Seoul Records keeps strengthening the synergy effect with SK Telecom in various ways, such as operating Melon Channel as one of audio channels for TU since June this year.