KT, the nation’s major telecom services provider, said Wednesday that it has agreed with U.S.-based live video streaming site Ustream to set up a joint venture to spread K-pop content around the world.

The tentatively named “Ustream Korea” will support the distribution of Korea’s diverse cultural contents into the global market and offer business opportunities for smaller producers, KT said.

KT said that the joint company will be established within the year and start providing Korean services via smartphones and tablet PCs as well as online site from next year.

KT and Ustream Asia will share 51 percent and 49 percent stakes, respectively, while Ustream plans to invest $100 million won in the project.

Established in March 2007, Ustream has about 2 million registered users globally who generate over 1.5 million hours of live streamed content per month.

“Through the new partnership, KT will pave the way to produce and distribute online contents, not just remaining to be a content purchaser. We will also create an environment in which smaller content producers work together,” said Song Jung-hee, KT’s senior executive vice president in charge of service innovation group.

By Lee Ji-yoon (jylee@heraldcorp.com)