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Short dramas (短剧 duan ju) are taking the world by storm. As one of the first Western investors to become excited and place bets into the space, we at Makers Fund have been getting plenty of inquiries. Here are some tidbits of insights we've uncovered. If you are interested in short drama as investors or builders, please do reach out! At first glance, the format might seem odd: 60-90 second episodes of fast-paced, dramatic, often cliche but highly addictive content, running 50-100 episodes per series. But it serves well the shorter attention spans of today’s mobile-native audiences, and since its breakout in China in 2021, US in 2022, and now hitting around $100M monthly run rate, it’s finally grabbing the attention of Western funds and strategics. Chinese teams are leading the charge so far. They translated and dubbed their vast existing Chinese content libraries to cold start the platform, and use proven narratives in China to produce higher quality, more popular local shows. The narratives have universal appeal to human nature - just have swap the self-made billionaire boss for a werewolf when you cross over to the US. The top players are also sophisticated in user acquisition and live ops informed by data. Every day they look at ROI per show and per cohort and adjust their UA strategy and future content strategy. This is not unlike what people do for casual or mid-core games. Competition is fierce and companies are reinvesting all their profits into growth and more, so maximizing value from the same marketing dollar is essential. Despite all of the traction, the industry is still in its early days. In China, short dramas started off as low-quality, female-oriented romance shows. Over time, the genre has diversified into historical and social commentaries, fantasies, comedies, sci-fi, and more. Today, short drama viewership has eclipsed traditional TV/OTT long-form series, and top-tier directors and actors are jumping on board. It is not unimaginable that the rest of the world follows the same journey, and we might one day all watch content from a "Netflix of short drama" in the West soon. And even though there are already early leaders, there are still so many ways to innovate in the field - across new genres, formats, production methods (AI), geography niches and many more - making it all the more exciting space to build and invest in. Our short drama portfolio companies are actively seeking talented producers and directors in the US and Japan. If you’re interested, let’s connect!