South Korea’s dominant fixed-line and broadband operator Korea Telecom and Japanese telecom and internet group Softbank have partnered together to launch a $40 million investment fund aimed at delivering internet protocol TV (IPTV) content, reports Variety Asia Online. The two firms will invest Korean Won 20.5 billion ($20 million) each in the fund, which will develop and acquire animation, movies, TV drama and education content to run on KT’s IPTV service, MEGA TV. Ninety percent of the fund’s focus will be on Korean content, though for films, it plans to acquire foreign content as well. Any newly developed content will also be provided to Softbank’s IPTV service in Japan. Later this year, KT and Softbank plan to increase their investment in the Global New Media fund—which Softbank Korea will manage--to up to $100 million. KT has been investing heavily to build outs its IPTV service. It has acquired majority stakes in movie production shingle SidusFNH and TV producer OLIVE NINE, and has cooperated over content with Disney (NYSE: DIS), Warner Brothers, Fox, Sony (NYSE: SNE), EBS and Naver. On Thursday, KT announced that it would invest another $25 million in a separate fund.