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In April 2008, SM debuted a Mandarin-language sub-unit of Super Junior, named Super Junior-M.
In October 2008, SM announced plans for Bo A's debut in the American market, under a newly formed subsidiary label named SM Entertainment USA.
On August 1, SM debuted Red Velvet, its first girl group since f(x) five years prior.
In August 2015, SM partnered with sports marketing company IB Worldwide to create Galaxia SM, responsible for golfer Park In-bee, gymnast Son Yeon-jae, and Choo Shin-soo, right fielder for the Texas Rangers.
- announced Super M, a supergroup consisting of Taemin from Shinee, Baekhyun and Kai from Exo, and Taeyong, Ten, Lucas and Mark from NCT units NCT 127 and Way V, in the 2019 Capitol Congress event in Los Angeles.
In late July 2009, three of the five original members of SM Entertainment boy group TVXQ – Kim Jaejoong, Park Yoochun, and Kim Junsu – applied to the Seoul Central District Court to investigate the validity of their contract with SM, In addition, 120,000 fans of TVXQ filed a petition against SM's long-term contracts to the Seoul Central District Court, and also filed for compensation for an SMTown Live Concert that was canceled a week before its scheduled date.
After graduating from California State University, Northridge in the United States, Lee Soo-man returned to Korea and in 1989 established what was then known as "SM Studio" in the Apgujeong neighborhood of Gangnam, Seoul. SM also formed the subsidiaries BM Entertainment and Cid. The following years saw the debuts of artists such as TRAX (2004), The Grace (2005), and Super Junior (2005).
The Gangnam-based academy is a collaborative venture with the private Jongro Sky Academy.
Plans for the school to be certified as an alternative program for domestic Korean middle and high school education, as well as US secondary school education, are also underway.
In February 2010, after two decades on SM Entertainment's board of directors, founder Lee Soo-man resigned from his position in order to "focus more energy on SM's overseas business, new business management, and artist development.” The firm's first release from SM was Super Junior's fifth studio album, Mr.
Simple, which marked the end of SM's self-distribution.
In May, SM announced its highest ever first quarter operating profits, at KR₩10.4 billion, up 471% from the same period the previous year.