n October 17, media outlets reported that EXO's Sehun and Chanyeol will pursue their solo careers and solo activities through a new agency.

According to the reports, Sehun and Chanyeol allegedly signed exclusive contracts with a new company established by entertainment producer Jung Hoon Tak, former CEO of iHQ Entertainment, and an advisor to the Korea Entertainment Managers Association.

This news took fans by surprise as it has been only a few months since ChenBaekXi's contract dispute against SM Entertainment happened. 

However, according to former Entertainment reporter turned YouTuber Lee Jin Ho, Sehun and Chanyeol's plan to change agencies was not a sudden move. He explained that there has been discord between the SM Artists and the company due to the lack of transparency in profit shares.

This issue was raised by Baekhyun back in June and became known to the public. During that time, Sehun was seen expressing support for Baekhyun, Chen, and Xiumin. Lee Jin Ho explained, "It was a well-known incident called the ChenBaekXi controversy, and these three people officially raised the settlement issue. The three expressed their will to exit SM Entertainment. As a result, after much struggle and pain, they reached a dramatic agreement and decided to remain with the label." He added, "In the process of the ChenBaekXi conflict, Baekhyun made an unexpected decision. He directly raised an issue with the contracts signed so far. He requested amendments to the clauses that had been concluded unfavorably to the members. SM fully accepted this request, so the contracts were actually revised."

According to Lee Jin Ho, Baekhyun's equests improved the profit distribution rates and treatment of all the SM artists. Through Baekhyun raising the issue, the SM Entertainment contract was revised for all artists under the label, even for the newly debuting artists.

Nevertheless, Lee Jin Ho revealed that Sehun and Chanyeol decided to sign with another label because they wanted full support for their individual activities in the future. Under the revision, artists will be able to promote their individual activities with a third company while continuing group activities under SM Entertainment.

Lee Jin Ho concluded, "EXO will be able to continue group activities under SM Entertainment but the individual members will be able to further their solo careers with different companies."