A lot of “esports experts” loop viewers into the same conversation as fans, right now I would guess under 50,000 true professional esports fans exist. Viewers does not equal revenue for orgs. Most orgs are lucky to have 1,000 true fans buying merch every drop, interacting on social posts and more. You can’t monetize the current fandom enough right now to create profits in professional esports AND that is why you are seeing lower salaries coming in.
1.) the only way to make money is to have low salaries and low staff count combined with going into games with revenue share/skin deals. Partnership deals don’t make enough to cover high ops cost and high player cost.
2.) we are in a different world compared to traditional sports, we don’t have crowds for each game, we don’t control the IP, developers do, orgs are very much restricted on what they can do within the games they compete in.
3.) this will anger people but current pros don’t do enough content/streaming within the org structures and it needs to be added contractually. The majority of players do very little outside of showing up to a scrim blocks and playing a match. It also greatly benefits the players to create content, stream and build a brand for themselves.
4.) okay I’m kinda sick of the tier 2 complaining. I get it, we all want people to be paid and orgs to develop talent but tier 1 needs to be sustainable for orgs first. If you really want it fixed, developers have to invest heavily but that is also a big ask when nearly everyone is laying off people. Also from a dev standpoint they want more people playing the game in general and spending money on in game purchases, they will prioritize resources that way.
5.) VC money was burned through like wildfire and irresponsibly spent by individuals with little to 0 experience managing investments like that. It will take 10+ years to recover from this.
6.) collegiate esports is a great option, if you can manage tier 2 while pursuing a degree, do it.
events will continue to grow, games will be developed and it’s a great time for those 2 areas, with orgs or not buildings will still be filled for tournaments and more but pro orgs and struggling to sustain. I am mostly excited to see the new generation of entrepreneurs and what companies will form at colleges to help solve these problems, as the “esports” generation gets older, the entire industry will grow and stabilize. (My opinion) we all just need to realize orgs will have to continue to make tough decisions to stay alive.
Should I make a Taco Bell Mild sauce packet level spicy tweet about the state of professional esports? Or just keep being peaceful like I have been most of the year?