Layoffs Hit Oxygen Esports

Key insights

6 takeaways

01
Oxygen Esports has initiated layoffs across multiple divisions, following reports that its primary funding partner, the Kraft Group, planned to cease financial support for the organization's esports operations.
02
The company has officially exited the Valorant competitive scene, with multiple employees confirming their departure from the organization on August 29, 2024.
03
Helix eSports, the LAN center subsidiary owned by Oxygen, has shuttered its locations in North Bergen, New Jersey, and Patriot’s Place in Foxboro, Massachusetts.
04
Oxygen Esports is reportedly attempting to sell equipment from its closed Helix eSports facilities.
05
Operational instability was signaled earlier on August 6, 2024, when the organization failed to pay staff for the Shift Summer League Playoffs, leading to the event's cancellation.
06
While the future of the broader organization remains uncertain, reports suggest the company may continue to operate its Call of Duty League franchise, Boston Breach.

Summary

Oxygen Esports, a Boston-based organization with interests in the Call of Duty League, Valorant, Rocket League, and Rainbow Six Siege, has initiated significant layoffs across its divisions. The workforce reductions follow reports that the Kraft Group, a key partner responsible for funding the organization’s various esports teams and the Boston Breach franchise, intended to withdraw its financial support. While the exact number of affected personnel remains undisclosed, multiple employees confirmed their departures via social media in late August 2024.

The organization’s operational instability became apparent earlier in August 2024 when it faced public criticism for failing to pay staff and production teams for the Shift Summer League Playoffs. Concurrently, the company has shuttered its Helix eSports centers in North Bergen, New Jersey, and at Patriot’s Place in Foxboro, Massachusetts. These facilities previously served as essential practice hubs for the Boston Breach and other affiliated teams. There are also indications that the company has begun liquidating equipment from these closed locations.

Although the Boston Breach social media presence remains active, the organization has officially exited the Valorant competitive scene. While reports suggest that the company may attempt to maintain its Call of Duty League franchise, the broader future of Oxygen Esports remains uncertain. The situation highlights the ongoing financial volatility within the professional esports sector, particularly regarding the sustainability of partnerships and the viability of physical training facilities.