The Esports Advocate
Esports business news: deals, legal, and governance.
Documents
FURIA Hires Two New Executives to Shore up DEI, Content Creation Efforts
The Brazilian esports organization FURIA has expanded its executive leadership team by appointing Patricia Lima as diversity and inclusion specialist and Thales Moura as head of talent.
- Brazilian esports organization FURIA has hired Patricia Lima as diversity and inclusion specialist and Thales Moura as head of talent to strengthen its internal operations.
- Patricia Lima joins FURIA after serving as the lead of DEI at Coração da Selva and holding a similar role at software developer Plurie BR.
- Thales Moura brings over 10 years of experience in content creator partnerships, having previously worked with major brands including ESPN, Twitter, Spotify, and LinkedIn.
Epic Games Acquires Brazilian Developer AQUIRIS
Epic Games has acquired the Brazilian game development studio AQUIRIS, marking a strategic expansion into the Latin American market.
- Epic Games has acquired the Brazilian game developer AQUIRIS, marking the establishment of the company's first studio in Latin America.
- Following the acquisition, the studio has been rebranded as Epic Games Brasil.
- The Porto Alegre-based team will focus on developing new gaming and social content for Fortnite while continuing to manage and operate its existing game portfolio.
Building the Future of Sport at Riot Games: Economics
Riot Games is shifting its esports business strategy away from traditional sports models toward a sustainable, long-term economic framework.
- Riot Games is shifting its esports business model away from traditional sports structures to prioritize long-term financial sustainability for the developer and its partner teams.
- To address the financial instability of pro teams, Riot has implemented revenue-sharing guarantees, accelerated payments, and deferred cash obligations for its League of Legends franchised leagues.
- The Valorant Champions Tour (VCT) operates without franchise fees, instead requiring teams to invest in marketing, content production, and fan activation in exchange for annual stipends and digital sales revenue.
Beyond LCS Spring Split’s Record Low Viewership
The 2023 League of Legends Championship Series (LCS) Spring Split faced significant scrutiny following record-low viewership, with the title decider failing to surpass 300,000 peak concurrent viewers.
- Despite record-low peak viewership of under 300,000 for the 2023 LCS Spring Split finals, the event generated over $22 million in total media value for partners.
- Naming sponsor Grubhub accounted for 25% of the total media value generated during the broadcast, nearly doubling the average value generated by other individual sponsors.
- The LCS audience is highly global, with 59.22% of viewers based outside of the United States, including 40.78% from North America and 27.53% from Europe.
Nasdaq is Having Trouble With Yet Another Esports Company
Mobile Global Esports, a company focused on the Indian collegiate esports market, has fallen out of compliance with Nasdaq listing requirements.
- Mobile Global Esports has received a Nasdaq non-compliance notification after its share price remained below the $1.00 minimum threshold for more than 31 consecutive days.
- The company has until October 9, 2023, to regain compliance by maintaining a closing share price of at least $1.00 for 10 consecutive trading days, or it faces potential delisting.
- Mobile Global Esports has generated zero revenue since its inception in March 2021, resulting in net losses of $262,000 in 2021 and $1.29 million in 2022.
Exclusive: Community Gaming Lays Off 17 Employees
Community Gaming, a New York-based esports tournament and questing platform, implemented a workforce reduction of approximately 17 employees in April 2023.
- Community Gaming, a New York-based esports tournament platform, has laid off approximately 17 employees across its North American and Turkish operations.
- The company, which focuses on Web3, crypto, and blockchain-based tournament infrastructure, has raised $18.5 million in total funding across four rounds since 2019.
- Investors in Community Gaming include notable firms such as BITKRAFT Ventures, Binance Labs, Animoca Brands, and Griffin Gaming Partners.
Skyesports Masters: A Franchised Counter-Strike League for India
The launch of Skyesports Masters marks a significant development in the Indian competitive gaming landscape as the country’s first official franchised esports league.
- Jet Skyesports has launched 'Skyesports Masters,' marking the first official franchised esports league in India.
- The league features eight franchised teams and offers a total prize pool of 2 Crore INR (approximately $245,000 USD).
- The competition spans three months and concludes with a multi-day LAN Finals event hosted in Mumbai.
Complexity and U.S. Army Partner for Soldier Showdown 5
Complexity Gaming, a subsidiary of GameSquare, has entered a partnership with the U.S. Army to host the fifth iteration of the Soldier Showdown.
- Complexity Gaming and the U.S. Army have partnered for the fifth annual Soldier Showdown, a multi-title, cross-platform esports tournament for active-duty service members.
- The tournament features three game titles: Multiversus in May, Rocket League in July, and Call of Duty: Warzone in September.
- Top-ranked players will advance to a live, in-person finals event scheduled for November at the Lenovo Legion Esports Center in Frisco, Texas.
Riot Taps Piece of Magic Entertainment to Bring LEC to Theaters
Riot Games has entered into a partnership with the cinema chain Piece of Magic Entertainment to broadcast League of Legends EMEA Championship (LEC) events in theaters.
- Riot Games has partnered with theater chain Piece of Magic Entertainment to broadcast League of Legends EMEA Championship (LEC) events in cinemas across the EMEA region.
- The partnership covers the Spring, Summer, and Season Finals, with the initial broadcast beginning on April 23, 2023.
- The initiative aims to host esports watch parties in up to 70 territories throughout the EMEA region.
Version1 Open to Merger or Other Options
Version1, the parent organization of the Minnesota RØKKR, is actively exploring strategic alternatives for its future, including potential mergers or acquisitions.
- Version1, the parent company of the Minnesota RØKKR, has officially begun exploring strategic options including a potential merger or acquisition.
- COO Brett Diamond stated that the organization is prioritizing a merger with another esports entity that aligns with their ownership group's vision.
- Despite the search for a partner, Version1 claims to be in good financial health, noting that it has met its financial projections every year.
100 Thieves and Lexus Activate at Acura Grand Prix of Long Beach
The Los Angeles-based esports organization 100 Thieves and luxury automotive brand Lexus collaborated to execute a series of brand activations at the Acura Grand Prix of Long Beach, held from April 14–16, 2023.
- Esports organization 100 Thieves and luxury automotive brand Lexus are activating a partnership at the Acura Grand Prix of Long Beach, held from April 14–16, 2023.
- The 'Lexus Racing Experience' at the event will feature a 100 Thieves-wrapped Lexus RCF GT3 vehicle, a Gran Turismo 7 play area, a custom prize-dispensing vending machine, and talent meet-and-greets.
- 100 Thieves and Lexus have maintained an official partnership since July 2021.
More Than 41,000 People Attended DreamHack San Diego
DreamHack San Diego, a three-day gaming lifestyle festival held at the San Diego Convention Center from April 7–9, 2023, achieved a record-breaking attendance of over 41,000 people.
- DreamHack San Diego attracted over 41,000 attendees during its three-day run from April 7–9, 2023, marking the largest U.S. DreamHack festival to date.
- The event featured multiple esports and LAN competitions that collectively awarded nearly $1 million in total prize money.
- Key tournament prize pools included $310,000 for the Rocket League Championship Series Winter Major, $250,000 for the DreamHack Open featuring Fortnite, and $130,000 for the Magic: The Gathering U.S. Regional Championship.