Breaking: TEA has learned that a majority of team owners have voted to exit the
@overwatchleague
in its current state (a franchised league) and take a $6M USD payout.
✍
@jfudge
Exclusive: Sources tell TEA that
@riotgames
put out a request for proposals (RFPs) looking for third-parties interested in handling scholastic/collegiate esports in North America.
Sources in China Tell TEA's
@CHYchenhongyu
that the "SAMR’s decision was no surprise as Microsoft has a good relationship with China, and the deal would not affect the country’s interest." Also the SAMR will likely publish its decision at the end of May.
The Ties That Bind: 3 execs from
@RefractTech
(two of its games were selected for Olympic Esports Series) have direct ties
@GE_Federation
and
@SGEsportsAssoc
. GEF President Chris Chan is also the SG of the Singapore National Olympic Council.
Our Report:
Breaking: As
@FaZeClan
prepares for a reverse stock split, the company’s founders ( FaZe Apex, FaZe Banks, FaZe Temperrr, and FaZe Rain), leadership team, and largest investors are putting their stake up for sale.
Great reporting from
@TobiasSeck
Exclusive: TEA can confirm that
@version1gg
/
@ROKKR
have been in talks with
@G2esports
for several months to merge. We have also gathered additional info from multiple sources on how the ownership group came to this decision.
EXCLUSIVE:
@GalaxyRacerDxb
has closed
@hergalaxygg
and fired all staff in North America following demand letters asking for back pay and the threat of a class action lawsuit:
✍
@jfudge
EXCLUSIVE: Sources tell TEA that
@G2esports
is in the final stages of acquiring
@ROKKR
owner
@version1gg
and that remaining staff could be affected as soon as early December, though no definitive timeline for that has been revealed.
✍
@jfudge
Alive and Well:
@Sentinels
announced Monday afternoon that the ownership group has committed to a cash injection of $3.4M USD, which will allow it to continue ongoing operations and expand into new areas.
EXCLUSIVE: UK-based
@PromodEsports
(the TO behind
@valleague_ne
) files for bankruptcy and lays off staff even as players and casters remain unpaid.
@riotgames
confirms it is looking for other options for 2024.
✍
@jfudge
TEA has confirmed that
@overwatchleague
team
@ChengduHunters
has disbanded, putting to bed months of speculation that the organization was no longer operational.
Big Changes:
@playvs
announced that it will eliminate all fees for students/schools in its scholastic esports program in NA. CEO Jon Chapman tells us how he plans to pay for it, and how it will turn the page on past controversies.
Former
@eUnited
Producer Luis Ortiz (
@shonenLewis
) joins the Phoenix
@Suns
as the NBA team's new senior producer of partner marketing. TEA spoke to Ortiz about the new role, his time at eUnited, and if he'll ever return to esports.
TEA has learned that the Illinois High School Association (
@IHSA_IL
) voted this weekend to dump
@NBA2K
competitions in 2023 after
@playvs
informed them that they held the rights for the game. Around 175 schools enrolled for the 2023 State Series season.
Open Revolt: Full-time employees at
@hergalaxygg
are at a breaking point because they have not been paid for two months. They are considering a mass resignation and/or legal action if they are not paid this week, according to multiple sources:
✍
@jfudge
Power Play:
@iBUYPOWER
has been named and official partner of
@ValorantEsports
VCT Americas, VCT Game Changers NA, and VCT Game Changers Brazil. The company will also release a line of "spec approved PCs."
Breaking:
@GGTECH_es
has secured a $12.4M USD investment from Glisco Partners and Heart Beat to expand into the U.S. This aligns with our reporting that it will secure the U.S. collegiate/scholastic rights to
#valorant
and
#LoL
esports.
EXCLUSIVE: TEA has learned that (
@vindex
-owned)
@EsportsEng
Co-Founder and President Adam Apicella (
@MrAdamAp
) is leaving the company it what has been described as mutually agreed upon and amicable.
Open Dialogue:
@riotgames
has confirmed that it is in talks with third-parties including the Saudi-backed Esports World Cup, following a report Tuesday from
@JacobWolf
that it is considering allowing a
@lolesports
competition at the event this summer.
Exclusive:
@NewzooHQ
confirms with TEA that it has sunset dedicated reports related to esports, mobile, and data and that its esports partnership program that launched in 2016 has been shut down. The company will focus on core gaming going forward.
Army of Two:
@Luminosity
has signed a multi-year strategic partnership with Mexico's world-famous football club Club Deportivo Guadalajara (
@Chivas
) to launch LG Chivas. The team will compete in
@PlayApex
Global Series
#algs
Greenlight for Greenbacks: Following a "test the waters" reservation period launched last month,
@sentinels
has officially launched an equity crowdfunding campaign on
@StartEngineLA
. Community investments start at around $300 USD.
Big Player: Professional tennis player Daniil Medvedev (
@DaniilMedwed
) has joined the ownership group of
@M80gg
today and will help the org with sports psychology, securing more partnerships and sponsorships, and growing its fanbase.
✍
@jfudge
The French government with the help of stakeholders in the country announced plans to create a national esports ecosystem and to tie esports into the Paris 2024 Olympic and Paralympic Games.
Breaking:
@overwatchleague
has forgiven past entry fees owed to the league by
@TorontoDefiant
, signaling that past debt with franchised teams will likely get a similar deal, but
@overactivegg
is the first company to make an announcement
Head in the Clouds: Tim Mulligan (
@MulliganTM
) officially joins
@Cloud9
as its new VP, head of sales. Mulligan previously served in the same position at
@XSET
.
✍🏼
@jfudge
Big Money:
@DreamHack
San Diego generated millions for the local economy during its recent three-day gaming and esports festival, according to information provided exclusively to TEA:
From the Shadows: Former Belong Gaming exec
@brutebrutebrute
officially announces that he has been with
@playsharestar
since October as its director of business development. The news follows Allstar's announcement that it has raised $12M USD.
Exclusive: Inside the worst day in the short history of
@TheGuard
, and details on who laid everyone off and just how many employees remain as of today:
LA-based
@100Thieves
has laid off an undetermined number of employees this week and announced that it will "spin off" its non-esports operations; its game development studio and its drink brand
@drinkjuvee
.
I Call Shotgun:
@Carvana
and
@NRGgg
debut the Dub Wagon, a content creation studio on wheels ahead of its student-focused Rocket League competition, the Carvana | NRG Combine:
Sources tell TEA that
@GalaxyRacerDxb
has paid out employees that were let go when it closed
@hergalaxygg
. It also said it is on track to pay out the HER Galaxy $100K Apex Legends Open on Dec. 23, per its contract with players.
✍🏼
@jfudge
Exclusive: TEA can confirm that
@version1gg
/
@ROKKR
have been in talks with
@G2esports
for several months to merge. We have also gathered additional info from multiple sources on how the ownership group came to this decision.
The
@iesf_official
has appointed Faisal bin Bandar bin Sultan as acting president, replacing Vlad Marinescu. This new appointment ties the federation directly to Savvy Games Group,
@ESL
@FACEIT
Group, and the Saudi Public Investment Fund.
TEA is happy to announce that former
@SBJ
/
@esportsobserved
business analyst and writer
@TobiasSeck
will soon be joining our team. It is an honor and a privilege to have his expertise as we make our mark on esports business coverage.
Dear readers, colleagues, friends, and connections,
As my journey with Sports Business Journal (SBJ) and The Esports Observer (TEO) comes to an end on March 31st, I'd like to take a moment to express my gratitude for the incredible experiences and growth I've had. I joined TEO
India-based tournament organizer
@skyesportsindia
announced Monday that it plans six major competitions tied to
#counterstrike2
for 2024, which will have an overall prize pool of $1M USD.
Some of these competitions will take place outside of India.
Stolen Honors:
@msiUSA
's Christine Fan (
@voleraie
) sounds off on former MSI worker Victor Davila (
@Quetzal_Nero
) claiming that he was her direct supervisor and for taking credit for her work. Davila was arrested in August for soliciting a minor for sex.
Payment Declined: Payment processor
@stripe
will not allow its use for esports tournaments with a prize pool. Esports tournaments have been categorized as gambling.
✍
@jfudge
This story concerning and Stripe was first reported by
@EsportsIllus
.
Tic Tac Doh! A hacker has compromised Tic Tac Bow, a mobile game selected for the
@Olympics
Esports Series to the point where its competitive credibility is already under investigation by the IOC.
✍
@jfudge
Eyes on Riyadh: An ad appeared during
@scump
's
@twitch
stream on Thursday promoting the Saudi government Public Investment Fund-backed Esports World Cup, taking place in Riyadh in summer 2024:
✍
@jfudge
Lifeline:
@NodwinGaming
signed an agreement with Berlin-based esports marketing company
@freaks4ugaming
for a convertible note at a consideration of €3.6M EUR (INR ₹33.26 Cr, or roughly $3.9M USD), to be paid in cash.
✍🏼
@jfudge
New Horizons: Former Juked Co-Founder and CEO Ben Goldhaber (
@FishStix
) joins anti-toxicity platform to help with marketing efforts. GGWP also revealed an additional $10M in funding and that its platform is available for free to all game developers.
Adults in the Room:
@LeagueSpotGG
partners with
@fullsquadgaming
for an adult-focused league called the Full squad Gaming League. Currently it offers competitions in Valorant and Overwatch 2.
Goodbye Overwatch League, Hello Overwatch Champions Series: EFG and
@Blizzard_Ent
announced a new Overwatch 2 esports competition called the Overwatch Champions Series. The competition will utilize
@ESL
,
@DreamHack
, and the
@FACEIT
tournament platform.
Be Your Own Agency: Esports and gaming marketing veterans
@marconeverman
and Dominic Müller launch
@BrightUpAgency
. Supported by
@I3Agency
parent I3 Holding, the agency's founders aim to leverage their deep-rooted industry expertise and connections.
Board to Death:
@Astralisgg
announced that its board of directors has initiated a "strategic review" to determine the company's future.
First reported by
@dust2us
Counter-Strike focused editorial site
@HLTVorg
partners with Saudi-owned
@FACEIT
(part of the
@ESL
FACEIT Group) to bring data and other features to its community:
Permission Granted: Russian lawmakers propose a new law that would allow esports competitions within the country to be operated without licensing or the permission of IP owners.
This story was first reported on in English by
@EsportLegalNews
.
✍
@jfudge
Growing the Family:
@overactivegg
is looking to acquire Spanish esports teams KOI and
@Movistar_Riders
for up to $4.3M each in an all-share deal outlined in a non-binding letter of intent.
✍🏼
@TobiasSeck
The Rise and Fall of Stryda: How did
@Strydagg
(formerly G-Loot), a Swedish esports company that has raised nearly $100M since 2016, find itself filing for bankruptcy and laying off its entire staff? Let us paint you a picture:
✍🏼
@TobiasSeck
,
@jfudge
In the three-month period that ended June 30,
@FaZeClan
generated $11.69M in revenues, a $7.1M or 37.8% decrease compared to the same period in 2022.
✍
@TobiasSeck
Thank you to all of the panelists at
@PWR_UP
for sharing their esports industry insights, knowledge, and experiences.
📍
#EsportsAwards2023
🗓️November 28-29 | Las Vegas
📷
@jayyparkin
Closer Look: We take a closer look at the recently announced
@ESWCgg
Foundation's Esports World Cup Club Program, which will dole out millions in financial incentives to 28 international esports clubs:
✍🏼
@jfudge
Holding Pattern:
@GalaxyRacerDxb
has failed to pay the winners of the
@hergalaxygg
$100K Apex Legends Open that concluded in June. GXR told players Thursday in an email that they don't have a timeline for when they will be paid either.
✍🏼
@jfudge
Exclusive: Matthew "Burns" Potthoff (
@Potthoff
) officially joined
@PIVOTAgency
on Tuesday. In an exclusive interview with TEA, the former
@eUnited
VP of esports tells us why he ultimately decided to join the San-Francisco based sports marketing agency:
There are something money can buy:
@Mastercard
partners with
@G2esports
and
@riotgames
for the Mastercard Gamers Academy to give 10 participants connections and mentoring needed to purse
#esports
as a career.
Business analyst and soon-to-be TEA contributor
@TobiasSeck
offers some rapid analysis on what happens next for
@FaZeClan
- you def will want to read his comments.
Bad investments in
@ATVI_AB
leagues caught up with
@overactivegg
as related impairment charges offset solid revenues, resulting in a $27.1M USD net loss for 2022.
✍🏼
@TobiasSeck
And Another One:
@riotgames
reveals that
@TheGuard
will not be a part of
#VCT
Americas in 2024, confirming TEA's reporting in February that parent Kroenke Sports & Entertainment are moving out of the business of esports.
Game Time: Esports sportsbook
@rivalryca
continues to experiment with creating original IP for its Millenial and Gen-Z customers; the latest effort is a 3D game called Cash & Dash.
Breaking:
@FaZeClan
will initiate a reverse stock split to regain Nasdaq compliance if approved by its board in upcoming board meeting. Company will not go private.
All of this was predicted by
@TobiasSeck
in recent reporting for TEA
.
@skyesportsindia
has partnered with
@AMD
India and
@Windows
11, who will serve as "powered by" sponsors of its upcoming franchised
#CSGO
tournament, the Skyesports Masters.