Esports Market Watch: January 2017

Jonathan Pan
The Nexus
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3 min readFeb 1, 2017

Esports Media Rights Take Center Stage

Facebook continued its foray into esports by securing the exclusive rights to Heroes of the Dorm, the official collegiate tournament for Heroes of the Storm. This tournament was broadcasted on ESPN for the past two years and now will be live-streamed on the Heroes of the Storm Facebook page for the next two seasons. Facebook also announced that G2 Esports, a European esports team, will begin streaming on Facebook today. Note: while this is not an exclusive partnership, this is the first esports team to stream on Facebook.

These series of moves follows Facebook’s integration with Blizzard Entertainment last year, enabling players of Blizzard PC games to stream directly onto their Facebook timelines. Facebook’s expansion into esports is part of a broader battle between media companies trying to secure engaging, live content. Here’s a list of other esports media related deals:

  • YouTube acquired the exclusive streaming rights for ESL Pro League’s 2017 and 2018 seasons.
  • ESL and Movistar, the Spanish brand of telecommunication giant Telefonica, announced a deal to develop and promote esports in Spain. Movistar will also launch an esports TV channel that will feature 13 esports events this year.
  • The Big Ten Network, a joint venture between the Big Ten Conference and Fox Entertainment Group, partnered with Riot Games to start a season-long collegiate League of Legends tournament. Fox also announced FoxNet, a new division focused on video games, VR, AR, and location-based entertainment.
  • SporTV, part of the Globo Group, bought the TV rights for CBLoL, Riot Games’s official league in Brazil.

In addition to the increased activity in esports media rights, we saw continued influx of traditional sports organizations and owners entering esports this month. In the United States, NBA team Miami Heat acquired Team Misfits, Milwaukee Bucks owner Wesley Edens started an esports franchise named FlyQuest, and the Dallas Cowboys have expressed interest in buying an esports team.

In Europe, Danish soccer team FC Copenhagen started a esports organization called The North, and the Eredivisie, the premier soccer league in the Netherlands, started a FIFA esports league. In Brazil, soccer legend Ronaldo invested in Brazilian esports team CNB-eSports Club. In India, billionaire Ronnie Screwvala announced his plan to create India’s first major esports competition named UCypher. And finally, In Japan, soccer team Tokyo Verdy became Asia’s first sports team to sign a professional FIFA esports athlete.

THE BIG DEAL

01/25: Facebook acquires the rights for Heroes of the Dorm

DEALS & NEWS

Investments & New Entrants

01/03: FC Copenhagen launches esports team The North

01/04: Milwaukee Bucks co-owner starts esports franchise FlyQuest

01/10: Miami Heat invests in esports team the Misfits

01/10: Lionsgate and Michael Milken acquire stake of esports team the Immortals

01/11: Azubu buys video game streaming platform Hitbox

01/12: Esports betting company Unikrn invests in German CS:GO team Big

01/20: University of Toronto receives scholarship fund for esports athletes

01/21: Soccer legend Ronaldo acquires stakes in Brazilian esports team CNB

Industry News & Partnerships

01/05: Dell becomes exclusive hardware sponsor of ELEAGUE

01/05: Visa becomes SK Gaming’s title sponsor

01/06: YouTube signs exclusive streaming deal for ESL Pro League

01/07: 5 Hour Energy sponsors the Detroit Renegades

01/09: Adidas jumps into esports with French Team Vitality

01/16: Alibaba’s Alisport inks a 10 year esports agreement with the city of Changzhou and WESG

01/19: Dutch Eredivisie announces a league-wide fifa competition

01/19: Prodigy Sports starts an executive recruiting department dedicated to esports

01/19: Riot Games and Big Ten Network partner for new conference LoL championship

01/20: G Fuel invests in esports by becoming the arena sponsor for ELEAGUE

01/20: Emerson college is looking into hiring an esports professor

01/20: Audi becomes the first car company to sponsor an esports team, sponsors Astralis

01/21: Dallas Cowboys are the first NFL team interested in investing in esports

01/25: G2 esports announces streaming partnership with Facebook.

Interesting Reads

01/10: Esports pioneers on the image of esports and the steps needed to grow the industry

01/18: Coke executives share their strategies behind Coke Esports

01/19: Interesting study of the demographics behind mobile gamers

01/20: ESPN dives deep into the $5 billion CS:GO skin gambling market

01/24: Clash Royale’s sales dropped and the CEO’s plans to change it

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