The esports industry has grown tremendously in recent years, fueled by increased investment, evolving revenue sources and a rise in viewership. And that growth appears poised to continue, according to the more than 200 executives who participated in the Second Annual Esports Survey conducted by Foley & Lardner LLP and The Esports Observer.
Respondents – primarily from esports and traditional professional sports teams and leagues, media companies and agencies – believe the increased investment will come primarily from private equity and venture capital firms and from traditional professional sports teams and leagues, athletes and celebrities. Advertising and sponsorships will drive the greatest portion of the industry’s revenue growth, respondents say, followed by in-game purchases and media rights.
Still, industry insiders are concerned about cheating and match fixing, and about the control a small group of game developers exert over esports. They also remain focused on compliance and legal risks, particularly surrounding intellectual property rights, data protection and players’ rights.
