The Rapidly Expanding eSports Ecosystem Piques Investor Interest
T
he term eSports encompasses regional or international video gaming events in which professional and amateur players compete against one another.
According to data provided by Statista, the global eSports market was valued at just over USD 1.08 Billion in 2021, an almost 50% increase from the previous year. Asia and North America currently represent the largest eSports markets in terms of revenue, with China alone accounting for almost one fifth of the market.
Overall, the main source of revenue for the industry comes from sponsorships and advertising. The report also indicates that the global eSports audience size reached 474 million people. Furthermore, in the years to come, the market's audience size is projected to grow, reaching over 577 million viewers worldwide. Intema Solutions Inc. (TSX-V: ITM) (OTC: ITMZF), Electronic Arts Inc. (NASDAQ: EA), Super League Gaming, Inc. (NASDAQ: SLGG), Corsair Gaming, Inc. (NASDAQ: CRSR), Enthusiast Gaming Holdings Inc. (NASDAQ: EGLX)
A major component of the eSports market is betting. In the U.S., eSports betting is not legal on a federal level, and instead the legality of this segment varies on a state-by-state basis. Next year however, the first-ever 'sanctioned' esports skill-based wagering event is expected to be held at the Hard Rock Hotel and Casino Atlantic City, in New Jersey. According to esportsbest.com, this event is being regarded as a 'tremendous accomplishment', and it promises to offer both competitors and bettors a never-before-seen experience. The tournament is poised to kickstart a wave of activity on LANDuel, a player-vs-player wagering platform that the Esports Entertainment Group purchased in June of 2021.
Intema Solutions Inc. (TSX-V: ITM) (OTC: ITMZF) announced yesterday breaking news that regarding, Parabellum Media Inc. (Parabellum), owner of Parabellum Esports and Northern Shield Academy. Intema recently signed a letter of intent to acquire Parabellum (see press release dated December 8, 2021).
On December 12, 2021, Parabellum Esports won a very significant promotion match to earn a spot in the highly coveted Rainbow Six North American Pro League. The team is planning to move to Las Vegas to begin training for the 2022 season. They will be joined by some of the biggest esports teams in the world, including Astralis, TSM and Spacestation Gaming.
The 2021 North American League saw nine teams compete for over US$400,000 in prizing plus the chance to compete at the Six Invitational, which has a prize pool of US$3,000,000. The league is played on Local Area Network (LAN) in Las Vegas, which will continue to be the case throughout the 2022 season.
We are gearing up to build a championship company and it's only fitting that our competitive esports team is already picking up major accolades, said Laurent Benezra, President and CEO of Intema.
Rainbow Six Esports continues to see major growth in 2021. It is ranked in the top 10 most-played PC games based on monthly users and in the top 10 in earnings for competitive play.1
We are tremendously proud of our team and its accomplishment in getting into the pro league. But we aren't here for participation trophies, we're here for championships, and that's exactly what we intend to bring home, said Ben Feferman, CEO of Amuka Esports, the parent company of Parabellum Esports.
The Parabellum Esports team was founded and managed by Chris Lamarucciola. The 4/5 Canadian roster includes P3NGU1N, Eskaa, SpiriTz, KoolAid and Melted. Parabellum has already won over US$100,000 in 2021, which includes two North American Challenger League Stage wins and a top 12 finish at the 2021 Six Invitational in Paris. The team's next match will be in January 2022, as it is one of four teams to compete for the last spot in the Six Invitational, which will take place February 8-10, 2022, at Place Bell in Montreal.
Electronic Arts Inc. (NASDAQ: EA) and WarnerMedia announced back in November the completion of EA's acquisition of Warner Bros. Games' Playdemic, Ltd. for $1.4 billion in cash, subject to customary purchase price adjustments. We are thrilled to officially welcome the Playdemic team to Electronic Arts, adding to our growing mobile portfolio and expanding our leadership in sports, said Andrew Wilson, CEO of Electronic Arts. The addition of the incredible Playdemic team not only adds to the strength of our mobile teams globally, it also continues our expansion and investment in U.K.-based talent. With Playdemic now part of Electronic Arts, we're excited to bring even more amazing and innovative mobile games to diverse audiences around the world.
✔️ The Rapidly Expanding eSports Ecosystem Piques Investor Interest
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