The rise of the e-sports and gaming industries has reached incredible heights over the past two decades.
Researchers and analysts have found that e-sports will reach $3.5 billion by 2025. And as a multi-billion dollar industry, it delivers Lots of business opportunities. But how does this industry rank in the mass market? Is investing in eSports a smart thing to do? Let’s learn more about it!
Publicly traded companies on the mass market are helping the industry to gain access. Some of these companies have expressed their feelings about the esports market by investing in it. Tencent decided to invest in this area and now owns Riot Games, the company responsible for creating one of the most popular e-sports titles, League of Legends.
Furthermore, YouTube has recognized the potential of streaming services in conjunction with eSports and has signed a broadcasting contract with FACEIT. By partnering with this gaming platform, YouTube is able to stream one of the biggest esports events, the Esports Championship Series (ECS) professional tournament.
Sony also partnered with ESL to power the Sony Playstation Vue. The IT giant has partnered with the gaming tournament organization to create a 24-hour e-sports television network.
These partnerships and investments contribute only a small fraction of the IT giant’s revenue, leading to the conclusion that investing in the public market is not the best way to approach the sector.
Invest in the private market
Private investment is one of the most popular forms of investment when it comes to eSports. It seems that more and more people are interested in eSports.
Even e-sports betting is on the rise and many people have started betting on competitive games. Many games are available to bet at various online betting platforms. Chiefcasinos.com offers a wide range of online games, including Dota 2, League of Legends, and Counter-Strike: Global Offensive. This is part of the reason esports investments are becoming more popular.
However, the sector still seems to lack the usual, professional investors. The primary concern of ordinary investors is often the risk that comes with the action including volume in particular. Most of them worry about whether there is enough transaction flow in the sector to confirm the resources and time spent.
The numbers say that gaming and e-sports streaming startups manage to hit $714 million through such deals, and some say the number could be even higher than that. . The lack of knowledge surrounding the e-sports industry makes some investors hesitant.
Should you invest in eSports?
The eSports Industry has gone from niche industry to mainstream industry quite rapidly over the past few years. Is it smart to invest in it now?
While some think now is the perfect time to invest in eSports, other investors find this too complicated. Yes, there are many investment opportunities when it comes to this sector but this is precisely why some investors may not make the move.
However, with advancements in the industry, different monetization strategies for the community base are emerging. This can make skeptical investors question whether they are better off investing at this point.
https://win.gg/news/8751/the-rise-of-esports-investments | The rise of investments in eSports – General News