In the public consciousness for over 20 years, eSports has grown from a niche form of competition into a celebrated international force. Covering many genres and responsible for billions of dollars each year, the eSports arena is only growing more popular. Even exceeding some traditional sports in terms of prizes and viewership, the future for eSports is bright, and with far more implications into other industries than we might think.
From Minnow to Whale
Back in 2000, professional competitive gaming was still in its infancy. Most notably marked by the games of Quake 3, StarCraft, and Age of Empires 2, the total prize money on offer for this year has been recorded as $745,000. By 2010, total prize money had risen to more than $6 million with big titles like Counter-Strike, StarCraft II, and Halo 3.
In the more contemporary space of 2020, the total prize money on offer from professional tournaments surpassed $121 million. Again featuring Counter-Strike as the top performer, other games here included Arena of Valor and Dota 2. Even more impressive, 2020 was a downturn from the previous year due to travel limitations, so the true yearly value of competitions would have otherwise been much higher.
Supporting Industries
While the amount of money on the line is certainly impressive and indicative of eSports growth, just as illustrative is the increased support from external industries. One of the most relevant here for spreading awareness is the growing inclusion of markets offering value bets. Traditionally, these systems revolve around sports like horse racing, giving algorithm-determined odds and relaying tips, as well as reviewing places to wager. With horse racing, this one side of the equation significantly grew the sport’s maximum potential among those who would otherwise be disinterested, and the same applies to video games.
Another strong example of external interest can be seen in the sponsorship deals. The biggest of these sponsors like Red Bull are massive helps to support players and venues, with this one company alone responsible for over $578 million in investments to eSports in 2021. Backed up by the likes of Comcast Xfinity, Intel, and Honda, the benefits here for all sides of eSports are immense.
Future Prospects
With major industry marketers calculating an eSports CAGR of approximately 7.7% until at least 2024, there’s no indication yet of when an eventual eSports plateau could occur. In real numbers, that could translate to more than 290 million casual and 285 million dedicated eSports viewers. This would plant eSports far above many traditional sports, though perhaps not on the same scale as football and horse racing.
As for what happens beyond this point, that much remains to be seen. With each passing year, video games participation become more prevalent for both men and women, meaning larger future player and audiences are essentially guaranteed. Factor in the potential for the underdeveloped markets in places like China, India, and Africa, and eSports slowing seems unlikely any time soon.
In all likelihood, video games will become a form of competition that will eclipse many of its older physical cousins. With major potential economic benefits for players, hosts, and surrounding industries, this development could be a positive change for many. Whether you’re a fan or not, rest assured that eSports is only going to get bigger.
OTS News on Social Media