Meta: The eSports industry is ripe for investment, but where precisely are the investors putting their money? We took a look at where they are getting involved here.
eSports is one sector that is due to just get bigger and bigger. As a result, it is not surprising to discover that there are many investors who are keen to take advantage of some of the opportunities that are on offer here. Here are some of the main ways in which investors can choose to get involved with this ever-growing industry.
Venues
As with other forms of sports, eSports require venues for tournaments and games to take place in. This can often require a purpose-built or adaptable venue to meet the requirements of hosting such an event. There needs to be space for a sizeable audience – as eSports audiences can reach the thousands without even including the online viewership – plus enough space to set up all of the equipment needed for each game. There is a tremendous draw on power, and there has to be good connections for both playing the game and any broadcasting to an internet audience.
This has resulted in some stepping forward to invest in the esports venues themselves. Companies such as Brookfield Property Partners recognise the value in these venues, and their capital can help to ensure that eSports fans always have a quality place to play.
Teams
Developing an eSports team is not easy. In addition to the cost of entering competitions, many teams require their members to live in dorms and undergo training regimes similar to many other sports. A team requires capital to do so, and this can make them excellent candidates for investment.
From Jimmy Lovine to Tej Kohli as just a couple of examples, there are plenty of entrepreneurs and philanthropists who have chosen to invest in the eSports industry in some capacity. Their investment goes towards maintaining the teams, but also helps them to afford better equipment and other factors that can help them to work towards climbing rankings and winning tournaments.
Equipment
Finally, there is also the chance to invest in technology and equipment that is used in the eSports industry. This might be the perfect opportunity for the investor who wants to invest in something a little more general than just the eSports industry itself.
For example, an investor might choose to invest in a company that develops broadcasting software. This might be used not just for eSports but many other sporting events too. Likewise, an investment in a gaming computer company might not directly be for eSports, but it could be used to help the industry along too. Thinking laterally in this way can lead to investments in eSports without having to narrow a focus there.
With the rate at which eSports as a sector is growing, it is clear that there is a wide variety of options out there that investors can choose from. No matter how much they want to throw themselves into this sector, there should be a way for them to get involved. There is always a new tournament searching for backers, or a new team looking for the right investor to help them on the road to victory.
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