Esports Winter Continues as Financial Struggles Plague Leagues and Questions Mount Over Ideal Business Models
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The "esports winter" continues as leagues face revenue struggles, with many relying heavily on sponsorships. Orgs like EG and FaZe have conducted layoffs amid financial woes.
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Esports valuations grew overhyped during the pandemic when live events halted but viewership spiked. Now many see an "overinflated bubble" bursting.
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Ageism perceptions pressure pro players to succeed before their early 20s, complicating collegiate esports. Players are seen as "washed up" after 22.
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Some want game publishers like Activision Blizzard and EA to take more responsibility for esports league health with better infrastructure and revenue ideas.
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Execs see a lack of defined business models in esports. In contrast, Riot Games and Ubisoft are seen as more collaborative on league vision.