Esports Ecosystem in 2022: Key industry companies, viewership growth trends, and market acquirement stats

  • Every bit competitive video games continue to integrate into popular civilization, global investors, brands, media outlets, and consumers are all paying attention to the rise in popularity of esports.
  • There will be 29.6 one thousand thousand monthly esports viewers in the The states this twelvemonth, per Insider Intelligence estimates.
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Esports viewership continues to grow. - Insider Intelligence
Esports viewership continues to abound.
Insider Intelligence

That shift has been powered by championing from mainstream celebrities like Michael Hashemite kingdom of jordan, Drake, and DJ Marshmello, an increasing amount of coverage from traditional outlets like ESPN, and, at least in role, the breakneck rise of Fortnite.

Esports Manufacture Market Growth Trends

As competitive video games continue to integrate into popular culture, global investors, brands, and media outlets are all paying attention. Consumers are besides. In fact, at that place will be 29.6 million monthly esports viewers in 2022, upward eleven.5% from 2021, according to our estimates.

The pop-culturization of the esports manufacture has helped power the explosions in esports investment and revenue. Esports has hit this stratosphere in big function because of the social component of live streaming and gaming. Video gaming-specific streaming platforms like Twitch and YouTube Gaming give fans a directly connexion to the players and teams, while more mainstream socials have immune those connections to flourish. Sure esports organizations, like FaZe Clan, are as well moving aggressively into areas like merchandise, lending their brands more notoriety than if they’d stuck to esports alone.

Drake performs at The Forum on September 27, 2016 in Inglewood, California. - Harmony Gerber/Getty Images
Drake performs at The Forum on September 27, 2016 in Inglewood, California.
Harmony Gerber/Getty Images

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Rick Yang, partner at NEA—a venture capital firm that invests in esports—underscored this in a conversation with Insider Intelligence: “I actually recall of esports as the mainstreaming of gaming, or the pop culture instantiation of gaming versus the pure idea of these players becoming professionals to compete at the highest levels.” Information technology’s essential to think of the esports opportunity in this way—i inclusive of gaming, media, pop culture, and commerce—as it shines a low-cal on opportunities beyond gaming events alone.

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Esports Industry Revenue Stream Stats

As a result, the manufacture has seen a huge uptick in investment from venture capitalists, and more recently from private equity firms. The number of investments in esports doubled in 2018, going from 34 in 2017 to 68 in 2018, per Deloitte. That’s reflected in the full dollars invested, too: Investments are upward to $4.v billion in 2018 from just $490 meg the year before, a staggering YoY growth rate of 837%, per Deloitte. These investments are distributed to players across the ecosystem—from esports organizations, to tournament operators, to digital broadcasters—assuasive it to function and abound.

The pop-culturization of esports has helped power the explosions in esports investment and revenue.

The net issue is that esports has matured from its roots in arcade gaming to the circuitous digital ecosystem it is today.

Esports Teams and Advertising

Just like traditional professional person sports, esports teams have owners, franchises, endorsement deals, cash prizes from tournament winnings, and more—all contributing to their annual revenue and total valuation. When the pandemic subsides, esports leagues volition likely resume their efforts to expand their audiences by hosting live gameplay with regional esports teams in a way that will more closely mimic traditional sports leagues.

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Equally of 2020, the top v most valuable esports teams according to Forbes are:

TSM – Value: $410 million

Estimated Revenue: $45 one thousand thousand

Revenue from Esports: 50%

Owner: Andy Dinh

Cloud9 – Value: $350 one thousand thousand

Estimated Revenue: $30

Acquirement from Esports: seventy%

Owners: Jack and Paullie Etienne

Squad Liquid – Value: $310 million

Estimated Revenue: $28 million

Revenue from Esports: 89%

Owners: axiomatic Gaming, Victor Goossens, Steve Arhancet

FaZe Association – Value: $305 million

Estimated Revenue: $40 meg

Revenue from Esports: xx%

Owners: Lee Trink, Richard Bengston (FaZe Banks), Thomas Oliveira (FaZe Temperrr), Yousef Abdelfattah (FaZe Apex), Nordan Shat (FaZe Rain)

100 Thieves – Value: $190 meg

Estimated Acquirement: $16 meg

Revenue from Esports: 35%

Owners: Matthew Haag, Drake, Scooter Braun, Dan Gilbert

Understanding the Esports Ecosystem

Nearly projections put the esports ecosystem on runway to surpass $one billion in revenue for the first fourth dimension this year. And revenue is expected to grow from hither—Newzoo projects it to striking $1.8 billion by 2022. Money flows into esports through media rights, live event ticket sales, trade sales, and in-game purchases, but most of the acquirement (69%) comes from sponsorships and advertizing, per Newzoo figures cited by Statista.

That growing acquirement stream comes from effectually the world:

  • Asia-Pacific (APAC), North America, and Europe are the top 3 esports markets, respectively, in terms of audience and revenue. APAC will account for over half (57%) of global esports viewership in 2019, up from 51% in 2017, per Newzoo. Meanwhile, North America is set to hit $300 million in esports revenue this year, while Europe is expected to reach $138 million, per PwC estimates.
  • The residual of the earth only accounts for virtually 15% of total esports revenue, just it contains several regions to sentinel. One of the fastest-rising regions is Latin America, which is expected to hit $18 million in esports revenue in 2019 before skyrocketing to $42 million by 2023, per PwC estimates.
  • The futurity of the esports industry will probable be powered past mobile, which will farther reduce barriers to entry and permit fifty-fifty more than gamers and fans to pour in. The mobile gaming segment is fix to make upwardly 45% of the total global games marketplace this twelvemonth. That popularity is already spilling over into some competitive spaces, as Communist china already has a thriving mobile esports scene.
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