In 2023, the eSports industry experienced a year of transformation and resilience. It was a period marked by strategic shifts, major investments, and the evolving roles of key players. This retrospective look at the past year reveals how these developments have laid the groundwork for what promises to be an equally dynamic 2024.
2023 was a pivotal year for eSports, characterized by impactful mergers and acquisitions. One of the most noteworthy was Microsoft’s acquisition of Activision Blizzard. In the aftermath of a significant cybersecurity attack on Insomniac Games, developers of Marvel’s Spider-Man 2, leaked documents have shed light on Sony’s apprehensions regarding Microsoft’s strategy post-its acquisition of Activision Blizzard.
The internal slides refer to the $69 billion deal as a game-changer for Microsoft, potentially allowing it to surpass current industry leaders.
Leaked slides amid the Insomniac data breach have revealed Sony’s internal concern at Microsoft’s acquisition of Activision Blizzard. https://t.co/zf31KI09yv pic.twitter.com/4MmkSLFgSI
— IGN (@IGN) December 19, 2023
This acquisition brings prominent franchises like Call of Duty, World of Warcraft, and Candy Crush under the Xbox umbrella, a move Sony labels “the leapfrog.” The slides highlight Microsoft’s gains from the deal, notably in live service games, mobile gaming presence, and a solid PC platform with Battle.net. Additionally, Microsoft is reportedly developing its mobile app store, aiming to rival Apple’s App Store and Google Play.
In another development, the struggling North American eSports brand, FaZe Clan, found new life through its merger with GameSquare. This acquisition highlights the volatile nature of the eSports industry and its high-risk, high-reward business environment.
Global trends and viewer engagement
Through the year, the global eSports landscape witnessed developments, with notable events highlighting the industry’s expansion across various regions. Saudi Arabia’s Gamers8 announced a $45 million prize pool, highlighting the Middle East’s growing role in the eSports sector. Concurrently, South Korea’s LCK Spring and Summer 2023 tournaments attracted substantial viewership.
In terms of viewership, Mobile Legends outpaced even League of Legends, with its World Championships and Southeast Asia Cup drawing record numbers.
The plight and triumphs of professional gamers
2023 also sheds light on the often-overlooked challenges faced by professional eSports players. The intense pressure, grueling gaming schedules, and public scrutiny highlighted the need for psychological support and a balanced lifestyle to safeguard mental health.
The year also witnessed a trend of increased individual athlete investments in eSports, with prominent sports figures like Daniil Medvedev and Lionel Messi entering the arena.
Other than it's VALORANT team, KRÜ also has a #RocketLeague roster that's been able to pocket around $119K in prize earnings.
What do you think is next now that Lionel Messi is attached to the project?
More on the new @KRUesports:https://t.co/hbBEGKIz19 pic.twitter.com/7jd7r7B22M
— Esports Charts 🇺🇦 (@EsportsCharts) November 10, 2023
Adaptation and prospects for 2024
Despite initial challenges, the year ended on a high note with a resurgence in events and robust investments. Notably, companies like Shopify and Comcast Spectacor made strategic moves. For instance, Moist eSports and Shopify’s Shopify Rebellion partnered to form a joint team for the VALORANT Challengers North America. The newly created team, named MxS, features its own distinct branding and dedicated social media channels.
The success of The International, Dota 2’s flagship event, in terms of food and beverage sales rivaled that of traditional sports events. Potentially including eSports in the Olympic Games, as considered by the IOC, could bring global recognition.
The increasing interest of global brands and investors in eSports suggests a year of significant financial inflows and new partnerships, possibly leading to the expansion of leagues and the emergence of new gaming titles in the competitive arena.
and then