There’s a billion-dollar industry out there that nobody’s really talking about.

At least, maybe not the network you’re currently connected with. Sure, you understand people play video games and make money somehow and yes, there’s got to be some “athletes” playing in some underground league with a couple of bucks backing their “teams”.

This is not the case. Not anymore. And those quotes can be removed. There is real money backing real teams with real superstar athletes.

This is not the case. Not anymore. And those quotes can be removed. There is real money backing real teams with real superstar athletes.

We see the news when a 16-year old wins $6 million in a Fortnite Championship and we maybe even hear about things like the streamer Ninja switching the streaming platform he uses. We’re starting to hear rumblings more and more of the esports industry truly taking off.

In August, the Call of Duty World League Champs took place in Los Angeles. (GG to 100 Thieves, and well played to eUnited, who ended up winning.) Teams from all over the world met head to head in a battle for rings, prize money, and of course, pride and bragging rights. Next year, Call of Duty will participate in a franchised league, with teams taking hold of a city (rather than an org) and facing off in a home and away style format.

One problem that’s happening specifically with franchising is the ostracization of fanbases. Individuals who invested themselves into being fans of a brand, like 100 Thieves and leader Nadeshot, will technically not have a team to cheer for since 100 Thieves did not buy into the league. On the flip side, teams like CWL Dallas (backed by Envy) are proud to stake their flag in a city.

But the proof is in the pudding. Or in this case, the proof is in the pwning. Advertisers are scrambling to get their content on high-viewer streams, where gamers can profit off of the audience watching them. As this industry continues to grow, backers will throw money at the wall to see what sticks when it comes to efficiency. Even working specifically with streamers to grow brands through sponsored subscriptions, or actual advertisements in the form of 15-30 second commercials. The way it works: the streamer sets ad time limits (from 30 seconds to 3 minutes) and frequency (at least 8 minutes between ads) and then shares revenue with Twitch.

But the proof is in the pudding. Or in this case, the proof is in the pwning.

Most of these streaming individuals use as many streams (pun intended) of income as possible, pairing their live stream dollars with YouTube videos, merchandising, and tournament prize money to make ends meet. According to Quora, nobody really can say for sure how much these gamers make on average. However, one answer estimated per 40-hour week of streaming, individuals made around $1,000 or from $3,000 to $5,000 per month. High-end streamers like Dr. Disrespect, Ninja, and TimTheTatman have net worths in the MILLIONS.

The “volatility of the industry” is brought up often when it comes to skepticism and negativity. With political officials blaming video games for violence (and even terrorism), it adds to the ups and downs of the industry. Quoted from a Vox article, “there’s no science proving a link between video games and real-world violence. But that hasn’t quelled a debate that’s raged for decades.”

Stay tuned for more updates as we explore the world of esports further.