Envy CEO slams Forbes esports valuations as “utter garbage” - Dexerto
Esports

Envy CEO slams Forbes esports valuations as “utter garbage”

Published: 6/Dec/2020 11:14 Updated: 7/Dec/2020 10:35

by Joe Craven

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Adam Rymer, Chief Executive Officer of Envy Gaming, has dismissed Forbes’ recent esports company valuations as “utter garbage,” after they named TSM, Cloud9 and Team Liquid as the most valuable orgs in the world. 

On December 5, Forbes published their list of the ten most valuable esports organizations in the world, offering a total value for each of the ten they listed.

Top of the list was Team SoloMid which was listed as being worth a jaw-dropping $410 million. Cloud9 and Team Liquid took the silver and bronze spots, while FaZe Clan, NRG and 100 Thieves also made the list.

However, as is fairly common with Forbes’ valuations, industry insiders have come out to criticize the list, none more notable than Envy Gaming CEO Adam Rymer.

Rymer took over as CEO of Envy in summer 2020, taking the reigns from Mike Rufail. Envy Gaming is the parent company of Team Envy, the CDL’s Dallas Empire and the Overwatch League’s Dallas Fuel.

On his LinkedIn, Rymer said: “This Forbes analysis is utter garbage. To be clear, this is not a criticism of the organizations included/mentioned all of whom deserve to be there. I have friends at all of them and have a great respect for what they are doing across the board, but in full transparency, this is a complete “drive-by”, cursory analysis which has led me to question the entire valuation/editorial capability of Forbes.”

Rymer went on to explain that since Forbes’ last valuation (in which Envy were ranked number 8), Envy has massively expanded, added Post Malone to their ownership group and won the inaugural CDL Championships. Regardless, they missed out on a top 10 spot.

On December 7, he added more context to his post by explaining that Envy provided Forbes with requested information but refused to continue to work with them when they “learned of their changed methodology for this year’s list.”

Adam Rymer response on LinkedIn
LinkedIn: Adam Rymer
Rymer’s full response on LinkedIn.

“None of this was apparently relevant to this study to even be mentioned,” Rymer finished. “Based on the companies mentioned, one would think it was purely based on which organizations would give them the biggest article reach (which, to be fair, is certainly a contributor to value). In my honest opinion, this list has become a disservice to the entire industry.”

Rymer’s criticism is fairly scathing, and there are certainly some questions to address over the reasons behind Envy Gaming’s absence from the list.

Fortnite

Epic Games sues Apple & Google in UK over Fortnite removals

Published: 16/Jan/2021 1:28

by Theo Salaun

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Following litigation over Fortnite’s app store removals by Apple and Google in the United States of America, Epic Games have officially mounted lawsuits against both tech companies in the United Kingdom, as well.

In August 2020, Epic Games added their own payment process to Fortnite’s mobile offerings so that Apple and Google’s cellphone and tablet users could purchase in-game items at a discounted price. This discount was specifically enabled by the new process, which bypassed each company’s transaction fees. 

Unsurprisingly, as the payment method was in direct violation of both the App Store and Play Store’s Terms of Services, each company subsequently removed Fornite from their offerings. And, expecting this, Epic Games responded by launching lawsuits against the companies in the U.S. and Australia. 

Now, the makers behind the world’s most popular third-person battle royale have tripled down and mounted legal action against both tech giants in the U.K. Citing violations of competition laws, Epic Games’ legal case in the U.K. is very similar to the ones already made in other countries. And, immediately contested, Apple and Google’s responses have proved similar, as well.

Fortnite Crew image
Epic Games
Fortnite’s Crew subscription service means even more payments for Epic Games.

As discussed by BBC News, Epic have officially submitted documents to the Competition Appeal Tribunal in the UK. The allegations suggest a monopolistic abuse of power by each company that centers around competitive restrictions to app store and payment processing options, as well as unfair payment fees.

Typically, those fees come at about 30 percent of all purchases, although exact figures differ depending on company and app. Fortnite is obviously one of the biggest games in the entire world, so almost one-third of their sales on mobile means hefty earnings.

But, like their other lawsuits, Epic allege that this is about more than their own profits. The company demands that Apple and Google begin allowing software developers to institute their own payment-processing systems and options to be downloaded outside of the App and Play stores.

Fortnite Crew Green Arrow
Epic Games
Fortnite has always delighted its fanbase with purchasable cosmetics.

So far, Apple and Google have both replied similarly in the U.K. situation, claiming that they are open to reintroducing Fortnite to their mobile stores but that they deny any violation of competitiveness.

Dexerto will continue to monitor the legal cases in each country, providing updates whenever these prolonged legal disputes begin reaching their conclusions.