Why esports pay-per-view events are inevitable - Dexerto
Esports

Why esports pay-per-view events are inevitable

Published: 2/Jul/2019 11:08 Updated: 2/Jul/2019 19:25

by Calum Patterson

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With numerous esports growing at near exponential rates, the future of broadcasting tournaments will change dramatically according to esports industry veteran Paul ‘Redeye’ Chaloner, who reckons “pay-per-view will come along, eventually.”

When the highly-controversial Facebook exclusivity deal was struck by ESL, Redeye says he even received death threats from disgruntled fans, after he attempted to rationalize ESL’s move as a simple business decision – something some fans couldn’t seem to grasp.

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Speaking to Richard Lewis on Episode 16 of the Dexerto Talk Show, Redeye explains that while Twitch is “an incredible service” for tournament-watching fans, it is too often taken for granted.

ESL’s deal with Facebook sparked outrage from fans, and resulted in significantly lower viewership than would be expected on Twitch.

With large scale esports tournaments costing millions to organize, companies like ESL must be able to recoup their costs by one of two means; advertising or broadcast rights.

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While fans might bemoan the often excessively-long ad breaks during events, Redeye explains that it’s either that or exclusive rights deals, such as the one struck with Facebook. But, as esports grows, pay-per-view could become the new norm.

“Pay-per-view will come along, eventually. There’s absolutely no doubt in my mind that it will,” Redeye continues, “Broadcast rights will be sold to some of these PPV’s, and yes, you (the fans) will be upset about, and think ‘well this is shit, you’ve put it behind a paywall.”

Topic begins at 1:21:00 for mobile users.

“You’ll then argue ‘well they’ve only got 10,000 viewers now’ – but the point is, they’ve got 10,000 paying viewers – and they’d rather have 10,000 paying viewers, than 500,000 not paying.”

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For many fans though, Twitch has become the default location for all esports content, and while there are calls to demonopolize Twitch, Redeye thinks Facebook wasn’t prepared for the challenge.

“I think Facebook launched a product that just wasn’t ready,” he said, “imagine a world where they’d launched when it was actually ready, and someone had taken into account that ‘we might piss some people off here’.”

ESL/Helena KristianssonBig stadium esports events will be attracting the pay-per-view sellers.

Most esports fans will still be expecting the biggest events to be broadcast on Twitch, even if it’s not exclusively, but there is a growing realization that other platforms will eventually muscle in for their share of the pie.

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With the quality of tournaments and related content, stadiums full of fans and millions watching at home, it should come as no surprise that the pay-per-view model is on the horizon.

CS:GO

HenryG explains Cloud9’s CSGO player salaries after $400k floppy deal

Published: 7/Oct/2020 19:11

by Calum Patterson

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Cloud9 have now confirmed that Ricky ‘floppy’ Kemery is the fourth player of their self-proclaimed CS:GO “colossus” roster, in a deal worth over $400,000, bringing their total to around $4 million in player contracts, with another two players still to go.

Floppy joined Cloud9 from ATK in January, and is now transitioning to the new ‘colossus’ roster alongside ALEX, mezii, and woxic.

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The colossus began with the signing of ALEX from Vitality, whose deal is worth $1.65 million. He was joined by fellow brit Mezii on a $426,000 deal. Then, woxic was added from mousesports, in another deal surpassing the $1m mark, at $1,365,000.

This latest deal for floppy takes the total value of this 4-man squad to $3.87 million, and with two players to go (GM Henry  ‘HenryG’ Greer has plans for a six-player roster), is set to surpass the $4 million mark.

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Since HenryG’s move from casting into a management role at C9, he has aimed to shake-up the traditionally opaque nature of esports transfer dealings.

In each of the four signings, Greer has confirmed the length of the player’s contract, and it’s total value over that period. All four players announced so far have been signed to three-year deals.

After the floppy announcement, Greer clarified on Twitter that despite the lower total value of deals for floppy and Mezii (compared to ALEX and woxic), each player’s deal is negotiated on an individual basis.

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“Ricky has received a pay increase from his previous contract and that will be reviewed each year of his stay,” he concludes.

Presumably, salaries could increase based on performance metrics or other value added to the brand by the player, or as thanks for loyalty to the team.

After he was confirmed as the GM of Cloud9, Greer told Dexerto: “My plans for this team are certainly ambitious. I wouldn’t be involved in any sort of General Manager role unless I had absolute full control of the roster and direction we plan to head.

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HenryG casting CS:GO at DreamHack event
DreamHack
HenryG is now at the helm of Cloud9’s CS:GO venture.

“C9 have entrusted me with their entire CS:GO dynasty and, honestly, I think that’s one of the boldest moves any org has made in a long time.”

HenryG and Cloud9’s new approach to player deals could very well set off a new trend in CS:GO and esports generally, though for now, they remain on solitary ground.

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