ESport, an economically viable model?
by Micaella Feldstein, Tech & Data specialist, Natixis CIB
ESport - short for electronic sport - is experiencing growing success, linked to the massive adoption of the Internet, the development of multiplayer online games and its free distribution on streaming platforms, including the leader, Twitch.
However, the revenues generated by eSport organizations are minimal relative to the growth of the global audience and the colossal sums collected by video game studios, revealing a very fragile business model, suffering from under-monetization of fans, the virtual absence of payment of broadcasting rights and above all a huge dependence on sponsorship.
In a video and a full report, Micaella Feldstein, Tech & Data specialist at Natixis CIB, outlines the keys to set out this promissing industry on the road to profitability.