Cynopsis Esports 11/30/23: ByteDance backs away from gaming; Embracer’s tough 2023; Faker’s unprecedented legacy

Medias First Morning Read

 

Thursday November 30, 2023

Good morning! It’s Thursday and this is your early morning Esports and Gaming brief.
Embracer Group has laid off 904 employees amid financial struggles in 2023, the company revealed. The game development and nerd culture holding company continues to reel after a $2 billion outside investment fell apart earlier this year. Embracer has closed studios including Volition (makers of the Saints Row series) and plans to sell portions of the business including Borderlands maker Gearbox Entertainment.

The cuts, which amount to 5% of Embracer’s workforce, are part of a larger scaling operation for the Swedish company. CEO Lars Wingefors said additional headcount reductions will take place as leadership attempts to “transform Embracer into a leaner, stronger company.” The company’s Q2 presentation shows a reshaping that is emblematic of larger shifts in the games industry this year as businesses try to right-size after swelling of staffing during the gaming boom of the COVID-19 era.

“Our people are what make up the very fabric of Embracer,” Wingefors said during that Q2 event. “For me personally, it’s crucial that the programme is carried out with compassion, respect and integrity.”

COMPETITION AND GAMING NEWS

The Snapdragon Pro Series Powered by Samsung Galaxy is bringing its Mobile Masters event to Sao Paulo, Brazil, league partners ESL FACEIT Group and Qualcomm announced Wednesday. Mobile Masters, a $400,000 mobile esports event featuring international Call of Duty: Mobile and Garena Free Fire tournaments, will take place April 12-14. The league has experienced noteworthy growth this year, according to a statement, with 3 million registered players – a 50% increase over last year – and twice the watch hours of its inaugural year. More than 1 million of those players hail from Latin America, which was added as an SPS region in 2023.

In case you missed it, T1 and League of Legends GOAT Lee “Faker” Sang-hyeok further cemented their legacy with an unprecedented fourth League of Legends World Championship title. The South Korean squad and its legendary mid laner added another Summoner’s Cup to their trophy case on Nov. 19 with a 3-0 sweep of China’s Weibo Gaming at the Gocheok Sky Dome in Seoul. The win pulled Faker and T1 even further ahead of the pack in terms of Worlds titles won; T1 already held the most-ever championships for an organization with three, all earned with Faker in the mid lane, prior to this month’s title.

Cyberpunk 2077 overhaul has paid dividends for developer CD Projekt Red, the company reported in its most recent earnings call, with 4.3 million sales of the game’s Phantom Liberty expansion since its Sept. 26 release. The expansion, which came alongside a holistic revamp of Cyberpunk 2077, has reshaped the narrative around the once-fallen franchise that failed to meet consumer and critic expectations on release in December 2020. The company also recently settled a class action lawsuit put forward by investors that alleged CDPR misled its stakeholders about the state of Cyberpunk 2077 leading into the initial launch; CDPR paid out a $1.85 million settlement to close the class action, which was filed just two weeks after Cyberpunk 2077 went live.

SPONSORSHIP & ACTIVATION

Enthusiast Gaming is partnering with BUXOM Cosmetics for a Fortnite activation, the companies announced. The collaboration, known as ​​Only Up Buxom (Checkpoints), aims to highlight diversity in the gaming space and women’s participation in the games community. The Fortnite map features “an obstacle course inspired by Buxom Cosmetics products,” according to a statement. Enthusiast Gaming plans to host an all-women kickoff tournament known as Battle of the Babes today at 6 p.m. ET on Twitch to celebrate the launch, with Luminosity Gaming creator Jenny “JennySmiles” Simile hosting.

Gen.G and game studio Super Storm are collaborating for the launch of Super Storm’s flagship title, Storm Striker, in North America. The South Korean studio will work with Gen.G, which fields esports teams in the country but has a sizable presence in North America as well, to build awareness of Storm Striker. The title, a multiplayer online battle arena-style first-person shooter title, launched Nov. 16 and will feel familiar to esports fans. Gen.G plans to work with Storm Striker to support its community platforms like Discord, promote it amongst Gen.G’s partnered collegiate programs and amplify the game via creators like former Overwatch pro Becca “Aspen” Rukavina.

Gaming entertainment company Misfits is partnering with Mars Petcare to promote its TEMPTATIONS cat food brand. Misfits and Mars are collaborating on a pair of in-game Minecraft experiences, known as the TEMPTATIONS Cat Cafe and Purrsuit, with Misfits building additional awareness via its creator network.

International gaming conference Gamescom is launching an event in Latin America in 2024 that will bring together the organizers of Gamescom and Brazil’s BIG Festival. Gamescom Latam will take place June 26-30 in Sao Paulo, Brazil, the company told GamesIndustry.biz, and attempt to leverage the region’s rapidly growing (and already large-scale) games audience.

STREAMHATCHET
Eminem’s Fortnite Concert: Tapping into Nostalgia for a New Generation of Streaming

As Fortnite gears up for its latest event featuring Eminem this weekend, the event is not just a spectacle of music and gaming but also a strategic move to engage diverse generations through nostalgia and live streaming.

Fortnite’s history of hosting virtual concerts with artists like Travis Scott, Ariana Grande, and J Balvin has primarily appealed to a younger demographic, with Travis Scott’s concert reaching 2.4M peak viewers. However, Eminem’s entry represents a deliberate attempt to expand viewership by targeting a different age group, likely to tune in out of nostalgia. The announcement of Eminem’s appearance for the final day of Fortnite’s Chapter 4 Season 5, leaked on November 21st, has already generated a buzz, particularly among older fans who grew up with his music.

The concert signals a bridge between generations – connecting those who reminisce about Eminem’s early career with a younger audience that associates him with Fortnite’s dynamic world. This blend of nostalgia with modern gaming culture is a powerful tool in live streaming, as evidenced by the 336% spike in Eminem’s Twitch mentions following the leak.

Read more on Stream Hatchet’s blog.

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YOUGOV LIVING DATA INSIGHTS
Does genre played affect game discovery?

YouGov Profiles data shows that means through which gamers find out about different games are largely similar across the different types of games they play, with a few noteworthy exceptions. Indie gamers, for example, are noticeably likelier to learn about new games from online shops (63%) and gaming personalities (55%) when compared to other genres. Meanwhile, FPS gamers are the most likely of the lot to find out about new titles from friends (49%), especially when compared to sports gamers (39%).

TEAMS

NRG Esports is returning to Counter-Strike, the esports organization announced. NRG, which will field a roster in the esport for the first time since 2019, revealed a North American roster featuring former NRG standouts Damian “daps” Steele and Vincent “Brehze” Cayonte. The launch of Counter-Strike 2 continues to present opportunities for new and returning organizations who hope to take advantage of a fresh slate and growing audience for CS.

North American esports and gaming lifestyle group 100 Thieves is leaving Apex Legends esports, the company announced. The move, following layoffs at 100 Thieves and the company spinning out its drinks business Juvee and its game studio, comes as the North American organization focuses on making each of its esports teams at least break even, vice president of esports Jacob Toft-Andersen said in a message in the 100 Thieves community Discord. “We had a team for the 2024 season that we were super excited for, but it felt wrong moving forward,” he said.

Gen.G has revamped almost its entire League of Legends roster following a quarterfinals exit from Worlds 2023. Only mid laner Jeong “Chovy” Ji-hoon and bot laner Kim “Peyz” Su-hwan remain from the 2023 squad as Gen.G brings in a different batch of stars to bolster its Worlds title chances in the coming year.

INDUSTRY

Development studio Absurd Ventures is scooping up former Rockstar Games staff as it prepares to move forward with its multi-pronged production approach. Absurd Ventures launched in June with Rockstar co-founder Dan Houser, who left the company in 2020, at the helm. Houser has brought on longtime Rockstar colleagues Lazlow Jones (announced as an Absurd Ventures co-founder) and Michael Unsworth (Head of Story & Creative Management), according to a report from French outlet BeGeek, as it prepares to dive into games and traditional media development, including film, TV, and comics.

ByteDance, the creator of TikTok, is shutting down its Nuverse game publishing brand, leaving the future of Mobile Legends: Bang Bang developer Moonton up in the air. ByteDance has been courting buyers for Moonton since early November, according to Reuters; MLBB, a wildly popular game in Southeast Asia, holds multiple spots among the top 10 most-watched esports competitions of all time. Nuverse also develops Marvel SNAP, one of the most successful mobile game launches of the year and DICE Awards Mobile Game of the Year for 2023.

Game development platform Unity plans undergo another round of layoffs, with around 265 people impacted, according to a report from Reuters. The cuts, which follow the company’s massive “runtime fee” controversy earlier this year, amount to 3.8% of Unity’s staff. The organization, which bungled its launch of a fee system based on lifetime downloads of games and revenue earned for Unity-built titles, is still seeking revenue streams to staunch the bleeding amid a market reset for the games business.

Reedpop is looking to sell the games journalism portion of its business five years after its purchase of the assets. Reedpop bought Gamer Network – the owner of Dicebreaker, GamesIndustry.biz, Eurogamer, Rock Paper Shotgun, and VG247 – in 2018, with the goal of operating the publications alongside a hefty events business that included PAX and multiple international conventions.

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TRIVIA
Destiny 2 released its latest seasonal update on Tuesday. What is the name of that season? (Email [email protected] with your answer, and be sure to include your name, company and city).

Answer to Our Last Trivia Question
At the halfway point of the NFL season, which team has the best win/loss record – and which has the worst? Answer: Eagles and Panthers. Kudos: Dory Petsrillo | Locality, New York; Jim Himmel | TCB Media, San Clemente, California; Creed Heilskov | ImOn Communications, Cedar Rapids, Iowa; Michael Goodman | Radio One Atlanta; Tom Moore | Kalt Productions, Los Angeles; David Westberg | SAG•AFTRA Federal Credit Union, Burbank, California

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Lead, manage, develop, and grow Ad Sales teams. Attract and retain the best talent. Work with leadership team to set, achieve, and grow revenue targets across OOH, Digital and Experiential. Instrumental in driving the team to exceed all expectations and goals. 15+ years’ experience in advertising, media, and relevant sales management roles. Full info HERE

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DIGITAL DIRECTOR, NEWS >>
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SENIOR DIRECTOR, DIGITAL CONTENT LICENSING
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