Riot Games company intends to plan the budget of the League of Legends championships more responsibly. This was announced by the head of the esports direction of Riot Derrick Asiedu (Derrick Asiedu) on the Reddit forum.
According to him, the company annually allocates over $100 million for the organization of League of Legends tournaments. Riot is ready to spend such amounts further. But with the condition that the invested money will allow the company to increase revenues from esports events.
“We are not trying to save money. On the contrary, the company is ready to invest in esports even more than before, but only if it helps to increase our income,” Derek explained.
He said that this year Riot Games will experiment with financing the League of Legends world Championship. The company will give up some budget items and assess how fans will react to it. At the same time, Riot reports that the amount of expenses for the League of Legends World Championship 2018 will be second only to the record costs for last year’s championship.
Further financing of League of Legends tournaments will depend on the amount of revenue. If Riot Games is able to earn enough on esports in the next three years, the budgets of the competitions will not change and will even grow. But if there is no desired revenue, the company will cut its spending on esports.
Aseidu noted that the company expects to earn money from sponsored advertising and the sale of digital tickets, and is also ready to look for new ways to monetize esports tournaments.
The League of Legend World Championship is one of the largest esports events in the world. The final games of last year’s League of Legends World Championship tournament were watched by 57.6 million viewers. The total prize fund of the competition was $4.9 million.
Also on the topic: