The Overwatch League caught headlines way before it actually launched with reports that the franchise fee would be $20 million USD each, meaning each of the 12 teams had to pay this to be a part of the competition, but now a new report from ESPN indicates this could increase significantly for the second season.
Activision Blizzard confirmed in an earnings call that it'll be higher, without giving figures, but alleged sources have apparently said this will range between $35 to $60 million, which is no small jump, especially considering the league is reportedly targetting expansion in Asia and Europe too.
As ESPN points out, the League surpassed revenue expectations, with sources claiming its at almost four times the original estimation, and what's more is that they also have a $90 million two-year deal with Twitch, as well as various other deals with HP Omen, Intel, T-Mobile, and Toyota. It's a very valuable venture, and that's without considering the impressive viewership (the investor report said that "in its first week, the Overwatch League reached more than 10 million unique viewers across the world with an average audience of more than 280,000 on a per minute basis").
Regardless though, if the original franchise fees raised eyebrows at $20 million, if these figures are correct then this should definitely raise some more questions about the financial requirement to compete, as well as whether joining the league is worth it. What do you think?
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