Toronto Defiant parent company has agreed a deal with the Overwatch League to eliminate outstanding entry fees
As well as a sponsorship deal.
When the Overwatch League was originally starting up, Activision Blizzard was asking esports teams to shell out $20 million, to be paid in instalments, to purchase a franchise slot in the league. When the Covid pandemic hit, Activision decided to defer these payments in an effort to ensure the survival of the teams involved in the league, but now that the pandemic is over and the OWL hasn't returned to the promised growth, we're seeing teams either selling slots in the OWL or looking for alternative ways to stomach the payments.
For OverActive Media, the parent company of the Toronto Defiant, this comes in an agreement with the OWL to eliminate any outstanding entry fees, alongside signing a sponsorship deal and being in agreement for both parties to collaborate on changes to the OWL business plan moving forward.
"Our collaboration with the Overwatch League demonstrates our commitment to a league that offers the best experience for fans, teams, and players," said Adam Adamou, co-founder and interim CEO, OverActive Media. "We believe this development indicates promising progress for Overwatch and esports."
As for how much this deal is said to be valued at, OverActive Media reports that the eliminated fees and the sponsorship deal clocks in at $10.8 million.