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Cynopsis Esports 8/22/24: Backyard Sports is back; gaming audience to hit 3.4B; Gamescom’s top reveals


Medias First Morning Read
Thursday, August 22, 2024

Good morning! It’s Thursday, and this is your monthly Gaming Brief.

Newzoo’s latest Global Games Market Report forecasts almost $188 billion in revenue in 2024, a 2.1% increase year-over-year despite upheaval in the games industry’s jobs market. PC gaming is leading the charge in YoY growth, with a 4% improvement in revenue, but mobile is still king, with nearly half of the total revenue for the industry coming from those titles.

As GamesIndustry.biz pointed out, the forecast is $1.6 billion lower than estimates from Newzoo’s January 2024 report, signaling that while the consumer market is still growing (Newzoo estimates gaming’s worldwide audience will reach 3.42 billion this year), there might be reason to continue tempering expectations. Advertising and marketing dollars spent in the space are still well worthwhile given gaming’s global reach, but it’s unclear what an entirely right-sized games industry looks like and what returns it can provide on brands’ investments.

GAMING NEWS

Black Myth: Wukong is now the No. 1 single-player game in concurrent players on Steam following its debut Tuesday. The title was subject to some scrutiny ahead of launch due to Chinese developer Hero Games’ stipulations that reviewers not bring up COVID-19 or “feminist propaganda” in content about the game, but saw nearly 1.8 million concurrent players in China at launch, with 2.2 million total jumping in from around the world.

The Borderlands movie might have been a flop, but the 2K Games franchise is still going strong with the announcement of Borderlands 4 coming in 2025. The series, which debuted in 2009, might have hoped to be riding some hype from its recently released film adaptation but still generated buzz following its reveal at Gamescom.

Plenty of other heavy hitters graced the Gamescom stage this week, including reveals of strategy sim mainstay Civilization VII’s Feb. 11, 2025, release date, a new entry in the Dying Light series with Dying Light: The Beast, hero shooter Marvel Rivals’ release date (Dec. 6) and more. The show in Cologne, Germany, has proven that despite publishers’ preference for first-party reveals, the E3-style showcase model is alive and well – if in a different part of the world.

Riot Games officially launched popular first-person shooter title VALORANT on consoles earlier this month, marking Riot’s first foray into a live service title on consoles. The game, which has a hefty PC player base with a vibrant esports scene on that platform as well, is now available on PlayStation 5 and Xbox Series X and S devices in the U.S., Brazil, Canada, Europe and Japan. VALORANT’s performance on consoles could shape Riot’s live service strategy for other titles that could play well on console, such as its upcoming fighting game 2XKO, which is slated to release on PS5 and the current Xbox generation as well.

SPONSORSHIP & ACTIVATION

This year’s Pokémon World Championship is a case study in how esports can serve as a marketing tool, with The Pokémon Company taking advantage of international tournaments in its trading card and video game franchises to reveal upcoming additions to multiple titles. Chief among the announcements was the launch date of Pokémon TCG Pocket, the mobile game version of Pokémon’s in-person card game, which will release Oct. 30 on Android and iOS devices. Competition in Hawaii brought together thousands of players from Aug. 16-18, with champions crowned in the Pokémon trading card game, the mainline Pokémon video game series, Pokémon GO, and Pokémon UNITE, while also creating an authentic moment to build excitement with the franchise’s most dedicated fans.

Fortnite is back in the iOS store, at least within the European Union, following the enactment of the EU’s Digital Markets Act. The Act requires that major actors in the digital storefront marketplace, such as Google and Apple, allow third parties to offer their own storefronts through their services. It’s a massive win for Fortnite publisher Epic Games, which had its flagship battle royale title removed from the Apple and Google Play stores because Epic allowed in-game purchases that cut out the storefront providers’ in-app purchase processing fees. Epic took Apple and Google to court in the U.S. over that decision almost five years ago, and while Fortnite’s return to those storefronts in America seems unlikely, legislation like the DMA could open doors elsewhere.

Hi-Fi Rush developer Tango Gameworks has been saved from dissolution. PlayerUnknown’s Battlegrounds publisher Krafton announced its acquisition of the studio from Microsoft, which had planned to shut down Tango Gameworks and three other Bethesda studios as it shifts its business amid multiple acquisitions of its own, including that of Activision Blizzard King in late 2023 and Zenimax’s properties, including Bethesda, in late 2021. The move revives a studio that put together one of the best new IPs of 2023 in Hi-Fi Rush and gives Krafton, a South Korean company, another avenue for “expanding its global footprint,” according to a statement from the publisher.

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THE SUMMER OF SPORTS (GAMES)

The Olympics aren’t the only sporting event experiencing a revival this year.

Following a decade-long run of declining viewership, the Paris Games jump-started the heart of international athletic competition thanks to compelling international storylines, a digital-first strategy and, to NBC’s benefit, a favorable time zone for viewers around the world. And virtual sports, too, are having a moment – one that leans on the relaunching of games that were last released when the Olympics were in their previous heyday.

From EA’s College Football 25 to Playground Productions’ announcement that Backyard Sports is returning, what’s old in sports sims has become new again, and it’s garnered attention not just from nostalgic Gen X and Millennial fans but a new cohort in Gen Z and Gen Alpha. Traditional sports and video game fandoms are near-inseparable nowadays thanks to multiple generations of athletes who grew up on gaming and the development of the esports industry as a traditional entertainment complement (and, in some cases, alternative). The evolution of both the sports and gaming audience has made it possible for these games to reach a scale not even seen when they were at their peak – and there’s plenty of room left in the sandbox, too.

Games like NFL and NBA Street might need a rework to suit modern players’ tastes, but both games were among the first called out after the Backyard Sports announcement Tuesday. It seems sports sim fans everywhere are wishing for the good old days, and younger generations are looking for a taste of that nostalgia too.

INDUSTRY

We Are Royale has hired Clove co-founder Erin Serletic as its Head of Growth, Gaming and Entertainment, the company announced. Serletic, who has worked on creative projects for brands including Activision Blizzard, Disney, NBC Universal and more, will support the studio’s ongoing work in the gaming space. “With her deep experience in branding and marketing, especially in gaming and entertainment, Erin is a natural addition to our team,” We Are Royale co-founder and CEO Jen Lucero said in a statement. “Her passion, authenticity, and progressive business development strategies align with our strengths as a studio and where the industry is headed.”

Ubisoft has undergone another round of layoffs, with 45 employees impacted between its San Francisco office and Red Storm Entertainment branch. “This difficult yet necessary decision was made to align these studios’ organizations with their future business and development objectives,” Ubisoft said in a statement to IGN. “We are committed to providing comprehensive support to those affected, including severance and career assistance, and we thank them for their many contributions to Ubisoft.”

Riot Games esports president John Needham will become its president of publishing and esports, a move the studio hopes will “create a seamless experience between each game and its esports, music, and publishing content.” The internal restructuring includes an update to Riot’s TV and film development organization, which will be divided into two studios: animation (run by Christian Linke) and live action (helmed by Brian Wright). “For the past year, we’ve been working to re-orient our organization and structure to serve players in a more aligned way,” Riot CEO Dylan Jadeja said in a statement. “We want every moment a player spends with us to be worth it – and that’s best achieved when we authentically blend our games, esports, music and storytelling into really cohesive, immersive adventures for them.”

Cynopsis BIG TV Summit: New Strategies to Reach Target Audiences

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TRIVIA
When did the original Backyard Sports title, Backyard Baseball, release? (Email [email protected] with your answer, and be sure to include your name, company and city). Answer to Our Last Trivia Question
Name one of College Football 25’s three cover athletes. Travis Hunter, Texas quarterback Quinn Ewers and Michigan running back Donovan Edwards are side by side on the standard edition cover.

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CynopsisJobs
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