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Ninja Says Streaming Sub Losses Outweigh Esports Tourney Earnings

Popular video game streamer Tyler "Ninja" Blevins said he is "O.K. with not traveling the world and competing" in esports tournaments, because "as a streamer when you are gone for five days ... and you didn't stream any of those days ... you just dipped 100,000 subscribers," according to Draper & Bromwich of the N.Y. TIMES. Blevins: "When I went to E3. I went for four days, I won the tournament there with Marshmello, but I didn't win money, it was for charity. So it was $500,000 -- it was worth it, 100 percent, but I lost 100,000 subscribers." Blevins said the "longest vacation" he has taken since becoming a full-time streamer was a six-day honeymoon, which was "devastating" to his numbers. He said YouTube and Twitch are his "primary incomes," and about 20% of his income -- estimated at $500,000 a month -- comes from "deals and partnerships." Blevins: "I wanted to hide how much we were making because I don't care. But now I kind of want everyone to know: This is how much the top guys can make. It's important that parents can see. All the contracts for professional athletes -- all their salaries are public." He noted partnering with pro athletes is something he is "trying to work with more." Blevins: "They're also super interested in working with us, to collab. [Steelers WR] JuJu Smith-Schuster, I think, was the first athlete I played with. ... [Browns QB] Baker Mayfield, I think I play with him the most now." Blevins said his "goal was just to be bigger than gaming." Blevins: "That is something everyone strives for, right? Michael Jordan, LeBron James, all those people" (NYTIMES.com, 12/18).

MARKET CORRECTION? SPORTS BUSINESS JOURNAL's Ben Fischer notes esports insiders are "increasingly convinced that many team organizations are overvalued and a market correction is coming." In the two years since traditional sports teams "started acquiring esports organizations, faith in the long-term potential of video games has grown stronger." However, "pessimism about the short-and medium-term prospects of esports teams is also growing," as spending pressures "grow faster than revenue." Experts predict that this will all "lead to some shaking out in the coming months," likely in the "form of layoffs at less popular game titles and organizations' ancillary businesses." Sponsorship revenue also "isn't growing as quickly as hoped." The combination of a "non-unionized workforce and a sudden influx of investment dollars" has also "forced labor costs to skyrocket in the past four years, forcing some teams to choose between competitive excellence and investing in other business lines that might yield more long-term growth" (SPORTS BUSINESS JOURNAL, 12/17 issue).

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