(The 30,000-square-foot HyperX Esports Arena opened inside the Luxor hotel and casino in 2018.)
Video gamers have come a long way from their elementary days of Pong, Pac-Man and Donkey Kong.
Technologically absorbed millennials have taken today’s games to another level, engaging in esports tournaments with substantial monetary rewards and driving a global video gaming market projected to surpass $138 billion by 2021.
Grant Johnson, chief executive officer of Esports Entertainment Group (NASDAQ: GMBL), based in Malta, orchestrated strategic acquisitions to position his company for a share of the estimated $13 billion in global wagering on electronic gaming, or eGaming.
Using a licensed and secure wagering system, Esports Entertainment offers fans the ability to bet real money on professional esports events, but the company has yet to enter the U.S. market due to the regulatory process.
That could change following a partnership formed in August with Twin River Worldwide Holdings. Esports Entertainment hopes to launch online sports betting in New Jersey in first quarter 2021, pending Twin River’s necessary regulatory approval to acquire Bally’s Atlantic City hotel and casino.
The partnership delivers on Esports’ goal of expanding U.S. operations when the company completed its IPO on Nasdaq earlier this year, Johnson said. The company also acquired a skill-based European esports tournament platform that it hopes to bring to the United States, though each state has its own regulations.
With demand for eGaming entertainment increasing during the COVID-19 pandemic, Esports Entertainment completed the acquisition of AHG Entertainment Associates in July. The company paid $1.25 million in cash to AHG, a Florida limited liability company, and issued warrants to AHG to purchase up to 1 million shares of common stock of Esports at $8 a share.
War game generals
Not to be confused with fantasy sports, eGaming is evolving into a lucrative industry with intense competition among dynamic, young players who shed the couch-potato stereotype holed up at home with a game console.
There’s a highly skilled subset of players who excel at war games such as Call of Duty, League of Legends, Valorant, Dota 2 and Counter Strike: Global Offensive. Some compete as teams; individually, Dota 2 professional Johan Sundstein (gamer name NOtail) has won nearly $7 million in tournament play at age 26.
Recognizing that young adults favor video games over slot machines and table games, MGM Resorts opened the 30,000-square-foot HyperX Esports Arena at Luxor Hotel and Casino in Las Vegas in 2018. MGM partnered with Allied Esports, which specializes in esports event production and facility management.
The multi-level venue features a state-of-the-art gaming and broadcast center, competition stage and 50-foot LED video wall. It targets gaming enthusiasts with weekly…
Read More:Source link