USA Law and Practice Contributed by: Irwin A. Kishner, Daniel A. Etna, Joel Wagman and Barry Werbin, Herrick, Feinstein LLP
9. Esports 9.1 Development and Growth of Esports There has been growth in esports in 2025. The BLAST. tv Austin Major was a clear highlight, breaking global Counter-Strike viewership records and generating an estimated USD102 million in local economic impact. It was a reminder that large, well-run esports events can still draw massive audiences in the USA when the title, format and execution line up. Fortnite’s revived Pro-Am format also landed, showing that hybrid events blending competition, creators, and entertain - ment still connect strongly with American audiences. Even mobile esports broke through in a meaningful way, with the Clash Royale World Finals pulling solid engagement and showing that US fans will show up when the product is positioned correctly. Betting partners are still part of the picture, but teams and publishers have been clearly trying not to rely on them alone. The takeaway is not that esports has solved its revenue challenges, but that organisations are actively trying to build models around content, dis - tribution and brand partnerships that do not depend entirely on bloated rosters or hype-driven influencer houses. 9.2 Key Trends and Notable Deals in Esports A number of deals and announced transactions in 2025 reflected continued investment activity affect - ing the US esports and gaming market. Electronic Arts announced in September 2025 that it had entered into an agreement to be acquired in an all-cash transaction valued at approximately USD55 billion by a consor - tium including Saudi Arabia’s Public Investment Fund, Silver Lake and Affinity Partners. The transaction, which was subject to customary regulatory approvals and closing conditions, would be the largest leveraged buyout in history if it closes. The purchase price of USD210 per share put a significant 25% premium on the market value of EA stock. Within the esports organisation space, ownership- related transactions occurred at the team and asset level. DarkZero announced that it had acquired cer - tain esports assets previously operated by NRG, with competitive operations and player rosters continuing under the new structure following the transaction.
Team Liquid completed the acquisition of Team Gullit, an organisation focused on EA Sports FC competition, expanding Team Liquid’s presence in virtual football esports and related player development activities. Partnership activity remained active around major esports events with US market relevance. The Esports World Cup Foundation announced a range of partner - ships with global consumer brands, including com - panies in food and beverage, technology, hospital - ity, media and sports marketing, reflecting continued advertiser participation in large-scale esports events. Publishers also announced forward-looking invest - ment initiatives during 2025. Riot Games disclosed plans to invest significant capital over multiple years in support of future competitive offerings, including Valorant Mobile esports, alongside continued spon - sorship activity across existing League of Legends circuits. Finally, venture and growth-stage investment remained present in esports-adjacent platforms. Non-fungible tokens (NFTs) are unique digital assets that use blockchain technology to record ownership. Each NFT has a unique identifier that is recorded on a blockchain database, which acts as a public ledger to verify ownership and transfers. NFTs can reflect a variety of tangible and intangible objects, such as images, videos, songs and art. NFTs are distinguished from other digital assets that use blockchain technol - ogy, such as cryptocurrencies, by the “non-fungible” nature of NFTs. Each NFT represents a specific and unique item and is not valued on a one-for-one basis. NFTs also provide teams and leagues with additional opportunities to enhance fan relationships and allow for real-world applications beyond investment. For example, holders of NFTs have been granted unique in-person experiences, personalised messages from players and discounts on merchandise. Holders of NFTs have also been able to participate in fantasy sports contests and vote on team decisions such 10. NFTs, AI and the Metaverse 10.1 Non-Fungible Tokens (NFTs)
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