Esports, or electronic sports tournaments, have been steadily gaining popularity in the U.S. and globally, now an exciting new 
partnership opens new venues to new tech – offering the potential to increase the industry’s value.
A leading designer and developer of augmented and virtual reality, YDX Innovation Corp. (TSX-V:YDX, OTC:YDRMF, Forum) is bringing its tech to esports tournaments through its partnership with international software company Jackpot Rising. Together these tournaments and esports will be enhanced by immersive tech. It’s a match made in virtual heaven in a market that was worth roughly $906 million in 2018. According to market analysts at Newzoo, 2019 will be the year the industry crosses the billion-dollar threshold with revenues hitting $1.1 billion and that number is forecast to surge upward to $3.2 billion by 2022.
(Image via YDX Innovation Corp.)
YDX brings it’s patented Arkave VR tech, which was recently covered in a Stockhouse news feature. The platform offers immersive virtual and augmented reality to events and venues. Company CEO Daniel Japiassu explained that Arkave was created to be a premium and affordable VR experience for thousands of family entertainment centres.
“We designed Arkave VR to become an esports attraction to our clients. The platform is prepared with a ranking system and ready for tournaments. The partnership with Jackpot Rising enables us to move faster into this segment.”
On the other end of the deal is Jackpot Rising’s tournament platform. Players compete for cash, prizes, digital goods, and other rewards. Together, they will co-host tournaments, starting in Dallas, Texas, the city hailed by ESPN as America’s esports capital. This platform isn’t just limited to events, the suite of competitive tournaments and esports will be available to players from mobile, PC, to console systems and arcades – essentially any and every gamer, from casual to committed.
(Image via Jackpot Rising.)
Jackpot Rising has created two games for the platform – Arcade Basketball and Bowling. It also offers Fortnite, created by third-party Epic Games, already boasting a monstrous following of 200 million players worldwide. It’s the newest household name ask any kid what Fortnite is, they’ll probably start doing the game’s dances on the spot.
Keeping on top of trends and the latest games is essential in this field. It serves as a gauge to determine those operations living on the “cutting edge”, like YDX and Jackpot Rising.
How big is the overall audience for esports? It is estimated that 380 million people watched competitions by the end of last year, split between 165 million dedicated viewers and 215 casuals. By 2020, the audience is expected to grow to 590 million. After reporting a year-on-year growth of 38% in 2018, Newzoo now sees brands reaping the most benefits, via its 2019 report:
“Other ongoing developments that have high revenue potential include increased esports franchising, new content formats and premium passes, the success of mobile gaming, team profitability, and the success of new focus on professionals and streamers as brands.”
Knowing where to invest in this emerging market is key and looking at the latest metrics, branding will see the most investment at around 82% of the total market ($897.2 million). The highest-grossing individual esports revenue stream worldwide is sponsorship – poised to generate $456.7 million in 2019. With these corporate sponsorships picking up steam, it is clear the industry is still growing and could be much more than just a trend.
YDX Innovation Corp. is one brand already bringing its virtual reality experience to audiences through its Arkave VR Arenas with several locations open in the U.S. and a plan to rollout more locations. Two of YDX’s existing Arkave locations are at “Launch Trampoline Park”, a franchise business that is rapidly expanding in the U.S. with 20 locations open in 14 States with another 21 locations announced for 2019 increasing the presence to 24 States. This partnership will spread the reach faster and father.
ydxinnovationcorp.com
FULL DISCLOSURE: This is a paid article produced by Stockhouse Publishing.