Esports has grown significantly in popularity and commercial success, particularly in the Asia-Pacific region (APAC). However, despite this growth, some players in APAC still receive salaries considered to be "peanuts." In this article, we’ll examine why this is the case and provide examples.
**The Esports Market in APAC:
A Growing Industry**
First, it is important to acknowledge the growing importance of esports in APAC. According to Newzoo, the region accounted for 47% of the global esports audience in 2020, with China being the largest single market. The APAC esports market is projected to reach $1.3 billion by 2024, with a compound annual growth rate (CAGR) of 19%.
Why Are Some Player Salaries Still Low?
Despite these promising figures, some players in APAC still receive relatively low salaries.
This is due to several factors:
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**Lack of Sponsorship and Endemic Money:**
In comparison to their Western counterparts, many teams and organizations in APAC rely heavily on revenue from ticket sales and media rights. However, these sources account for a small percentage of the total revenue in esports. Instead, much of the funding comes from sponsorships and merchandise sales. Unfortunately, this often leaves less money to distribute among players’ salaries.
- Fragmented Market: Esports in APAC is highly fragmented, with numerous leagues, tournaments, and teams operating independently. This fragmentation makes it difficult for organizations to generate consistent revenue streams, which in turn limits their ability to pay high player salaries.
* **Market Imbalance:**
The market imbalance between supply (players) and demand (teams) further exacerbates the issue. With an oversupply of talented players looking for teams and a relatively small number of opportunities, many are forced to accept lower salaries or even play for free.
Examples of Low Player Salaries in APAC Esports
To illustrate this point, let us look at some examples:
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**Dota 2:**
In the Malaysian Dota 2 scene, top players can earn as little as RM3,000 ($709) per month. This is despite these players putting in long hours practicing and competing at a high level.
* **CS:GO:**
In the Indian CS:GO scene, even top-tier players may only receive around INR 15,000–20,000 ($204–$273) per month. This is far below what their counterparts in Europe or North America earn.
**Summary: A Bright Future for APAC Esports**
Although some player salaries in APAC esports are still relatively low, there is a silver lining. The region’s growth potential is vast, and as the market matures, we can expect to see more consistent revenue streams and, consequently, higher player salaries. In the meantime, organizations should focus on finding innovative ways to monetize their content and invest in their players to ensure long-term success.