Riot and Valve income source

Something that I never saw in discussions regarding Riot vs Valve in terms of how they handle esports is
their income source.

Valve's income source comes from Steam, not CS or Dota, there wasn't any pressure for Valve to implement franchise system compared to Riot.

Riot earns money through Skins and other in game purchases, simply put League and Valorant ( to a lesser extent ) are what keeping them as big as they are. Knowing this it's easy to see why Riot implemented franchise system.

That said, I hate franchise system. I will explain why in my next thread

I agree with you, Riot loses money even after making hit series like Arcane while Valve has infinite money printing machine Steam. Also Riot spends significantly more money marketing their games while I don't even think Valve has a marketing team. Even in league, I heard that Riot took away f2p progression and cosmetic stuff because it couldn't generate them money. Riot has to find ways to profit and unfortunately franchising the esports scene falls into this.

But still, Riot are control freaks and franchising stuff aside, they could have added support for user generated content like modded servers and workshop content with custom maps.

I mean valve also earns through esl u know

KClaw [#3]

I mean valve also earns through esl u know

It couldn't compare to the money made from Steam.

i_hate_winning [#2]

I agree with you, Riot loses money even after making hit series like Arcane while Valve has infinite money printing machine Steam. Also Riot spends significantly more money marketing their games while I don't even think Valve has a marketing team. Even in league, I heard that Riot took away f2p progression and cosmetic stuff because it couldn't generate them money. Riot has to find ways to profit and unfortunately franchising the esports scene falls into this.

But still, Riot are control freaks and franchising stuff aside, they could have added support for user generated content like modded servers and workshop content with custom maps.

I agree that Riot is a control freak, user generated content could save Riot money

KClaw [#3]

I mean valve also earns through esl u know

Valve doesn't earn anything from ESL, ESL is an independent third party tournament organizer, now owned by the Saudis. Infact Valve hates ESL because ESL is trying to monopolize CS tournament circuit.

i_hate_winning [#6]

Valve doesn't earn anything from ESL, ESL is an independent third party tournament organizer, now owned by the Saudis. Infact Valve hates ESL because ESL is trying to monopolize CS tournament circuit.

Yeah but esl has to pay valve for the rights to organize cs tournaments buddy

KClaw [#7]

Yeah but esl has to pay valve for the rights to organize cs tournaments buddy

Even if that's true, #4

i_hate_winning [#2]

I agree with you, Riot loses money even after making hit series like Arcane while Valve has infinite money printing machine Steam. Also Riot spends significantly more money marketing their games while I don't even think Valve has a marketing team. Even in league, I heard that Riot took away f2p progression and cosmetic stuff because it couldn't generate them money. Riot has to find ways to profit and unfortunately franchising the esports scene falls into this.

But still, Riot are control freaks and franchising stuff aside, they could have added support for user generated content like modded servers and workshop content with custom maps.

only reason why league is still big is because of faker bro

Cryptic88 [#9]

only reason why league is still big is because of faker bro

More like Faker and LPL

I don't think partnerships is that bad I just think tier 2 and path to pro needs to be refined.

IonlywatchvcjXD [#10]

More like Faker and LPL

dont forget that doinb said that faker is the lpl's father

KClaw [#7]

Yeah but esl has to pay valve for the rights to organize cs tournaments buddy

No, CS2 has an open circuit and anyone can organize a tournament without having to pay Valve for rights.
The only time organizers pay Valve is for bidding for organizing a major.

Yistyy [#11]

I don't think partnerships is that bad I just think tier 2 and path to pro needs to be refined.

Depends on the size and well being, each region will receive different impact imo. From what I can see, VCJ has been and will be made a loser from this franchise system in the long run

Cryptic88 [#12]

dont forget that doinb said that faker is the lpl's father

Why does that even matter when considering why league eSports is bigger? Yes faker has big influence on eSports scene of lol but without lpl league will die in couple of years.
And as for the game the eSports doesn't matter at all. The game is too big already.