Esports at a Crossroads: Reflections from the ISDE Sports Convention in Madrid
For whom: Esports professionals, gaming industry leaders, policymakers, and investors.
TLDR: Esports has immense potential to surpass traditional sports but struggles with monetization, grassroots development, and innovation. Unlike football, which thrives on semi-pro and amateur leagues, esports lacks a robust grassroots system. The industry must innovate rather than imitate traditional sports structures.
CTA: Industry leaders must shift focus from isolated pro events to a sustainable esports ecosystem that fosters long-term growth.
Reading time: 4 minutes
Esports and Traditional Sports: A Tale of Two Industries
On June 7th Valvur had the opportunity to attend the ISDE Sports Convention in Madrid, where we engaged in thought-provoking discussions with top executives from LALIGA, policymakers, and industry experts. The event highlighted key challenges facing both traditional and digital sports, reinforcing a critical observation: despite its digital-first nature, esports is lagging behind traditional sports in crucial areas where it should be leading.
The Stagnation of Esports Development
One of the most striking takeaways from the event was the comparison between football’s grassroots structure and esports’ fragmented ecosystem. Football thrives because of its multi-tiered leagues, providing a clear development path from youth academies to the professional stage. Every major star celebrated today emerged from a system that nurtured thousands of aspiring players. In contrast, esports lacks a structured grassroots framework. Beyond the elite competitions, there are very few pathways for amateur players to transition into professional scenes.
Institutions that should be spearheading grassroots esports development appear to be preoccupied with other matters, leaving a void that prevents the industry from maturing. This oversight is holding esports back from achieving its full potential as a global competitive discipline.
Beyond Pro Tournaments: Creating a Sustainable Ecosystem
A common misconception in esports is that success hinges solely on major tournaments. While high-profile events like The International and Worlds attract millions of viewers, they do not build a sustainable industry on their own. Traditional sports leverage regular, localized competitions to engage fans year-round, ensuring a steady influx of talent and financial stability. Esports, however, remains overly reliant on a handful of flagship events, with little attention given to developing community-level competitions that could drive engagement at all levels.
For esports to flourish, the industry must establish more localized and accessible competitions that provide players with structured opportunities to compete, improve, and advance in their careers. Federations, game publishers, and industry stakeholders must collaborate to build a connected, scalable ecosystem that nurtures talent beyond the professional level.
The Role of Technology in Esports Growth
While traditional sports are integrating AI and other cutting-edge technologies to enhance fan engagement and protect intellectual property, esports struggles with fundamental issues such as establishing a shared anti-cheat database. The technology to address these problems exists, yet the industry has been slow to implement solutions that could significantly enhance integrity and player experience.
The contrast is clear: traditional sports, despite their legacy structures, are evolving with technology, while esports—a digital-first industry—remains fragmented and hesitant in adopting innovations that should be its competitive advantage.
A Call for Industry-Wide Action
The ISDE Sports Convention reinforced a sobering reality: esports has all the ingredients to become the most dominant form of competition in the world, but without significant structural changes, it risks stagnation. The industry must embrace innovation rather than mimic outdated models from traditional sports. Valvur believes we need:
- Stronger grassroots development: More opportunities for amateur and semi-pro players.
- Sustainable engagement strategies: Beyond high-profile events, esports needs year-round, structured competitions.
- Technological advancements: Unified anti-cheat measures, better data-sharing mechanisms, and AI-driven enhancements.
Esports was built on disruption and innovation. It’s time to reclaim that spirit and forge a future that leverages its digital foundations rather than being constrained by traditional sports paradigms.
