INSIGHT
A VIRTUAL
CERTAINTY
FOR ESPORTS
Anthony Ure looks at the potential for sustained growth and accesses some of the challenges to be
addressed at the intersection of esports and VR/AR
THERE ARE FEW TOPICS within
the igaming sector that manage to
conjure up images as exciting or
spectacular as the increasingly innovative
use of virtual reality (VR) and augmented
reality (AR) technologies.
Once heralded as the future of all
interactive experiences across a whole
host of consumer industries, the buzz
surrounding the potential impact that VR
and AR could have on esports has long
preceded the arrival of the hardware itself.
One of the main drivers behind
innovation within the esports sector is the
desire to improve the spectator experience.
As such, the adoption of VR and AR
technologies has largely been motivated
by the need to offer customers a unique,
dynamic and authentic gaming experience.
Gaming companies know that in a
hugely competitive market there is success
to be found in offering cutting-edge
experiences to consumers.
According to the Newzoo 2018 Global
Esports Market Report, the worldwide
esports audience will reach 380 million fans
this year, comprising 165 million enthusiasts
and 215 million occasional viewers.
VR and AR technologies will play a huge
role in keeping this fanbase interested and
it will be up to the industry to integrate new
platforms into the spectator experience.
Research from the International Data
Corporation has found that worldwide
spending on VR/AR products and services
is expected to reach $27bn in 2018, a 92%
year-on-year increase.
If companies can continue to offer
customers new and exciting experiences,
the most inventive esports firms – as well as
the wider industry – will be well positioned
to benefit from this explosive growth.
Industry challenges
Despite so much potential, there are a
number of hurdles that the sector must
overcome if VR/AR technology is to
become truly mainstream. Of these
challenges, one of the more immediate
issues is that the cost of hardware (headsets,
operating systems and so on) remains high.
The technology required to scale
these systems down to a wearable size
has come a long way in recent years but
dedicated headsets remain an expensive
smartphone and collaborative engagement
from gambling providers would go
some way towards bypassing both of
the main problems.
Players engaged in a VR battle could
be watched actively via AR in-venue, with
betting options interactively displayed
within the game, similar to the HUD
functionality we have seen in other games.
As the esports market expands, more
sponsors and investors will flow into the
industry, which will create a booming
opportunity for all players involved.
Businesses, as well as the jurisdictions in
which they operate, will need to respond
quickly to demand.
“Gaming companies know that in a hugely competitive
market there is success to be found in offering
cutting-edge experiences to consumers”
purchase. While this may not be an issue
for large-scale events, it does raise questions
around how the industry can engage
external spectators in a cost-effective but
exciting way.
Esports companies would do well to
avoid scenarios whereby the quality of
the VR/AR spectator experience is
severely affected by not having access
to expensive equipment. There are also
several issues regarding the ease of
in-play betting. For example, how does
someone watching a VR-based stream
access betting services without having
to step away from the live action?
The continued development of app-based
platforms that can be accessed through a
As a leading technological hub and a
strong supporter of innovation, the Isle
of Man is confident that the industry will
continue to move from strength to strength.
If the sector can continue to cross new
frontiers, we’re in for a very exciting second
half of the year indeed.
ANTHONY URE was
appointed head of egaming
at the Isle of Man Department
for Enterprise in 2017. He
has spent more than 30 years
working for some of the biggest
names in the industry, including
Ladbrokes and IGT.
iGB Affiliate Issue 70 AUG/SEP 2018
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