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Esports is often described as a rapidly growing field of opportunities for young gamers based on the monies that can be earned and growth in the industry. However, these comments missed a key point, which is how the money is actually distributed among players.
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February 20, 2022
by Ye Lei
Esports is often described as a rapidly growing field of opportunities for young gamers based on the monies that can be earned and growth in the industry.
However, these comments missed a key point, which is how the money is actually distributed among players.
In recent research, Dr. Chris McLeod and colleagues investigated how incomes are unequally distributed across the esports labor market, specifically within tournament prize pools.
Data were collected online from Esports Earnings, the world’s leading esports prize pool database. The research team analyzed the prize pool distribution trends for the top five esports games from 2005 to 2019. Particularly, researchers looked at labor market inequality, gender inequality, and social stratification.
Findings show inequality has increased in the overall labor market, as well as the five top games. First, only a few top earners received substantial amounts of rewards from esports, but many competitors earned even less than the US poverty line from prizes. Second, more competitive players in the labor market leads to greater income inequality and stratification. Third, this trend is even worse for female gamers.
Taken together, it appears esports industry will produce greater earnings inequality and reproduce a growing class of low-paid competitors over time.
Policymakers and managers can use this information to fight for changes in the esports industry, such as labor protections, and gender equality.
Dr. McLeod pointed out they did not collect data on streaming which is another big source of income for gamers that should also receive attention. He suggested future research can explore more on this topic.
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Read the full article here:
McLeod, C. M., Xue, H., & Newman, J. I. (2022). Opportunity and inequality in the emerging esports labor market. International Review for the Sociology of Sport, 57(8), 1279-1300. https://doi.org/10.1177/1012690221106409
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