Join gaming leaders online at GamesBeat Summit Next this upcoming November 9-10. Learn more about what comes next. 


The money making potential of e-sports is starting to attract more than just game developers.

Battlefy, a Vancouver-based e-sports startup, revealed today that it has raised $1.3 million in seed funding. Deep Fork Capital led the around. Jarl Mohn, former chairman of League of Legends developer Riot Games, also participated in the round along with talent-agency William Morris Endeavor, Institutional Venture Partners general partner Dennis Phelps, investment fund Social Starts, BDC Ventures, and angel investor Keith Boesky.

Battlefy is a logistics and management company that provides a platform to help gamers and developers set up e-sports tournaments, leagues, and content. The site is currently in beta, but it has already helped manage 600 live tournaments.

The company plans to use the influx of cash to fund further development of its platform.

Webinar

Three top investment pros open up about what it takes to get your video game funded.

Watch On Demand

“We’ve built the foundation, it’s time to build the skyscraper,” Battlefy founder Jason Xu told GamesBEat. “E-sports management begins with organized competitions, but extends to player and content management. This round allows us to extend functionality to support the rest of the management process, as well as new games. This is the 2nd stage of our journey to become the end-to-end technology solution for e-sports.”

While anxious developers are jumping into a competitive space dominated by Riot’s League of Legends, developer Valve’s Dota 2, and Blizzards StarCraft 2, Battlefy is looking to capitalize on the industry by providing the tools that make those popular leagues work — and e-sports is popular.

The most-recent League of Legends finals had 32 million viewers, which is more than the 18 million viewers the NBA finals had on ABC. For the same event, League of Legends fans filled up the entirety of the Staples Center, which is where the L.A. Clippers and L.A Lakers play.

“I believe that e-sports is the next big entertainment and marketing investment thesis,” said Mohn. “When Riot Games can sell out Staples Center in 20 minutes so people can watch video gamers compete, something massive is happening. Battlefy is one of the few companies perfectly positioned to help make this happen and be a huge part of the success.”

Battlefy obviously has a bigger plan. Over the last year, it has focused on the tournament platform. With investments from William Morris Endeavor, one of Hollywood’s biggest talent agencies, the company is also looking hard at the possibility of providing management for the big-name players in competitive gaming.

That future is important because Battlefy isn’t making any money as of right now.

“We are not revenue generating at the moment,” said Xu. “Our revenue plan is tied to our future product roadmap, so details will be for a future release. What I can say today is our users have voiced interest in paying for add-on features, so part of our revenue stream will be premium features/services.”

 

Reblog this post [with Zemanta]

GamesBeat

GamesBeat's creed when covering the game industry is "where passion meets business." What does this mean? We want to tell you how the news matters to you -- not just as a decision-maker at a game studio, but also as a fan of games. Whether you read our articles, listen to our podcasts, or watch our videos, GamesBeat will help you learn about the industry and enjoy engaging with it. How will you do that? Membership includes access to:
  • Newsletters, such as DeanBeat
  • The wonderful, educational, and fun speakers at our events
  • Networking opportunities
  • Special members-only interviews, chats, and "open office" events with GamesBeat staff
  • Chatting with community members, GamesBeat staff, and other guests in our Discord
  • And maybe even a fun prize or two
  • Introductions to like-minded parties
Become a member