Yahoo Drafts E-Sports To Take On Google YouTube, Amazon.com Twitch

By | March 2, 2016

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Yahoo ( YHOO ) is adding competitive video gaming to its sports offerings, as professional gaming — or e-sports — continues to cross over to the mainstream. The company on Wednesday announced the launch of Yahoo Esports, an online channel devoted to online video gaming, including expert commentary and interviews with top players. The service will also feature articles, scores, team rosters, schedules, player rankings, calendars and statistics. According to research firm Newzoo, global e-sports revenue will rise 42% to $463 million this year. ESPN in January announced its own foray into e-sports. The popularity of e-sports is rising as an increasing roster of corporate sponsors launch new events. In a display of the industry’s growing allure, Amazon.com ( AMZN ) bought video-game-streaming company Twitch for more than $1 billion in 2014 . The epicenter for electronic sports competition is South Korea, but pro video game tournaments are catching on in the U.S. and bringing competitive video gaming to a global audience. Platforms with live and on-demand broadcasters include U.S.-based Twitch and Google YouTube (a division of Alphabet ( GOOGL )) along with China’s YY ( YY ). “We’re approaching our coverage of e-sports with the same tenacity and professionalism we always have with Yahoo Sports, News and Finance,” Bob Condor, sports media vice president for Yahoo, said in the company’s news release. “We’ve gone out and assembled an experienced and innovative content team that will cover e-sports from every angle.” At launch, Yahoo Esports will focus its coverage around “League of Legends,” “Dota 2,” “Counter-Strike: Global Offensive,” “Heroes of the Storm,” and “Street Fighter V.” Additional titles will be added over time. Yahoo Puts Hopes In Mavens Sunnyvale, Calif.-based Yahoo is facing competition for advertising from Facebook ( FB ), Alphabet, Netflix ( NFLX ), Snapchat and Pinterest, while Yahoo CEO Marissa Mayer is under fire from investors who are inpatient for profits and want to oust her from her job. The beleaguered Web portal recently hired three investment banking firms to evaluate potential bids for the sale of its core Internet operations. The company has said it is looking at its strategic options and has been cutting costs, including laying off 15% of its staff — about 1,600 jobs — and closing several offices overseas. Mayer’s turnaround plan for the company includes continued investment in what the company calls “Mavens” — mobile, video, native ads and social businesses — where its ad revenue is growing. Mayer recently said that Yahoo’s consumer products division going forward will consist of three global platforms — Search, Mail and Tumblr — and that it will focus on four vertical markets: news, sports, finance and lifestyles. On Monday, Yahoo also said that it may have to write down the goodwill  value of Tumblr, more than two years after spending $1.1 billion to buy the microblogging site. Yahoo said earlier that it took a $230 million impairment charge related to Tumblr. Yahoo stock was up a fraction in midday trading in the stock market today , near 33. Stock in Facebook, Alphabet, Amazon.com and Netflix were all down at least a fraction in midday trading Wednesday. Image provided by Shutterstock . Scalper1 News

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