by The Call of Duty League has recently unveiled significant structural overhauls aimed at bolstering team revenues, alleviating outstanding entry fees, and enhancing event hosting capabilities.
One of the headline changes involves the complete elimination of all outstanding entry fees owed by franchises.
Additionally, any previously collected fees will be fully refunded, injecting an immediate influx of capital into all participating teams.
This move mirrors a similar strategy employed by Activision Blizzard in its Overwatch League before the league transitioned to a different model in 2023.
In a statement by Call of Duty Esports’ General Manager, Daniel Tsay, emphasized that entry fee payments, which had been paused for years, are now officially waived.
Today we announce major changes to our CDL Team Agreements to create a stronger, more sustainable league.
Read more here: https://t.co/YF3Fs6F8fD pic.twitter.com/OlsVsGQU4Y
— Call of Duty League (@CODLeague) April 16, 2024
For instance, OverActive Media, the parent company of the Toronto Ultra franchise, disclosed that their remaining entry fee amounted to $25.5 million, with an additional one-time payment of $2 million.
This initiative aims to provide financial relief and stimulate growth within the league.
Following industry trends, the Call of Duty League will also introduce measures to boost team revenues from in-game merchandise sales, including team bundles and the annual Champs bundle.
Furthermore, franchises will benefit from a two-year minimum revenue guarantee, although specific figures for these revenue streams have not been disclosed.
The league is placing a renewed emphasis on supporting events, particularly those organized by franchises, such as Majors, Opens, and Champs.
Franchises hosting these events will receive increased subsidies, intended to bolster their ability to stage high-quality competitions.
This move underscores the league’s commitment to fostering a vibrant and sustainable esports ecosystem.
Adam Adamou, CEO of OverActive Media, praised the changes, highlighting the recognition of organizations like Toronto Ultra and the invaluable contributions of fans and partners to the growth of Call of Duty esports.
These developments coincide with a pivotal moment for Activision Blizzard, which was acquired by Microsoft and has announced significant shifts in their Overwatch esports structure.
Overall, these strategic adjustments signify a proactive approach by the Call of Duty League to fortify their competitive landscape and ensure the long-term prosperity of their franchises.
