Game on? Esports as an enterprise tool

It might not have the draw of the recent FIFA World Cup, but esports has a global, and growing, following.

Research suggests the global esports market is worth some US$5bn, according to data firm Statista. This is growing steadily, with some analysts predicting that the sector will reach US$10bn by 2035.

At the same time, the number of esports players is significant: Statista predicts 925m users by 2030. In the UK, trade body UKie values the sector at £111.5m.

UKie's figures date from 2019, though, so are certain to underestimate both the value and levels of participation in esports, not least because of increased uptake of gaming during the Covid-19 lockdowns.

In the game

Esports, or competitive video games, are not new. According to UKie, the first “esports” event was the Atari Space Invaders Tournament, back in 1980; 10,000 dedicated fans took part. Since then, the trade body says, esports has become the world’s fastest-growing entertainment sector.

This makes esports an important industry in its own right. Saudi Arabia usually hosts the Esports World Cup (exceptionally, this year’s tournament was moved to Paris). The Kingdom has put esports at the centre of its Vision 2030 strategy for economic diversification, with the sector expected to employ 39,000 people by the end of the decade.

Closer to home, British Esports has built a 15,000 sq ft arena and the National Esports Performance Campus in Sunderland. Clearly, there is more to esports than playing Call of Duty in a darkened basement.

And, while the direct economic impact of esports – from games development, tournaments and events and even merchandising – is significant, there is another reason it is attracting attention. Esports is gaining recognition as a way to develop digital skills. And organizations are starting to view gaming, and especially esports, as a way to attract and retain talent.

British Esport cites figures from the Government’s Department for Culture, Media and Sport stating that 80% of advertised jobs now need digital skills. At the same time, the digital skills gap is costing the economy £63bn a year. And, despite a cooling market in some areas of the technology sector, employers still struggle to attract digital talent.

Military first

One of the earliest sectors to recognize this is defence. Esports in the UK armed forces has developed largely from the ground up. But the activity now has official backing, with esports facilities on RAF stations and Army barracks and even an esports suite on HMS Prince of Wales.

In 2024, the MOD recognized esports as an official, military sport. Last year, the MOD’s Cyber and Specialist Operations Command worked with the British Esports Federation to deliver a defence and industry tournament, the International Defence Esports Games (IDEG). This will be open to military personnel from Allies and partners around the world, in due course extending to veterans, cadets and players in the defence industry. The inaugural IDEG Finals will take place in Sunderland this October.

The connection between esports and workplace skills in the military is a direct one. As the MOD states, fast responses and hand-eye co-ordination, honed by competitive gaming, are essential for troops operating drones.

But, the MOD says, esports develops other key skills, such as cyber awareness, decision-making under pressure, and leadership.

This, of course, is not new.

“For centuries we’ve used ball games like rugby and football to develop teamwork, hone mental and physical fitness and build resilience," said Lieutenant General Sir Tom Copinger-Symes, at the time Deputy Commander of UK Cyber & Specialist Operations Command.

"We’ve also used games to discuss ethics - how to win, but win well. That’s increasingly relevant in a world of AI and autonomous drones on the battlefield. Esports perfectly complement these games in preparing us for 21st Century security challenges."

And it is those “soft” skills that make esports a valuable tool for business too.

Business next

Esports can, and possibly should, be part of any business’ digital skills toolkit. And using esports to develop teamwork and communications is in many ways more practical than physical sporting leagues.

“Gaming generally is a good way of getting people to learn. It taps into a human love of play and collaboration,” Adam Waters, director of AI culture and gaming at BFBS, the forces’ broadcasting and media charity, told ITPro.

“It doesn’t have to be a competitive Call of Duty league, which is what many think of when it comes to esports.” BFBS recently launched its own esports Pro League for the wider forces community, with an emphasis on casual gaming.

Waters is also seeing defence companies standing up esports teams to play alongside service personnel. “Esports itself is something more companies seem to be formally getting involved in,” he says.

“Something I’m seeing in a lot of organizations is a need for technical skills combined with emotional intelligence or ‘people skills.’ People who game in teams should look at developing these.”

One advantage of esports is the way it is built around teams, with teams competing in leagues based around individual games. This allows players to gain skills, not just from play, but from managing teams or even running tournaments. The broader emphasis on teamwork is one reason the military and cadet forces value esports.

Professional skills

Learning to develop professional and organizational skills through esports goes alongside leadership and communication skills. But the way esports fosters a sense of inclusion is also important, according to George Osborn, author of Power Play and Editor of Video Games Industry Memo.

“Outside of a handful of direct links between playing games and developing a useful professional skill, such as using a controller and becoming a drone pilot, esports develop similar soft skills to sporting activities,” he told IT Pro.

And businesses can also build esports into social activities, brand building and potentially, recruitment. Skilled workers might be more attracted to a workplace that reflects their interests, and esports can be part of that.

But Osborn cautions that enterprises need to be aware of cultural nuances around esports, and understand that building a community takes time.

Some esports, he says, are more commercial in nature; for others they are driven by the local gaming culture. Some games, such as fighting games, are even “properly countercultural”, he warns, and might not lend themselves to a corporate endeavor.

“Take baby steps to understand these things, align around communities that can work with you, and provide long-term support to a sector that is still finding its feet,” he recommends.