Six Trends to Watch in the Next Great Entertainment Revolution

NEW YORK, Dec. 18, 2019 /PRNewswire/ -- The gaming industry isn't just growing, it's exploding. The $1 billion esports segment, for example, is taking on traditional sports in a big way. By next year, tech consulting firm Activate estimates that 70 million people will watch a single esports final. That's more than many major sporting events attract. In just two years, esports is set to have 84 million viewers. Mentioned in today's commentary includes: Comcast Holdings Corporation (NYSE: CCZ), AT&T, Inc. (NYSE: T), Intel Corporation (NASDAQ: INTC), Advanced Micro Devices, Inc. (NASDAQ: AMD), Micron Technology, Inc. (NASDAQ: MU).

From game development to media rights, data collection, streaming, and more, the industry is finding its feet. Here are six things pushing the industry into the future:

#1 Esports Arenas

Comcast Holdings Corporation (NYSE: CCZ) knows exactly how big the esports industry might become. That's why it's recently announced it will build a $50-million arena specifically for esports.  

The 'Fusion Arena' will be housed in downtown Philadelphia and it will be able to comfortably seat over 3,500 people. It will also have more than 2,000 square feet of LED screens, training facilities and private rooms for players to stream video to their fans.

This will be the home of Comcast's own esports team, the Overwatch League, but it will also be the East Coast esports hub.  And it's a first: The first-ever arena built from the ground up, solely for esports.  

The arena is slated to open its doors in 2021 and is symbolic of Comcast's determination to become a leader in the esports revolution.

Comcast has plenty going for it right now, with Q2 2019 gains that showed revenue up 24% year-on-year last quarter and adjusted profits up 13%. Cable TV is still a drag, but Comcast may have found its next great revenue driver.

#2 All-In From Every Direction

If you really want to get your game on in this segment, Torque Esports Corp (GAME.V, MLLLF) is a great option. One of the best ways to monetize this industry is to take a wide approach. That's what Torque is seeking to do.

It's securing multiple revenue streams, including everything from game development (think: Formula One) to one of the most important aspects of the monetization puzzle: data collection. 

One of the biggest growth areas in esports is game development, and Torque (GAME.V, MLLLF) is on the fast track in more ways than one. And with one of the top media minds in the game backing the company, Torque is looking even more promising.

Tom Rogers is a media legend known for mega deals.Not only did he revolutionize media as the CEO of TiVo. He also brought BOTH Netflix and Amazon to the TV screen. He even revolutionized business news coverage through the creation of CNBC.

In fact, he's a regular guest on CNBC... as wells as Fox Business Network, Bloomberg TV, and MSNBC. And, just now, Tom Rogers just announced his latest new media deal. He announced the combination of 3 companies with the goal of dominating the gaming and esports streaming industry.

Lesley Stahl of CBS News, in announcing his induction into the Broadcasting & Cable Hall of Fame, said, "Rogers is a guy who gets things done... and he transforms companies along the way." And he's looking to transform Torque (GAME.V, MLLLD) into the next big media giant.

#3 The Hardware Advantage 

The gaming industry is absolutely reliant on new innovations in the world of hardware, and Micron Technology, Inc. (NASDAQ: MU) is a force in this world.

From ultra-fast solid-state drives to RAM and graphic card memory, Micron has pushed the boundaries of what is possible for computers, both inside the gaming world and out. Its main export? Memory. And it's fueling the esports revolution. Whether it be streaming or developing new games with faster speeds and better graphics, memory is responsible. And Micron is the leader in this field.

Not only is Micron fueling a gaming boom, but it is also applying its knowledge and expertise of the technology to other sectors. In fact, it's carving its way into the Internet of Things revolution and even deep into scientific endeavors, teaming up with CERN with deep learning and memory solutions to help physicists solve some of the biggest questions in the universe.

#4 Chipmakers Galore

Advanced Micro Devices, Inc. (NASDAQ: AMD) is another monster hardware producer helping to fuel the gaming boom. In fact, it is responsible for the renowned Radeon graphic card series. Their cards are widely favored among serious gamers and professionals alike.

The company is also constantly producing software vital to the gaming experience, from power management to software that optimizes how computers are used when playing games. 

With such a clear devotion to gaming, it's easy to see why AMD is a leader in the field. Now only are they considered by many as the top chipmaker in the business, they're also supporting the growth of esports, as a whole. Currently, AMD is sponsoring two esports teams, Fnatic and Evil Geniuses. 

#5 Leveraging Telecom Domination

AT&T, Inc. (NYSE: T) acquisition of Time Warner Inc has launched the telecoms giant squarely into the esports arena. That $85-billion mega merger brought things like ELeague and Rooster Teeth into the AT&T fold. ELeague is part of Turner Sports, a subsidiary of AT&T's WarnerMedia, which televises its major events.

Nintendo just announced in August that it is partnering with Eleague to broadcast The Nintendo 2019 World Championships on CBS, and Eleague hosts a lineup of other popular competitive games including Rocket League, Counter-Strike: Global Offensive, Street Fighter V, and Overwatch. And perhaps more importantly, 5G might be the holy grail of the esports future - and AT&T is all over that.

#6 The Biggest Tech Plays

None of this happens without the hardware, and Intel Corporation (NASDAQ: INTC) is one of the biggest esports proponents out there. As such, it's positioning itself firmly and very visibly in this segment. Right now, among many other things, Intel is investing heartily in digital tech for the upcoming Tokyo Summer Olympics in 2020.

And it's not just hocking hardware, either. It's take a center-stage approach, hosting and broadcasting esports tournaments ahead of the Olympics, including Street Fighter V and Rocket League. Welcome to the Intel World Open, with a $500,000 prize pool. 

This is where to watch for the tech advances. Intel is planning innovations for 5G platforms, combining artificial intelligence and esports.

It's also planning to employ 3D Athlete Tracking (3DAT) technology - a pioneering tech using AI to enhance the view experience for Olympic fans. Further, it's working on using virtual reality for training.

We expect big things from this hardware company that has proven to be much more than a backend onlooker. They're in the front row of the esports arena.

By. Ian Rogers

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