The decision by BMW to cut ties with esports has sparked concern among industry experts, who fear that other non-endemic brands may also begin to pull away from partnerships.

BMW has been a prominent figure in the esports world, partnering with 11 different organisations between 2020 and 2023.

Commenting on BMW’s choice to move away from esports, corporate communications representative, Torsten Julich said the company has decided to end its esports engagement from the beginning of 2023 to focus on the individual.

New York University professor and director of the esports and gaming initiative, Jason Chung, added: “You have to translate that value not just to your own people, but also to the outside world and investors who are demanding things like ROI, KPIs, and that stuff.”

This shift in strategy is reportedly driven by BMW’s recently announced “i Vision Dee” concept car, which comes with a heads-up display unit that can project images across its entire windshield.

While BMW has not yet revealed exactly how games might be played or streamed on the car’s display, it is clear that the company is looking to shift its focus from esports to other facets of the gaming space, including in-home casual gaming and the metaverse.

The decision by BMW is being seen as a reflection of mounting scepticism among non-endemic brands with regard to the marketing power of esports partnerships.

Marketers are beginning to see that individual gaming influencers can offer the same level of engagement for less money, and working with individual influencers can help cushion the blow of ads in the gaming entertainment.

Esports organisations are now facing an uncertain future, as they are still reliant on partnership revenue to stay afloat.

Many organisations are exploring new revenue streams such as original content and even record labels in a conscious attempt to escape their dependence on brands.

Elsewhere in the esports world, ESL FACEIT sat down with Ministry of Sport, to discuss their plans for the APAC region.