Sprout Esports shuts down
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Sprout Esports has closed its business after seven years of operations.
As reported by EsportsInsider, Sprout attributed the shuttering to its business being unable to sustain itself further.
The firm's announcement on social media said, "When looking at alternative strategies, e.g., increasing incentives to increase the potential of success, we found that this model carried risk above what we'd consider our comfort zone."
"Embracing a model that deviates significantly from our established approach has been deemed too risky for us to pursue."
The esports organization also said maintaining its operations has struggled since its establishment in 2017.
Sprout's closing suggests a continued downturn in the competitive gaming sector.
Check out GamesIndustry.biz's latest esports feature, which says that more market consolidation is expected for the esports market.
Read more on gamesindustry.biz
