Microsoft Purchases Esports Company Smash GG

In what is their latest move in the gaming world, Microsoft has completed the purchase of Esports event management company Smash GG. Following the launch of the Xbox Series X last month, the tech company has acquired the Smash.gg website, which aids the organizing and managing of gaming events.

Smash GG has already stated that their operation will continue running, however a post on their site confirmed the news surrounding Microsoft, reading: “Since we started in 2015, our goal has been to build active esports scenes around the games people love to play. Smash.gg has been acquired by Microsoft!”

What the Deal Will Mean for Both Parties

Microsoft also confirmed the deal through its MSN Esports brand, which was established to live stream tournaments and popular personalities. While it is unknown how much Microsoft paid for the acquisition of Smash GG, it is thought that it was a major investment.

Microsoft was formally listed as a partner company of Smash GG, with the tech giants hoping that the move goes better than their purchase of Beam back in 2016. The streaming service was acquired in an attempt to compete with Twitch, however following a rebrand to Mixer, the platform was ultimately unable to keep up with their Amazon rival. Mixer eventually closed down at the beginning of 2020.

Why Microsoft Continues to Invest in Gaming

However, Microsoft has had major success in the gaming scene over the years, having invested heavily in games and software. $2.5 million was spent on Minecraft in 2014, before $7.5 million was needed to acquire Fallout, Doom and The Elder Scrolls maker ZeniMax Media earlier this year. Meanwhile, the Halo franchise is one of the biggest in gaming history, which Microsoft has owned since 2001. With the industry now being worth an estimated $120 billion, it comes as little surprise that Microsoft is continuing to make their mark.

Speaking on the deal via Twitter, Smash GG posted the following: “With this acquisition, the Smash.gg community and tournament organizers will continue to benefit from the Smash.gg platform, while our team will now benefit from additional resources and support as part of the Microsoft Content Services team.

“For now, it’s business as usual as our combined team continues to support our community and tournament organizers. We’re excited about this acquisition’s potential to further empower the esports community and expand Smash.gg’s reach and scale.”