Sentinels CEO Rob Moore shared optimistic views on the esports organization’s future and revenue in 2024 and beyond, pointing to social media engagement and VALORANT‘s revenue-sharing program following controversy over a letter that suggested they could only operate for a few more months at their current expenditure.
“We’re hopeful in reducing losses and be soon profitable,” he said in an interview from Aug.9 with George Geddes. “We’ve raised capital internally, our investor group is very committed to the strategy that we have and the intention is that we will continue to provide funding for the operation.”
The interview was a response to the public scrutiny Sentinels received following an offering letter submitted to the U.S. Securities and Exchange Commission that highlighted significant financial losses.
In 2021, Sentintels reportedly lost $8.2 million, taking into consideration the costly expenditures such as marketing, sales, and general costs.
Rob Moore reassured fans by explaining they shouldn’t be alarmed by those numbers since the aim of the document was to “lay out all … different possible outcomes for investors” and outline the risks of the venture, which are enhanced by opening investing to their fans.
Sentinels’ CEO argued the organization showed promise heading into 2024, boasting the highest engagement out of all North-American organizations on Twitter. Rob Moore said it tried to catch up to competitors such as 100Thieves and Cloud9 and expected to reap the rewards of that investment in 2024.
A big part of Rob Moore’s hopes for Sentinels’ financial success in 2024 hinges on VALORANT’s revenue-sharing program, which will launch next year.
It will introduce in-game digital content, offering a way for fans to support their favorite teams by buying team-themed cosmetics, with a part of those revenue going directly to the team.
He showed optimism about this new revenue stream with a “tangible, potential payoff” that he estimates can generate over $10 million in total team revenue.
While the Sentinels CEO seemingly has high hopes for the 2024 year in esports, other VALORANT teams will reportedly reduce spending and player salaries heading into the new year, including 100Thieves and Cloud9.
This doesn’t come as surprising news in the context of an “esports winter,” where most top teams across all regions have started cutting costs by reducing their number of active esports teams and laying off staff. In July, it was highlighted by a mass exodus of VALORANT teams from the Game Changers circuit.
In this worrying landscape, Sentinels are on the rise, though. Created in 2018, it rapidly cemented itself as a pillar of VALORANT‘s North American scene. Meanwhile, the organization’s crowdfunding campaign is still open and has amassed over $64,000 since its launch.
