<
>

Estimate: Brands will spend $325 million on esports in 2016

A market intelligence firm says there are 33.4 million esports fans in the United States, and 60 percent of them are age 35 and younger. Riot Games

Spending on esports by companies will reach $325 million in 2016, according to a new report published by market intelligence firm Newzoo.

Newzoo estimated that brands would spend $128 million sponsoring esports teams and tournaments, and will spend $197 million in advertising around esports video content.

Newzoo further estimated that the brands would spend $800 million in the sector by 2019.

Some of the biggest companies in esports include Coca Cola, Pepsi, Red Bull, Nissan and Intel. Pepsi just launched an energy tea product by announcing a partnership with OpTic Gaming.

Big-name investors that have recently entered the game include former NBA players Rick Fox and Shaquille O'Neal and New York Yankees third baseman Alex Rodriguez, who has made more money on the field than anyone in the history of the game.

Newzoo says there are 33.4 million esports fans in the United States and 60 percent of them are age 35 and younger.