An insider reported about the sale of CLG.
Insider and journalist Travis Gafford reported on the sale of the CLG organization. According to his information, the club can close the esports department, and the brand's future is unclear.
What assets did CLG have in CS:GO?
Previously, CLG was one of the best teams in America and regularly participated in the Majors, but in 2017, the club refused to have a male team in CS:GO. After that, CLG was left with only the women's roster CLG Red, which was thoroughly updated in the middle of 2022. Currently, the team is the best women's team in America. Most likely, players will have to look for a new organization.
Financial problems affected a huge number of clubs
This is far from the first news about closures this year. First, there was information that FaZe Clan has colossal financial problems and may go bankrupt this year. Heroic also experienced problems. The club barely collected funds to survive until the end of the summer, and the organization will have to arrange many more meetings with investors.
Astralis also faced financial problems. The company is public, so its shares are traded on the stock exchange. And with the entry into the stock exchange, the shares of the Danish club constantly fell in price, which fell three times. The club is trying to get out of this situation, and so far, it is succeeding.
We should not forget about the most recent example. IHC, which sold an up-and-coming Mongolian team for CS:GO. At the moment, it is not known what happened to the organization. However, it is on the verge of bankruptcy.
TSM has not yet had time to sign the CS:GO roster, but rumors have already begun that the organization may abandon many rosters. So far, the club denies the problems and is still preparing to return to CS.
The clubs' financial problems are related to various reasons, but it is possible to trace the general crisis in esports, which is an unfortunate trend.
What will save the scene?
The only thing that can save the scene now is the publisher's increased influence. In the case of CS:GO, the developer himself is the publisher. And it is still unclear how Valve will react to this news. The company started to engage in CS and regularly provides financial support to clubs with the help of stickers on Majors. Is this support enough for organizations? We will find out at the end of this year.
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