In 2023, the esports industry encountered a series of unprecedented challenges. A surge in inflation from 2021 to 2023, compounded by Russia's invasion of Ukraine in 2022, led to a period of economic turbulence that reverberated across companies operating within the sector. As a prominent figure in Portugal's esports landscape and a long-standing member of the European ecosystem, Inygon found itself grappling with these complexities. While the road was tough, we firmly believe that challenges are opportunities in disguise. With unwavering determination, Inygon is poised to not only overcome these hurdles but also shape a brighter future for itself and the entire esports community.
The Impact on Inygon
In 2023, Inygon, like many other esports entities, faced its fair share of obstacles. The tumultuous market environment, coupled with disruptions to our usual yearly operations, while handling major national competitions across two distinct games, amongst other smaller ones, underscored the need for stability and the importance of our role in the development of our local industry, consequently contributing to our role in the EMEA region. As TO’s we have an added responsibility to our community, teams and partners and their development in the industry.
Challenges Laid Bare
The onset of the year marked an unfortunate and unprecedented challenge in our nearly decade-long journey. This ordeal shed light on certain vulnerabilities within our current business model. For the first time, we encountered a client who failed to meet their contractual commitments, highlighting the need for more robust contingency plans. Additionally, delays in finalizing the 2023 deals underscored the extent to which our products rely on partnerships for monetization, prompting us to reevaluate our strategies. Such situations not only affect our internal operations, but also snowball into complications in our relationships with our stakeholders, which we shouldn’t allow to happen and need to address urgently. As such, these experiences have provided valuable insights, spurring us to explore innovative solutions to rectify and proactively address these situations moving forward.
The Reasons for Restructuring
Our dedication to continue building Portugal's esports sector, while addressing our international challenges, remains unshaken. In order to fortify our core structure and secure a sustainable future, Inygon has made the strategic decision to undergo a comprehensive company-wide restructuring. Several key factors drove this pivotal choice:
Product Focus: Our national competitions are two of the biggest drivers of our national industry and offer players the opportunities to explore and progress their professional careers. We want to continue investing and developing them and make them references within the EU ecosystem.
Financial Viability: The competitive landscape within esports demands a resilient financial foundation, especially with our role as one of the pillars of the local industry. Our restructuring endeavors aim to optimize resources, processes and profitability.
Enhancing Efficiency: Operational excellence is paramount for serving our community and partners effectively. Streamlining processes will afford us greater agility and responsiveness.
Embracing a New Vision: Change is the catalyst for progress. This transformation is poised to align Inygon with the evolving needs of the industry, unlocking new and exciting prospects.
The Restructuring at Inygon
As part of this restructuring, a series of pivotal initiatives will be set into motion:
Innovative Product Development: Innovation takes center stage. Our efforts will pivot towards developing fresh, cutting-edge products and experiences for the esports community, unveiling new horizons and projects.
Strengthening Partnerships: The cornerstone of our success lies in robust partnerships. Transparent communication and collaboration are the bedrock of these relationships, driving greater value to our stakeholders.
Improved Team Structure: Our aim is to cultivate a more efficient, capable workforce with a heightened focus on developing core products, with flexibility for our foreign operations that will not diminish our ability to operate beyond these boundaries or on international terrain.
Supporting Our Former Staff: The contributions of our recently departed team members are deeply appreciated. We stand committed to aiding them through this transition, actively assisting in their pursuit of new employment opportunities.
Focused Leadership: Inygon is poised to embrace fresh leadership, embarking on a new vision accompanied by a renewed strategic approach. The current leadership will transition to a new setup, without losing their invaluable guidance and expertise.
Commitment to the Community
We understand that our journey would not be possible without the incredible support and enthusiasm of our dedicated community. Your passion for esports has been the driving force behind every success we've achieved, and we are deeply grateful. Moving forward, we're committed to bringing ourselves even closer to you. We're listening to your feedback, your suggestions, and your concerns. Transparency is paramount to us, and while there may have been moments when communication fell short, it wasn't due to a lack of desire for a connection. Our focus on developing exceptional products and delivering high-quality broadcasts led us to allocate resources in those directions. But now, as we step into this new chapter, we're excited to reallocate those resources to enhance our communication with you. We want to bring you inside our world, sharing our progress, challenges, and victories and run more initiatives and events that are all about celebrating our vibrant community and our favorite games.
Embracing the Future with Confidence
Within Portugal's esports arena and throughout the EMEA region, Inygon holds a vital role. Our commitment to nurturing the community, championing fair play, and cultivating a positive gaming atmosphere is unwavering. Although the restructuring journey may present challenges, we are resolute in the belief that it positions us for an even more formidable future. Together, alongside our dedicated community, we are committed to shaping a flourishing, positive esports industry in Portugal—one that commands pride and respect.
