Amid doubts about the Call of Duty League’s future, Activision reached a new agreement with organizations that better support teams financially moving forward.
Activision made four concessions to team owners in a new deal that should help support the Call of Duty League’s future. First, the CDL canceled entry fees and will issue a full refund of the $25.1 million. Activision will also give each team a one-time $2 million payment. Next, teams will earn increased revenue from their store bundles in Modern Warfare 3 and the CDL Champs bundle. To incentivize hosting events, the league is increasing event subsidy amounts for organizations who step forward and host Major, Opens, and Champs. Lastly, teams will receive a two-year minimum guarantee of revenue.
“Our teams have a huge role in shaping that future, and by investing more in them with these changes, we hope to continue propelling the CDL forward,” Activision said.
On March 1 OpTic Gaming founder Hector “H3CZ” Rodriguez and Call of Duty legend Seth “Scump” originally got the ball moving by filing a lawsuit against Activision Blizzard seeking nearly $700 million in damages for holding an “unlawful monopoly” over the Call of Duty League. On March 13, H3CZ and Scump had their lawsuit dismissed by a U.S. court, putting the final decision in the hands of an arbitrator.
Tensions around the League’s health certainly weren’t eased when Activision announced on April 11 that Charlotte would no longer host Major 4. The LAN event will now occur without a live audience in Burbank, CA, from June 27 to 30. An increased event subsidy amount should hopefully present this problem happening for a third straight year next season. Since teams will now earn more revenue, and there is no longer an exorbitant entry fee, this deal also opens the door for new organizations to field a competitive CoD team. Activision’s re-commitment to the CDL should hopefully clear up any immediate doubts about the league’s future.
