Recent news further demonstrates the continued growth of the esports industry, even during the pandemic. VSPN (Versus Programming Network), a comprehensive esports service provider, has secured funding of approximately $100 million in a Series B round. This investment was spearheaded by Tencent Holdings, with additional participation from Tiantu Capital, SIG (Susquehanna International Group), and Kuaishou. The capital will be utilized to enhance esports offerings and expand the ecosystem both within China and throughout Asia.

Established in 2016 and based in Shanghai, VSPN was among the first companies in Asia to specialize in organizing esports tournaments and developing related content. The company has since broadened its operations to include the management of physical esports venues.

Dino Ying, CEO of VSPN, stated: “We are pleased to announce this new funding achievement. Supported by government initiatives promoting Shanghai as a leading global esports hub, and with cities like Beijing, Chengdu, and Xi’an also demonstrating strong support for esports development, VSPN has experienced significant growth. Following this funding, we plan to establish an esports research institute, an esports culture park, and further extend our global reach. VSPN is committed to the long-term, sustainable growth of the worldwide esports community.”

Speculation about Tencent’s potential investment in VSPN arose in March when Mark Ren, COO of Tencent Holdings, publicly announced Tencent’s intention to collaborate with tournament organizers like VSPN to deliver more premier esports competitions.

As reported in August, Tencent, already the world’s largest video game publisher, announced plans to merge Douyu and Huya, two previously competing live-streaming platforms focused on gaming content.

Therefore, Tencent’s investment in VSPN underscores its continued commitment to the expanding esports market.

This Series B funding round occurs four years after VSPN’s Series A funding in 2016, which was led by Focus Media Network, with contributions from China Jianteng Sports Industry Fund, Guangdian Capital, and Averest Capital.

Currently, VSPN serves as the primary organizer and broadcaster for international PUBG MOBILE competitions, as well as China’s leading tournaments for Honor of Kings, PUBG, Peacekeeper Elite, CrossFire, FIFA, QQ Speed, and Clash Royale. This encompasses a total of 12,000 hours of original content. The company collaborates with over 70% of esports tournaments held in China.

In March, ESL, another major esports organization, partnered with Tencent to participate in the 2020 PUBG Mobile esports circuit.

Beyond its core business of tournament organization and content creation, VSPN operates branded esports venues in Chengdu, Xi’an, and Shanghai. In May, the company launched its first international venue, V. SPACE, in Seoul, South Korea.

Live events are also resuming. VSPN hosted the first large-scale esports event with live spectators in August. The League of Legends S10 event will accommodate 6,000 attendees. However, all tournaments will adhere to stringent COVID-19 safety protocols and require approval from the Chinese government, and not all esports events are currently permitting live audiences.

VSPN intends to continue developing an esports short-form video ecosystem, improving the quality of its content, and expanding its reach through various platforms. The company currently employs over 1,000 individuals across five distinct business units.