Counter Logic Gaming will reportedly close its doors as an esports organization in the very near future, with mass layoffs set to hit the company later this week, according to League of Legends reporter Travis Gafford. The shock April shuttering will also see CLG sell off all esports teams, particularly its League roster.
Employees at the North American esports company have reportedly been informed that layoffs will begin at CLG as early as this Thursday.
CLG will keep its 2023 League team in place and competing for the time being, although a sale of the franchise’s long-held LCS slot is reportedly in the works. The lead candidate to purchase CLG at this time is Los Angeles-based organization NRG Esports. NRG previously competed in the LCS during the 2016 season, and currently holds a franchised slot in the Riot Games-organized VCT Americas VALORANT league.
This news comes days after a report surrounding fellow foundational LCS organization TSM, and how it would be looking to move out of esports and also look to sell its LCS franchise slot. CLG and TSM are two of the oldest organizations in League history and are the only two teams to compete in every single split of the LCS in both the pre-franchised and current eras of the league’s existence.
Although it’s unclear at this time where this decision is coming from, it’s likely that move is being made by CLG’s parent company, the New York-based Madison Square Garden company, according to Gafford’s report.
Update April 4 12:20pm CT: Dot Esports has received the following comment from a spokesperson for MSG Sports: “While changes like this are always difficult, we are streamlining CLG’s operations to better position the company for long-term success, and are also currently exploring strategic alternatives for the business.”
Published: Apr 3, 2023 07:03 pm