Pixel P&L: Why the FGC Rejects the Esports Label

Good Morning. It’s Thursday, July 25. Today, we delve into the reasons behind the Fighting Games community's resistance to becoming part of the esports mainstream. Additionally, we report on Nintendo's controversial decision to revoke the victory of a team that won the Splatoon 3 World Championship. In other news, we cover the rumored release of Sony’s PlayStation Portal in the Indian market, along with other significant stories shaping the gaming industry.

If this is your first time reading this, sign up here.

Evo 2024 shattered records as the largest physical esports event ever, with over 10,000 competitors and even more attendees. The resurgence of fighting games, both new titles and classics like Street Fighter III: 3rd Strike, has fans thrilled. But beneath the surface, a fierce debate rages on: Is Evo truly an esports event?

The FGC has thrived on grassroots events, resisting developer control and maintaining a unified, inclusive community. Esports, on the other hand, is often fragmented and driven by corporate interests. Now, as esports organizations pour sponsorship money into the FGC and developers like Riot Games eye control, tensions are boiling over. Riot’s new fighting game, 2XKO, previewed at Evo, could be a game-changer—or a community wrecker. The FGC’s fierce independence is clashing with the corporate, developer-driven model of esports, and the future is uncertain.

Our latest feature explains why many dedicated members of the Fighting Game Community (FGC) vehemently oppose the esports label. 

Nintendo has revoked the victory of Jackpot, the team that won the Splatoon 3 World Championship earlier this year, following allegations of misconduct against several players. A statement released on the Nintendo VS X account yesterday declared the win "considered vacated," and the team will not receive trophies. "It has come to our attention that certain members of team Jackpot... acted in a manner that is not in line with our community guidelines while playing the Splatoon 3 game," Nintendo stated.

Although Nintendo did not detail the allegations, Polygon reported that another competitive Splatoon player shared evidence in June showing team members using racist language and slurs in social media posts and Discord chats. Additionally, clips surfaced of these players using racist terms during online match streams. These revelations prompted Nintendo to take swift action against the team.

In response, Nintendo announced that a Splatoon 3 in-game cosmetic item, a Splashtag featuring the team's characters from the championships, will be altered in an upcoming software update. "Nintendo cares deeply about our players and our community, and we take our responsibility to uphold our community guidelines seriously," the company asserted. 

Sony’s PlayStation Portal Poised for Indian Market Entry

Sony's PlayStation Portal, a handheld gaming accessory for the PlayStation 5, has been available in the U.S. since November 15 last year. Now, rumors suggest its imminent entry into the Indian market. Indian gaming industry expert Rishi Alwani, on his blog High Chaos Run, reports that the PlayStation Portal is expected to launch in India at a price of ₹20,000. Alwani indicates that retailers suggest a release date around late July or by August 15. Although the exact launch date is uncertain, the anticipated arrival has generated significant interest among Indian gamers.

Netflix Appoints Alain Tascan as New President of Games

Netflix announced today that Alain Tascan, formerly the EVP of game development at Epic Games, has been appointed as the new President of Games. Tascan, who oversaw development on titles like Fortnite, Rocket League, and Fall Guys at Epic, will lead Netflix’s expanding games division, which includes studios like Next Games and Night School Studios. The former VP of Gaming, Mike Verdu, shifted roles last month. Reporting directly to co-CEO Greg Peters, Tascan will guide Netflix’s gaming strategy with over 100 games currently on its platform and a dozen more planned for release. Tascan expressed enthusiasm for redefining the future of gaming with Netflix’s innovative approach.

Meta Advocates for Open-Source AI with Llama 3.1 Release

Meta CEO Mark Zuckerberg has announced the release of Llama 3.1, a powerful open-source AI model. Accompanying the launch, Zuckerberg published a manifesto advocating for open-source AI development, receiving praise from tech leaders like Elon Musk and Jack Dorsey. Zuckerberg argues that open-source AI democratizes technology, promoting innovation and accessibility. However, critics warn of potential societal harms and security risks associated with open-source AI.

Twitch Updates Sexual Harassment Policies for Enhanced User Safety

Twitch has revised its sexual harassment policies, providing clearer guidelines and a new AutoMod feature to detect offensive chat messages. While the core policy remains unchanged, the update aims to enhance understanding and enforcement. Twitch defines sexual harassment as non-physical behaviors causing discomfort or fear and prohibits unwanted comments, sexual advances, and non-consensual sharing of intimate content. This move follows allegations against streamer Dr Disrespect, resulting in his ban and severed ties with multiple companies. Twitch recently reinstated Donald Trump's account amidst these policy changes.

Did you know that Nvidia, now a tech giant with a market cap of $2.87 trillion USD, was conceived over coffee at a Denny's in San Jose? In 1993, three visionary engineers, Jensen Huang, Chris Malachowsky, and Curtis Priem, met at the popular diner to discuss their ambitious idea of creating a company dedicated to accelerating graphics processing.

Over a casual conversation in that Denny's booth, they laid the foundation for what would become one of the most influential companies in the tech industry. Their vision was clear: to develop cutting-edge graphics technology that could revolutionize computing and gaming. This meeting was the catalyst for the birth of Nvidia, which would go on to introduce groundbreaking products like the GeForce 256, the world's first GPU.

From these humble beginnings, Nvidia has grown exponentially, driving innovations in gaming, artificial intelligence, and professional visualization.