David Beckham-co-owned esports organisation Guild Esports has launched a new production and creative services division, Guild Studios.
The new division aims to offer creative, production and marketing services to various stakeholders in esports, including brands, agencies and media owners.
Samsung, one of Guild’s existing partners, has already agreed to receive services via Guild Studios, in addition to at least one other company — deals which in total have generated six-figure revenues, according to the London-based organisation.
Guild Studios partnered with Samsung earlier this month to support the launch of the Samsung Galaxy S23. Guild created an ‘influencer talent-led’ event, followed by a ‘Roll-Up Mobile Esports’ day to showcase the gaming capabilities of the Galaxy S23.
This new consultancy venture will be a welcome sight for Guild executives. In its latest annual report, the company saw a loss before tax of £8.75m, and had just £1.6m of cash left as of January 25th. The company’s independent auditor also stated in the report that without more funding, Guild may not have the necessary funds to continue operations.
When the report was first released on January 31st, Guild claimed that it is in the process of conducting a fundraise. However, the report was later re-released, clarifying that “it has had initial positive conversations with its brokers about a fundraise, however, as yet no financial adviser has been engaged to conduct a fundraising and no timetable or pricing for such an issue has been decided.”
Beckham, who remains a co-owner of Guild, still has no representation on the Board of Directors after his representative and business partner David Gardner stepped down in June last year. Per Beckham’s contract with the company, he is entitled to one Board spot.
The former England and Manchester United football player originally was guaranteed payment of £15.25m over five years, in addition to 15% of all merchandise and sponsorship revenue. That deal was recently renegotiated with Beckham’s guaranteed payments cut significantly. He will instead take 20% of all merchandise and sponsorship revenue over the next two years. This will save Guild £7.5m.
Jasmine Skee, CEO of Guild Esports, commented on the launch of Guild Studios: “Creating new revenue streams and generating value for investors are the Company’s key objectives for 2023. Guild Studios enables us to monetise our vast in-house expertise in esports by supporting brand owners and sponsors with innovative campaigns, branded content and advertising to a range of companies looking to grow their engagement.”