Lagos State Government has confirmed an ongoing partnership and conversation with France to develop Nigeria’s $20 million e-sports market.
Lekan Fatodu, director general, Lagos State Sports Commission, made this known in his keynote address at BusinessDay’s Sports Conference held on Wednesday .
The event was themed, ‘The Businesses of Sports in Nigeria: Unlocking Economic Potential.”
Represented by Travih Nunayon, director of sports, Lagos State Sports Commission, Fatodu said the Commission is in strategic discussions with the French Embassy to develop and engage Lagos youth on E-sports Lagos.
“Lagos State Sports Commission had a meeting with the French Embassy on today (Wednesday) about how to develop e-sports in Lagos,” he said.
This strategic discussion centres on infrastructural development, talent discovery, and the establishment of e-sports academies and tournaments.
“Because E-sport is now becoming the big thing in sport. It’s no longer football or basketball. Because with E-sports, you can have bigger, larger participants at a venue in your state and outside your State”, he said.
Read also: The Rise of E-Sports in Africa: Opportunities and Challenges for Investors
Why E-sports?
The e-sports market is on a trajectory of significant expansion, with global revenue projected to surge in the coming years. According to Statista, revenues are forecast to increase by $1.2 billion between 2025 and 2029, reaching a new peak of $5.93 billion by 2029.
This growth aligns with a recent PwC report, which highlights the ‘phenomenal growth’ of the e-sports sector over the past decade. Worldwide revenue is expected to reach $1.86 billion by 2025, nearly doubling the $996 million generated in 2020.
The surge is attributed to increased investments, live streaming popularity, growing viewership, ticket sales, and the demand for enhanced tournament infrastructure.
In Nigeria, revenue in the e-sports market is projected to reach $20 million in 2025, according to the latest study by Statista. Revenue in this sector is expected to demonstrate an annual growth rate (CAGR 2025-2029) of 6.89 percent, which will lead to a projected market volume of $26.2m by 2029.
Statista stated: “In the E-sports market, the number of users in Nigeria is expected to reach 13.4 million users by 2029. User penetration in Nigeria will be 5.0 percent in 2025, and it is expected to increase to 5.2 percent by 2029.
“Furthermore, the average revenue per user (ARPU) in Nigeria is anticipated to amount to $1.71.
Nigeria’s burgeoning youth population is driving a significant surge in E-sports participation and investment, reflecting the country’s increasing digital engagement and entertainment consumption.”
In 2023, gaming revenues in the Middle East and Africa reached approximately $7.2 billion, with Saudi Arabia playing a pivotal role. The number of gamers in the Middle East and North Africa region is projected to rise from nearly 68 million in 2022 to around 87 million by 2026, driven by widespread mobile and digital penetration.
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