The LPL (League of Legends Pro League) is preparing for significant changes as a new and more rigid salary cap will be introduced after the 2024 World Championship. After the LPL Summer Playoffs, the best Chinese teams are preparing for the Worlds, hoping to regain the lost face after a year of failure. However, LPL teams have not been able to compete with the LCK, Korea’s premier League of Legends league, even though Top Esports emerged as the champions of the Esports World Cup.
Besides the changes in gameplay that Patch 14.18 might bring to Worlds, LPL teams could be under even more pressure going into 2025 because of financial issues. Moreover, the performance of other LPL teams against the top LCK teams makes one wonder how far they can go at Worlds. But the biggest threat might be the post-tournament salary cap reduction that may change the face of Chinese esports.
Salary Cap to be Reduced after Worlds 2024
Looking forward to the 2024 season, the LPL is set to undergo some transformations soon. As reported by Han Yi on Weibo, the LPL will reduce the salary cap for teams dramatically during the offseason. This could have a dramatic impact on the future of the league, as Han Yi mentioned that “the reduction in the salary cap will be beyond everyone’s expectations.”
The salary cap was first implemented to regulate spending and avoid the creation of large disparity between the teams with big budgets and talented players and the teams with limited resources. The objective was to achieve financial viability for the whole ecosystem. However, with this upcoming reduction, there is a worry that it will be even harder for teams to build what is referred to as “superteams”, which are teams filled with the best talent in the world.
Conclusion for Teams and Players
Although the stricter salary cap would promote greater parity and sustainable economic models, it would also present new problems for LPL teams that want to win another World Championship. The reduction in the salary cap will make teams more cautious when making their investments in players, and they may not be able to attract international players or retain existing ones. This could further reduce the LPL’s competitiveness in international competition since talent may continue to flock to other leagues.
Moreover, non-star players who are already paid less than before will be affected most by the cuts. A Weibo user with the name 恋恋红茶_244 said that some players earn between 30,000 to 100,000 RMB per month (about 3,800 to 12,700 EUR), and this could reduce under the new cap. Therefore, it may become even more challenging to make a stable income from esports, especially for those who are not within the echelon of the best gamers.
The Struggle Beyond the Competitive Scene
Most LPL pros are struggling to make ends meet through other means such as streaming or brand endorsements. For many, competition has become their main or sole source of livelihood. This financial pressure could mean that more veterans will try to make a comeback, as competitive play is still the best way for them to earn a living.
The reduced earnings could also impact the long-term future of the LPL in a negative way. Although it is intended to help teams become financially sustainable, the league could lose talent attraction and retention. It may become difficult for the LPL to challenge other regions, especially the LCK, which has been a force to reckon with on the international scene.
Can the LPL Stay as an International Competitor?
The LPL has not won a World Championship since 2021, and the salary cap cut could potentially make it even more difficult for the league to win the trophy in the near future. Lack of funds will most probably rule out the possibility of assembling superteams capable of competing with the LCK. If the LPL does not have the resources to build powerhouse teams, then it may not be able to compete with other leagues around the world.
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