The CEO of NRG Esports, Andy Miller, recently warned League of Legends (LoL) teams about the long-term sustainability of the industry. In an interview with The Esports Observer, Miller cautioned‍ that current levels of investment are unsustainable ⁢and the‌ market must make a shift in order to⁣ remain viable.

Miller spoke⁣ highly of the state of ​the LoL esports scene in terms of its ability to draw in sponsorships, but said that teams and organizations‌ need to be careful in ​how they⁣ manage their funds. He said teams‌ have to think in terms of long-term ‌sustainability, rather than short-term gain.

“We have to think about business plans that work ⁢for multiple years, not just⁣ this year alone,” he said. “When teams go into a season⁤ with sponsorships and​ teams don’t make the [championship] playoffs, they start panicking… But⁢ that’s the wrong approach. You have to plan accordingly and understand that you can’t‌ be successful unless you make strategic decisions.”

Miller also praised Riot Games for ⁣their ‌overall handling of the LoL esports scene, despite the fact that NRG has invested in⁢ Overwatch and other games. He stressed, however, that teams compete with each other on a variety of levels and LoL teams need to keep ⁤their eyes open to the fact that the industry could shift in an instant if investment in other titles ⁢rises.

“I think teams ‍that focus disproportionately in one area can be risky”, Miller said. “It requires​ diversification and strategic investments. It’s definitely something that needs to be continually ​thought⁤ about and managed.”

Miller’s warning serves as a reminder that the​ esports industry, while booming right now, is in⁢ a constant state of flux. While investment is increasing and sponsorships are flowing, teams must keep‍ in⁣ mind the ⁢need to remain flexible and prepare for the unexpected.