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The Star
18-05-2025
- Business
- The Star
Controller and order?
AZLAN (not his real name) has dreamed of joining an e-sports team since he was a child. Now 23, he managed, through mutual friends, to land a 12-month contract late last year with a team specialising in a few popular online games. But just three months into the venture, he realised that things weren't as rosy as he had imagined. 'My contract is a bit perplexing. There are so many things I'm not allowed to do, including speaking to the press as a gamer or team member, attending tournaments as a spectator without permission, or even communicating with rival teams off the field, so to speak. 'When it comes to prize money, I usually get the smallest cut. I've seen other teams split it equally among members. So I feel something isn't quite right with mine. I also can't exit the contract early. If I do, I'll have to pay a penalty.' Azlan's experience is an example of what can go wrong in the absence of standardised regulation in Malaysia's e-sports scene, which leaves players vulnerable to various forms of exploitation. But the problem isn't limited to shady contracts alone. In a broader context, Malaysia Esports Federation (MESF) president Muhammad Naim Al-Amin tells the Sunday Star that the lack of dedicated e-sports legislation has led to persistent issues involving sponsorship deals, prize money distribution, cheating, match fixing and player conduct. Similar concerns are also echoed by International Esports Federation Athletes Committee chair Tiffani Lim, who says a proper system is especially crucial now, as the sector transitions into an Olympics-recognised sport. Muhammad Naim and Lim are among several industry voices calling for either specific e-sports legislation or, at the very least, a dedicated arbitration framework to address these ongoing challenges. Seems disorganised E-sports has been growing into a highly competitive arena for more than three decades – one where real money and prestige are on the line. Globally, the e-sports market is projected to generate US$4.8bil (RM20.5bil) in revenue this year. According to Statista, it is expected to grow at an annual rate of 5.56%, reaching US$5.9bil (RM25bil) by 2029. This revenue stems from various streams, including sponsorships, merchandise, ticketing, and streaming. On the home front, Malaysia has made a name for itself in popular titles like Mobile Legends and Dota 2, while the local e-sports market is projected to hit RM29mil in revenue this year. But beyond the colourful onscreen action, trophy ceremonies, and booming industry, the lack of a standardised system to regulate competition, ensure fairness and protect players' rights remains a major gap. Muhammad Naim admits that the absence of dedicated e-sports legislation has brought a host of problems. He says Malaysia currently relies on the National Sports Policy 2021 and general laws for matters relating to contracts, intellectual property (IP), and employment. MESF is a national- level sports association registered with the Malaysian Sports Commissioner under the Sports Development Act 1997. 'Key issues include contract breaches such as unpaid salaries and abrupt team dismissals, sponsorship disputes, and IP conflicts over content creation. Organisations face governance gaps, such as unclear player transfer rules and match-fixing risks,' says Muhammad Naim. He points to the 2019 Mobile Legends match-fixing scandal as an example. In that case, professional players attempted to manipulate game outcomes for financial gain by incentivising others to deliberately lose. Investigations led to multiple bans and suspensions. Former national e-sports team manager Kelvin Pang echoes these concerns, noting that contract disputes and player poaching remain rampant in the local scene. 'We have organisations 'owning' players for an extended period of time even though the player has been benched or inactive from the main roster. 'On top of that, they are tagged with ridiculous buyout clauses. If no party can meet the buyout clause, the player would have to see out the remaining duration of his contract being kept in 'cold storage',' he says. On the issue of player poaching, Pang says some organisations still choose to employ unsolicited methods to sign players. 'It could be related to players being tagged with a ridiculous buyout clause that doesn't allow these organisations to go through the proper channels of enquiring about a player's availability.' Lim, who is also a referee and e-sports athlete, adds that conflict resolution currently lies solely with tournament organisers, which has led to inconsistent and often unsatisfactory outcomes. 'It seems quite disorganised and as you can imagine the due investigation procedures were not followed. Things were not resolved satisfactorily and involved parties ended up seeking help from international federations or parties to appeal, or just to pursue a fair review. 'So it's evident that there's no proper or objectively fair process that all parties can accept at the moment. 'So far it's just that whoever organises has full power to decide on what they think is the right or in some cases most convenient resolution.' Law or arbitration? Pang is advocating for an arbitration-based system as a standardised framework, which he says is more practical compared with having a specific law governing e-sports. 'The e-sports industry evolves so much faster compared with traditional sports. Dedicated laws would struggle to keep pace with e-sports' rapid evolution, such as technological advancements, game release cycles and evolving game mechanics.' Lim agrees, saying a standardised arbitration body would ensure consistency and fairness, and add credibility to the industry. 'It is much needed as e-sports is in the midst of transitioning into an Olympic sport, and we simply can't keep handling things the old semi-pro way. A proper arbitration system would add legitimacy and make sure everyone's on the same page.' However, a hybrid approach combining specific laws and arbitration mechanisms might be the most holistic solution, says Muhammad Naim. 'While arbitration offers flexibility and speed, a specific law could address unique challenges like player rights, gambling regulations and IP in virtual assets. 'For instance, disputes over streaming rights or sudden contract terminations highlight the need for tailored frameworks. A hybrid approach, by supplementing arbitration with targeted laws, might balance efficiency and clarity.' Muhammad Naim suggests enacting laws could also help increase awareness among teams and organisations about using legal avenues to resolve disputes. He cites the Asian Inter-national Arbitration Centre, which offers specialised e-sports dispute resolution emphasising confidentiality and speed. 'It introduced e-sports-specific arbitration rules in 2022, resolving cases like a player- transfer fee dispute between two local teams. 'While effective for contractual issues, its adoption remains limited due to low awareness among smaller organisations.' At the same time, Muhammad Naim notes that the National Esports Development Guideline 2019 (Nesdeg) provides structure for athlete welfare, event standards, and anti-doping measures. However, as a non-binding guideline, it lacks enforcement power. 'Stakeholders argue Nesdeg needs legislative backing or integration with the Sports Development Act 1997 to address governance gaps, such as dispute resolution mechanisms.' Other recommendations Lawyer Bryan Boo believes a dedicated e-sports law is unnecessary, asserting that existing sports laws are sufficient. 'I don't think that there is a need for a dedicated e-sports law in Malaysia. E-sports is essentially game publishing companies using competition to promote their commercial interests through game titles. 'The competition element of it is quite similar to any traditional sport. 'There are rules, regulations and it's teams competing to be the ultimate champion, whether it's in a league or any other tournament format. 'In that sense, I would think that the existing laws governing sports would also be applicable to e-sports. Hence, in my opinion, it was a positive move for e-sports to be included under the Sports Development Act [SDA].' Boo also disputes claims that e-sports is unregulated, pointing to the SDA's role in overseeing governing bodies and tournament licensing. 'This keeps the governing body in check and also ensures that the tournament organisers must have their tournaments endorsed or sanctioned by the governing body. 'Compliance with the implementation of the Safe Sport Code is also required. So in my view, we already have in place robust legislation and policies to regulate e-sports in Malaysia.' He points out that South Korea is one of the few countries with e-sports-specific legislation. 'Although, as far as I am aware, that legislation is only regarding the promotion of e-sports through local governments. This further solidifies my belief that there is no lack of legislation that can effectively govern e-sports.' However, Boo argues that Malaysia lacks qualified personnel with experience in e-sports governance, dispute resolution and technical matters. 'In my humble opinion, I do not think that these are matters that should or could be legislated. 'Having the right people and having the right training would resolve a lot of these matters.' From a general perspective, Boo says more protections are needed, whether through law, policy, or education. He says this includes ensuring that the prohibition of minor contracts (and any exemptions) are complied with; ensuring that tournament organisers have the required licences (including from the game publishers) and that they do indeed already have the prize money ready to be disbursed; ensuring that the spirit of sportsmanship is upheld in e-sports; and that the principle of fair play is always at the cornerstone of e-sports. Lim says any legal or arbitration system introduced should include an enforcement mechanism . 'Cheating and match fixing usually get called out by viewers, opponents, or analysts because you have to be able to capture the little things in games like unnatural movements, decisions that don't make sense, or actions that go against usual habits. 'So I believe there needs to be a safe and secure way for people to submit tips with evidence, but also protect their identities. 'The investigation team should include game experts, like referees or analysts to review the evidence, plus legal experts if it's part of a bigger match-fixing ring or syndicate. To effectively deter these types of behaviour, tournament organisers – both private or publisher-backed – have to be a part of this system as well so that industry-wide bans can be enforced, he says. 'Otherwise, like in the past, players banned by one organiser tend to just hop to another [tournament by different organisers], and match fixing keeps happening.' She also recommends a panel to handle unsportsmanlike conduct and determine penalties that match the severity of violations. 'It could be a panel made up of referees or representatives from different tournament organisers to collectively vote and decide on the penalty for each case.'
New Straits Times
10-05-2025
- Sport
- New Straits Times
Moonton to help Malaysian gamers win first MLBB gold at Sea Games
KUALA LUMPUR: Moonton Games and the Malaysia eSports Federation (MESF) today (May 10) signed a memorandum of agreement (MoA) aimed at boosting Malaysia's gold medal prospects at the Thailand Sea Games in December. The publisher of Mobile Legends: Bang Bang (MLBB) will provide financial support to MESF to organise qualifying tournaments and select the nation's top eSports athletes to represent Malaysia in Thailand. "This MoA is designed to enhance Malaysia's chances of emerging as the No. 1 team on the international stage, starting with the Sea Games in Thailand," said Moonton's Malaysia eSports Lead, Fikri Rizal Mahruddin, during a press conference at Juara Stadium, Bukit Kiara. "We will be providing MESF with financial assistance to fulfil two key responsibilities. "First, to conduct qualifying activities to identify the best male and female players to represent the country in the MLBB tournament in Bangkok. Second, MESF will provide official assets such as photographs and visuals of the national teams during the Games." MESF president Naim Al Amin Saharudin said the national squad would be drawn from the top two teams in the MLBB Professional League Malaysia (MPL MY). "We will shortlist 20 players who will be invited to attend a boot camp," he said. "Selection will not be based solely on performance. We will also assess their discipline, commitment, national spirit, and patriotism. "Our aim is to ensure that those chosen to represent the nation are driven by pride and a sense of duty. They are playing for the country, not just for themselves." MLBB will be the centrepiece of the eSports competition in Bangkok, with two gold medals up for grabs in the men's and women's events. Malaysia have yet to win gold in MLBB since its Sea Games debut in Manila in 2019. At the 2023 edition in Phnom Penh, the men's team claimed silver while the women's squad took home bronze. Dr. Yew Weng Kean delivered Malaysia's last Sea Games gold medal in eSports when he won the Hearthstone event at the 2019 Manila Games.
