Although the Dota Pro Circuit has come to an end, the financial fallout from that era in professional Dota 2 continues to impact numerous individuals, including players, staff, employees, and contractors who are still awaiting payment for various events in 2023.
Recent revelations concerning Sweden-based esports production company Epulze have surfaced, with host and streamer Sophia “Sophy” Mapua speaking out about unpaid fees for hosting the Southeast Asia DPC in 2023.
Following Sophy’s claims, other casters and talent, including Maurice “KheZu” Gutmann and Gustavo “D2Bowie” Mattos, have also come forward reporting non-payment by Epulze.
To date, at least 17 individuals have shared their experiences of outstanding payments from Epulze, with the number increasing since Sophy’s initial disclosure in the past eight months.
Esports.net has uncovered information about six additional anonymous contractors, talent, and freelancers who are owed payments dating back to events like the Lima Major, DPC SEA Tour 2, and DreamLeague Season 19 in April 2023.
Furthermore, Epulze CEO Markus Lövgren has provided a statement regarding the delayed payments, offering some insights into the company’s financial challenges and the efforts being made to address them.
Challenges with Epulze’s Payments
Epulze produced three tours of the SEA DPC in 2023. Image Credit: Epulze
Between January and July 2023, Epulze organized multiple Valve-sanctioned DPC events, including tours in the DPC SEA, as well as the Lima Major 2023 and Bali Major 2023. The company was also subcontracted for services in DreamLeague Season 19 by ESL FACEIT Group.
While payments were initially received for the first DPC SEA tour, issues with delayed or missing payments began to surface from the Lima Major onwards, affecting subsequent events as well. Epulze cited a shortfall of over $500,000 from sponsors and partners as the reason for their inability to clear debts.
According to statements from Epulze representatives, financial constraints resulted in prioritizing payments to certain individuals over others, leading to inequality in payment distribution.
Epulze’s operations as a talent agency also involved commission deals with their in-house talent, where certain payments were delayed or never materialized, impacting individuals’ financial stability.
Unfulfilled promises of compensation for talent’s airfare costs further added to the financial strain, with some events becoming financial losses for those involved.
The company’s practice of offering payment in installments, alongside overdue invoice payments, has left many individuals waiting for over 400 days for their dues.
Pushed to the Limits
The Lima Major was a loss for both talent and production companies. Image Credit: u/mfckerjones_2
Despite the ongoing payment issues, many individuals who interacted with Epulze expressed positive experiences working with the company, praising the work environment and the character of higher-ups, although responsibility for payment delays was often shifted to external factors like sponsors and partners.
As frustrations mounted and financial concerns grew, individuals reached a breaking point, prompting them to speak out about their unpaid wages, leading to a wave of disclosures and public statements.
Epulze’s Outstanding Payments Timeline
The following timeline highlights the series of delayed payments and financial challenges faced by individuals associated with Epulze:
- Initiation of payment issues in May 2023, with outstanding invoices from the Lima Major and DPC SEA Tour 2.
- Subsequent communication from Epulze management regarding reasons for payment delays, delayed sponsor money, and attempts at securing capital injection through investments.
- Participation in the Bali Major in June 2023 provided assurances of prompt payment.
- Promises of payment for previous events in July 2023 delayed to August, citing financial challenges.
- Continued struggles with delayed sponsor payments, additional investment rounds, and financial constraints throughout 2023.
- Ongoing delays in payment processing and closure of investment round in October, with promises of payments by the end of the year.
- Further complications in processing payments and outstanding debts into 2024, with limited communication from Epulze staff.
Challenges Ahead for Epulze
Image Credit: Epulze
Epulze’s financial challenges have been exacerbated by the current economic climate, complicating efforts to secure funding and address outstanding payments. Legal intricacies in Sweden and Malaysia further complicate the resolution process, preventing swift resolution of financial obligations.
The company’s recent round of layoffs and struggles with securing expected investments have added to the ongoing financial strain, making it challenging to meet payment obligations to individuals impacted by the payment delays.
Unfortunately, Epulze’s situation reflects a broader trend in Dota 2 esports, where payment issues have plagued various events and organizations in the industry.
In a closing statement to Esports.net, Epulze’s CEO Markus Lövgren acknowledged the responsibility for the delayed payments, expressing a commitment to resolving the outstanding debts and ensuring payments are made as the company progresses.
Lövgren remains optimistic about the company’s ability to navigate these challenges and appreciates the patience of those affected by the payment delays.
Additional research and reporting conducted by Devin Soetjipto
