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Street Fighter V Licensing Overhaul After Esports Uproar

Capcom, the renowned video game publisher, recently changed its Street Fighter V Community Licence Agreement significantly. This decision came in the wake of substantial backlash from the game’s dedicated fanbase.

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Initially, Capcom introduced its esports licensing rules in late February, aiming to streamline the process for tournament organizers wishing to establish new events. The primary purpose of this license agreement was to set forth a series of criteria. If these were met, it would grant tournaments the right to utilize Street Fighter V imagery and broadcast the event on Twitch without the need for explicit permission from Capcom.

However, this move was not well-received by the game’s esports community. Many voiced concerns that the criteria set by Capcom were overly stringent. This widespread discontent prompted Capcom to reconsider and subsequently revise the rules.

In a recent update shared on Capcom’s official website, the company admitted to its shortcomings, stating,

“We acknowledge that we could have handled the situation better.”

Following this acknowledgment, Capcom introduced several changes to the agreement:

  1. Prize Pool Limit Increase: The prize pool limit for events has been raised from USD 2,000 to USD 10,000. Additionally, the yearly USD 10,000 prize pool cap has been removed.
  2. Sponsorship Limit Augmentation: The sponsorship limit for individual events has been increased from USD 5,000 to USD 6,000, and the yearly sponsorship limit has been boosted from USD 20,000 to USD 30,000.
  3. Alterations in Spectator Fee and Venue Restrictions: Changes have been made to both spectator fee guidelines and venue restrictions, especially concerning bars.

One of the most debated points of contention was Capcom’s initial stipulation that any organizer hosting a Street Fighter V event would, by default, grant Capcom a royalty-free license to use and broadcast footage from the matches. This clause has now been removed. The original wording, which allowed Capcom an

“irrevocable, royalty-free license to use, distribute, and stream Match Footage,”

has been modified. The revised clause states that Capcom might reach out to organizers to seek permission to feature short excerpts from the event on its official platforms to promote the game and the brand.

In explaining its rationale behind publishing the license agreement, Capcom emphasized its intent to clarify requirements and expedite the approval process for a no-cost license. They acknowledged that past approval processes for community events featuring Street Fighter V: Champion Edition had been tediously long. Capcom’s primary goal with these changes is to allow tournament organizers to concentrate more on hosting exceptional events and spend less time on approvals.

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Capcom expressed gratitude towards its passionate fanbase for their invaluable feedback. The company reiterated its commitment to honoring the grassroots tradition of the Street Fighter community. They concluded by stating,

“To this end, we have updated the Street Fighter V Community License Agreement, taking into account the feedback we received from the community while maintaining our original goal to provide a no-cost license.”

Image source: Capcom Official

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  • Leonid Shmatenko

    Founder of Esports Legal News, Leonid Shmatenko, stands at the forefront of legal innovation in the esports domain, crafting pathways through its unique regulatory and technological landscapes. With a rich tapestry of experience in esports and blockchain, Leonid provides astute legal guidance to esports associations, clubs, and entities, ensuring they navigate through regulatory, data protection, and technology law with finesse and foresight. Leonidโ€™s expertise is not merely recognized within the confines of his practice but is also celebrated in the legal community. Who’s Who Legal extols him as “an innovative thinker and an expert in CIS and esports disputes,” further describing him as an “outstanding arbitration practitioner with diverse experience and a broad network.” These accolades underscore his adept ability to navigate complex disputes and regulatory challenges, particularly in the vibrant and fast-evolving esports industry. At Esports Legal News, Leonid is not merely a founder but a pioneering force, ensuring that the esports industry is navigated with strategic legal insight, safeguarding its interests, and propelling it into a future where legal frameworks are not just adhered to but are also instrumental in shaping its evolution and growth. View all posts