December 23, 2025 | Izzat-Begum B. RAJAN
Esports is no longer a marginal activity. It has become a strategic digital industry at the intersection of media, technology, data and soft power. As the market continues to structure and concentrate, regulatory choices increasingly shape economic sovereignty, competitiveness and international influence.
As Hugo Solard highlights in his recent analysis, the key question today is no longer whether esports should be regulated, but how. In France, the 2016 Digital Republic Act provided an initial legal recognition of esports competitions, but it was adopted rapidly and for largely political reasons. The more recent bill reflects a growing awareness that the existing framework lacks clarity and coherence, and that a more structured legal approach is now required.
This contrasts with countries such as Germany, already more advanced in certain respects, notably through the recognition of esports associations as non-profit organisations, which opens up a particularly attractive tax and legal regime. Regulatory design therefore directly affects market attractiveness and ecosystem development.
At international level, Saudi Arabia is not an exception but a clear demonstration of force: a government-led esports and gaming strategy embedded in Vision 2030, and the 55 billion dollar acquisition of Electronic Arts by a consortium led by the Public Investment Fund. Gaming and entertainment assets are being used as instruments of industrial and geopolitical positioning.
For the European Union, the issue is increasingly strategic. Strong horizontal tools exist, including competition law, foreign investment screening, the Digital Markets Act and the Digital Services Act. But esports remains outside any coherent EU-level regulatory or industrial vision, and this fragmentation is already creating competition between Member States, driven by differing levels of legal recognition, fiscal treatment and institutional support.
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