[Rumour] Oxygen Esports To Cease Operations After Three-Year Run

Oxygen Esports (OXG), a prominent name in the esports industry, is reportedly in the process of closing its doors for good. Founded in 2020, the organisation quickly gained traction by partnering with Kraft Sports & Entertainment, owned by New England Patriots’ Robert Kraft. This partnership enabled Oxygen to field teams in popular games like VALORANT, Rocket League, Rainbow Six, Apex Legends, and even establish the Call of Duty League franchise, Boston Breach.

Despite their best efforts and respectable performances across multiple esports, Oxygen struggled to secure major championships, particularly for their Helix Esports Facility at Patriot Place. A recent report from Dexerto indicates that Oxygen is now laying off all staff and preparing to cease operations entirely.

The shutdown appears to be happening rapidly. Players from the Boston Breach have been informed they must vacate their apartments by 8 August, just before their scheduled departure for the Esports World Cup, a US$1.8 million Modern Warfare III tournament in Riyadh, Saudi Arabia. Many staff members have expressed frustration, revealing they were kept in the dark about the closure and are uncertain about their future.

For Transparency:

We (admins/production/staff) were promised to be paid for working this event. We only found out today (along with Shift) that @OXG_Esports is refusing to pay us. Not only that, but they told us to continue working for free https://t.co/QfsYOrZJ4U

— Luke / Husky (@RIVALhusk) August 6, 2024

In a related incident, the Oxygen-owned Shift Summer League playoffs in Rocket League were abruptly suspended on 6 August, just 30 minutes before they were set to begin. Staff for the event were reportedly told they would not be compensated as promised but were still encouraged to continue working without pay.

As the situation unfolds, Oxygen’s board and shareholders are reportedly working to finalise severance arrangements, with an official announcement expected by 9 August. The future of the 12th Call of Duty League spot, previously held by Boston Breach, remains uncertain. However, with Activision removing the US$25 million entry fee and offering refunds to organizations, several other teams are eyeing the vacant position.