Malaysia’s E-Sports Boom: From Gaming Passion To Digital Economy Opportunities

Kuala lumpur: E-sports enthusiast and full-time accountant Mohamed Ilyas Suhairi returns to video games to unwind after a long day, as there is always something new to explore. The 26-year-old said he was drawn to e-sports because it allowed him to relax, have fun and connect with friends. "When I started following e-sports, I became interested in watching how players compete, how teams play differently and how the games can become so intense," he told Bernama recently. Mohamed Ilyas said his passion for the sport is reflected in the several gaming gadgets he owns, including a gaming computer, a PlayStation 5, a Nintendo Switch and several handheld consoles, which give him different ways to enjoy games depending on his mood and interests.

According to BERNAMA News Agency, what began as an interest in playing games eventually led Mohamed Ilyas to follow tournaments and the wider e-sports scene, giving him a closer look at how gaming has grown from a leisure activity into a professional industry. In Malaysia's expanding e-sports ecosystem, professional tournaments attract large audiences, garner commercial partnerships, and create opportunities throughout the broader digital economy. From being casual gamers, many have gone on to pursue careers in e-sports, such as professional players, content creators, streamers, analysts, and many more.

Malaysia Digital Economy Corporation (MDEC) chief executive officer Anuar Fariz Fadzil said e-sports is an integral part of Malaysia's broader digital content ecosystem and has evolved into an industry that creates economic opportunities far beyond professional competition. "E-sports falls under the bigger digital content initiative. We have animation, we have games, we have e-sports. These initiatives give children, sportsmen and athletes an opportunity in life. This is considered a way to make a living and is even recognised on the global stage," he told Bernama. Anuar Fariz said the industry's value lies not only in producing professional players but also in developing a wider talent pool and creating digital jobs across various disciplines. "In e-sports, we have a broader talent pool, not just players. We have coaches, we have the production teams, we have the animators," he said. Anuar Fariz said MDEC remains focused on creating more digital jobs and strengthening the country's digital talent pipeline th rough initiatives including grants, talent development and industry engagement.

According to the World Intellectual Property Organisation (WIPO), the video game industry generated an estimated revenue of US$184 billion in 2023. It said China leads in e-sports revenues, followed by the United States, with regional distribution showing Asia-Pacific dominating with 46 per cent of the market. According to the Malaysian Investment Development Authority (MIDA), gaming is part of the country's creative-industry ecosystem and requires highly skilled professionals in graphic material digitisation, digital sound, character programming and creative-content creation. Malaysian institutions offer courses in game software development, game art and design and game programming. Malaysia's digital economy contributed 25.5 per cent to the country's gross domestic product (GDP) in 2025, with the government targeting a 30 per cent contribution by 2030.

Recognising the potential, Malaysia has actively supported the e-sports ecosystem, and this is also reflected in the emergence of professional tournament organisers capable of staging major international competitions and reaching audiences around the world. Among them is IO Esports, which has established itself as one of Malaysia's prominent e-sports event organisers through its involvement in major competitions, including the Mobile Legends: Bang Bang (MLBB) Professional League (MPL) Malaysia and the M6 World Championship. The M6 World Championship, held in Kuala Lumpur in 2024, recorded more than 4.1 million peak concurrent viewers and over 85 million hours watched, making it the most-watched M Series tournament at the time. Moonton Games, the developer and publisher of MLBB, reported that the event generated more than 115 million euros in brand value, underlining the commercial potential of large-scale e-sports tournaments.

Under Budget 2025, the government allocated RM20 million to strengthen the e-sports ecosystem, including talent development and the upgrading of e-sports arenas. Of that amount, RM10 million was earmarked for the construction of a dedicated e-sports stadium, with the remainder for training and other e-sports activities. The industry's development has also been accompanied by government support, from grassroots participation to high-performance and international competition. The scale of grassroots interest is also reflected in the Malaysia E-sports League (MEL), which recorded more than 62,000 participants across five editions from 2021 to 2025, according to the Ministry of Youth and Sports. From 2023 to 2025, the government approved 406 e-sports-related applications involving tournaments, talent development and digital content, with total allocations of RM13.23 million.

The industry's growth has also created new career paths for former professional players, with some transitioning into streaming and content creation on platforms such as TikTok and YouTube while leveraging their personal brands and established fan bases. Beyond streaming income, former players can monetise their audiences through viewer donations, sponsorships, paid content and merchandise sales, creating alternative income streams after their competitive careers. SociaBuzz, a creator-support platform widely used by Malaysian streamers, citing Malaysia-based digital studio Miura Visual, said independent gaming creators in Malaysia typically earn up to RM2,000 a month, while mid-level creators can earn as much as RM10,000 a month, although actual earnings vary considerably based on audience size and engagement.

As Malaysia accelerates its digital economy ambitions, e-sports is increasingly being positioned not merely as entertainment, but as part of a wider digital ecosystem capable of supporting talent development, innovation, digital employment and economic activity. The question now is whether Malaysia can sustain this momentum and turn its growing e-sports audience and talent into lasting opportunities across the digital economy.