27 minute read

The Esports Game

A Sporting Chance

Can gaming bridge the esports gap and harness the revenue opportunity?

By John English and Kit Szybala

Esports has grabbed the attention of more than just the gaming industry, and for good reason.

The industry’s rapid rise has benefited from numerous omnichannel platforms that allow for unprecedented viewership and engagement from a diverse audience. With the “new abnormal” defined by Covid-19, esports has proven that media consumption is not just about what people can watch on the major networks. Instead, people are turning to streaming platforms like Twitch and YouTube for competitive-based content.

Today, more than 1.5 billion people are aware of esports, while approximately 500 million people make up its audience. By 2023, this figure is expected to grow to more than 650 million. In terms of viewership, major esports events are gaining ground against professional sporting events produced by the NBA, NHL, Formula 1, NASCAR and NFL. Starting in March, esports gained the attention of these leagues (which were largely shut down for months) and numerous others as it consistently gained new followers and partnerships despite the pandemic.

Esports encompasses organized video game-based competitions. Players can compete via several platforms, but the PC remains the preferred choice of hardcore gamers. PCs utilized by these players rely on multiple processors and robust graphic capabilities. Hardware companies like Alienware and DWave continue to focus on this area of investment to provide these players with high-level products.

Alternatively, consoles such as Sony’s PlayStation products, Microsoft’s Xbox, and Nintendo’s products offer simple, yet advanced platforms for gaming. These consoles are inclusive of almost everything needed for advanced gaming, including items and add-ons such as virtual reality headsets and haptic controllers.

Players also can participate via mobile gaming applications including those offered by Google and Apple. While this is the fastest-growing segment for the casual gamer base, it’s still limited in terms of screen real estate, processing power and controls. Regardless, it provides one-device access to entertainment on the go and has proven to be popular for certain games such as “Call of Duty: Mobile” and “Mobile Legends.” With streaming applications like AirPlay and SmartCast, players are also given the ability to play and consume content via their phone and TV. This has further enhanced the gaming experience and engaged the player base.

Viewership Platforms and Growth

People of all backgrounds enjoy having on-demand access to watch professional gamers compete. This audience is wide-ranging and includes casual fans, enthusiasts and professionals. Video streaming, which continues to grow in popularity and is the main way enthusiasts view their favorite games and events, is provided by two primary sources: Twitch and YouTube.

Platforms such as Twitch (Amazon) have as many as 1.4 million daily active viewers. According to TwitchTracker, more than 650 billion minutes of content was streamed in 2019, with more than 55,000 live streaming channels available to viewers at any time. This included an av

erage of 13,000 games streamed weekly. So far in 2020, more than 590 billion minutes of content has been streamed, representing 54 percent growth over this time last year.

A sporting opportunity like this hasn’t presented itself to the world in quite some time, and this time it’s not limited to a specific game. Instead, esports covers multiple games and genres that rely on diverse skill sets, allowing the industry to continuously evolve and grow. Esports genres include multi-player online battle arena, first-person shooter, card game battle, role-playing, battle royale, real-time strategy, turn-based strategy and sports. Today, “League of Legends,” “Just Chatting,” “Fortnite,” “Grand Theft Auto V” and “Call of Duty: Modern Warfare” are some of the biggest game titles in esports in terms of viewership, but these names continuously shift as new games are developed and existing games adapt.

As a result, the world has seen a rise of esports leagues focused on specific games. Some of the more prominent and established leagues include the LPL (League of Legends Pro League), LEC (League of Legends European Championship), LCS (League of Legends Championship Series), OWL (Overwatch League) and KPL (King Pro League).

As more leagues become established, more opportunities arise for sponsorships and live event hosting. Additionally, these leagues continuously add to a new era of celebrity athletes that include names like Faker (League of Legends), Rookie (League of Legends) Xyp9x (CSGO), MatumbaMan (DOTA 2) and Gesture (Overwatch), all of whom are bringing in impressive earnings, are represented by agents, and have mass followings and enormous influencing power.

Additionally, esports has begun to offer amateur-level opportunities to players, including scholarships to colleges and universities. Ohio State was one of the latest Power 5 conference schools to embrace esports by creating a program comprised of a number of initiatives across academics, research and student engagement, including the operation of a select number of esports teams that compete against other universities.

Additionally, until it was postponed, Intel was planning to host the Intel World Open (sanctioned by the International Olympic Committee) ahead of the Olympic Games in Tokyo. We may soon see an NBA-style bubble created for esports athletes, allowing for arena events to occur again. Regardless, these competitors are able to play remotely, and fans are accustomed to viewing these events remotely as well.

Generating Revenue Streams

Stakeholders in the esports industry garner a massive amount of revenue through multiple avenues. So far, various industries have realized the potential value of this massive audience. Branding, advertising, marketing and sponsorships have largely benefited from this growing audience and have yielded spectacular results. Most pundits agree that the increase in viewership and engagement is in its infancy, and that the market is a long way away from saturation. The following graphic produced by Newzoo illustrates the rapid audience growth the market is expected to experience through 2023.

ESPORTS AUDIENCE GROWTH

GLOBAL | FOR 2018, 2019, 2020, 2023

The esports market is well established in North America, China, Japan and throughout Europe. According to Newzoo, as a result of its prevalence in these major markets, global esports revenue reached nearly $1.1 billion in 2019 and is expected to reach upwards of $1.5 billion in 2020 and nearly $2.6 billion in 2023. It’s estimated that approximately 40 percent of this revenue was driven by North American patrons alone, with most of that revenue generated through sponsorships.

However, esports provide multiple options for investors seeking brand exposure, as well as other opportunities for the gaming industry specifically, namely wagering. Industry stakeholders benefit from a diverse array of revenue streams, including media rights, sponsorships, branding, content licensing, game publisher fees, ticket sales, merchandising, entry fees, arcade time, viewership, advertising, in-game purchasing and digital economies.

As a result, there’s been no shortage of partnerships and acquisitions in the space so far, with Tencent (the world’s largest video game company) detailing a $15 billion esports-centric investment plan for the next five years. The following graphic displays the diversity of the revenue streams associated with esports. In 2019, Newzoo estimated that the industry grew by 26.7 percent year over year, with the largest portions of revenue stemming from sponsorship and media rights (which saw 34.3 percent and 41.8 percent year-over-year growth, respectively).

2019 ESPORTS REVENUE STREAMS|GLOBAL

INCLUDING YEAR-ON-YEAR GROWTH

Several publishers and studios focus on financing the design, development, marketing and distribution of video game content, with a desire to capture large segments of this growing market. Well-known publishers with mass distribution include Tencent, Sony, Electronic Arts, Microsoft, Capcom, Sega, Konami, Activision Blizzard, Bandai Namco and Ubisoft. But the revenue opportunity isn’t limited to these developers. In fact, the industry’s revenue has flowed to a wide variety of parties, including but not limited to game publishers, design studios, in-game purchases, broadcast viewership, streaming platforms, team ownership, wagering platforms, regulation and testing labs, cybersecurity, hardware and video, data feed providers, advertising/sponsoring/ branding, tournament/events/venues, professional esports athletes, coaching staffs, education/scholarships, merchandising, influencers/marketing and unification/sanctioning.

So far, investors in the space have included groups like venture capital firms, traditional sports leagues, corporate investors, influencers/affluent celebrity investors, media and broadcast companies, telecoms, individual investors/friends and family investors, casino and gaming operators and IPO/ICO offerings.

These groups have included major companies, entities, and individual investors like Disney, Microsoft, Apple, Tencent, Red Bull, the New York Yankees, Mark Cuban, Coca-Cola, Intel, IBM, Verizon, Rick Fox, Drake, Imagine Dragons, Adidas, Monster, Jerry Jones, the Philadelphia 76ers and even city municipalities.

Regulated Gaming’s Opportunity

Esports presents the largest new wagering opportunity for the gaming industry, with a wide variety of new bets that can be offered for the numerous leagues, games and events. Wagering on esports is the same as it is for any other sport. Data feeds from multiple suppliers provide fixed odds-style money lines or betting on the spread. Wagers can be placed on the same types of bets, including win, lose, or tie, over/under, propositions, parlays and in-game wagering options. Algorithms and artificial intelligence can play a large role in the bookmaking back office, with an appropriate amount of human oversight, providing operators with an opportunity to reduce risk and improve their revenue.

Additionally, the parimutuel avenue (or the rake model) is a good alternative option for wagering. Regardless, liquidity will be required to succeed in esports wagering, much like with poker or horse racing. Game titles that focus on sports, such as “Madden,” “NBA 2K” and “NHL,” as well as first-person shooter/battle royale games like “Call of Duty,” “CSGO,” “Apex Legends” and “Fortnite” are somewhat easier to book and have mass appeal.

The wagering opportunities for some of these big titles and others, including “DOTA” and “League of Legends,” is immense. Currently, there are Twitch integrations directly on in-game betting sites in regulated jurisdictions around the world, offering the convenience of viewing and betting on the same screen, which has improved the overall in-game wagering experience.

As the global market continues to evolve, certain jurisdictions, particularly in Europe, have begun to figure out how to regulate and monetize the market from both an event and wagering perspective. There was a slow acceptance of esports wagering globally prior to Covid-19, but now it seems to be gaining, or at least maintaining well, in all areas of the online sector.

The lull was largely due to illegal underground betting and peer-to-peer wagering that occurs worldwide, as well as issues regarding the integrity of games and players, as is experienced with most sports. There are a number of issues that must be combated with proper regulation for the full wagering opportunity to be realized, including publisher cooperation (as they create and usually own the game content).

Other issues include items such as skin gaming, loot boxes, hacking/software manipulation (bots/rats/deep fakes), lab testing and timeframes, virtual referees, playbacks and reporting (AML, IRS, etc.), official league sanctioning such as ESL (Electronic Sports League) with competent regulatory infrastructure, doping/cash fixing, quantum computing/blockchain, payment processing and cryptocurrency.

Responsible gaming and other addiction issues are a concern for publishers, operators, regulators and other interested parties. They should be aware of their consumers’ habits, offer protections and monitor for irregular patterns when designing or allowing wagering on their content.

In the U.S., regulations surrounding esports wagering are being put into place, with select markets now allowing legal esports betting. This regulatory process has accelerated during Covid-19. But this initially started in states like Nevada during the 2017 legislative session, when “Other Events” were added to the regulatory makeup in the state. This bill was sponsored by then State Senator Becky Harris, who later became the first chairwoman of the Nevada Gaming Control Board. It’s since been adopted by other states including New Jersey, Indiana and Colorado. Globally, legal esports wagers are accepted in numerous jurisdictions.

From a wagering perspective, for this market to grow at an exponential rate (as has been experienced with traditional sports leagues), all stakeholders need to come together to establish a broader sense of oversight, overarching regulations and internal controls which is a common theme among existing gaming regulators.

Money is growing and flowing in many different areas of the market. It offers exciting new options for entertainment. The statistics clearly show the rapid growth of the market, the big names that are involved and the high probability of continued growth for the future. Within the coming years, it will be vital for large brands to find ways to tap into this lucrative market and become a part of the entertainment experience that this large pool of consumers enjoys.

For the gaming industry, there are options to get involved in the market through the sponsorship of teams and tournaments, buying a team partner with influencers in the industry to have them promote brands and review products, investing in data and artificial intelligence or finding ways to capitalize on the growing wagering opportunity.

Regardless of the opportunity pursued, it’s time for the gaming industry to take advantage of this multibillion-dollar wave of opportunity.

Kit L. Szybala is a partner and the executive director of operations at Global Market Advisors (GMA). John English is a partner and managing director of sports betting and technology at GMA.

Despite widespread efforts at maintaining a diverse workforce in the gaming industry, systemic discrimination is still a challenge By Marjorie Preston

Acasino manager looking to advance her career was happy to find a workplace mentor, until the mentor made advances of his own. When she spurned his overtures, he was no longer interested in a professional relationship.

That woman, speaking to GGBon condition of anonymity, listed numerous episodes of what she calls “systemic discrimination” in an industry that ostensibly makes a guiding principle of equality.

“I’ve watched less qualified men get professional opportunities over women, seen women castigated in meetings for raising a contrary point when men are rewarded for doing the same, and even had male colleagues make personally insulting remarks about me under the guise of humor,” she says. “I’ve heard them make disparaging remarks about female coworkers’ age, dress, demeanor and competency.”

A second woman, also speaking anonymously, expressed her impatience with “manels,” or conference panels made up mostly of men. “It can be a panel of really fantastic speakers, but the visual alone demonstrates the lack of diversity. More than once, I’ve been asked to sit on a panel because I’m a woman. That’s great, but it’s not what qualifies me. It’s my expertise in the area.”

When women do hold visible roles, says a third woman, many times they’re relegated to “pink-collar” roles in human resources or marketing or added to high-profile boards, then held up as proof of an egalitarian culture.

“Executives can check off the equality box, while perpetuating the myth that there are only a handful of qualified women and there’s no need to look beyond them.

“It’s as if the male executives say, ‘We need a woman in this role. Who does so-and-so have as ‘their woman?’ Get her.”

Inequality in the workplace is an old story, in and out of gaming. According to these women, it’s not history. Yet.

Why D&I?

Most corporations today have diversity and inclusion initiatives, which even have earned their own pithy acronym: D&I. But the women above say many organizations remain stubbornly resistant to women in leadership.

“Look at the websites of gaming company management teams,” says one. “The pictures tell a thousand words”—in other words, they are clearly tipped in favor of men.

Jan Jones Blackhurst, longtime executive vice president for government relations and corporate responsibility for Caesars Entertainment and a former mayor of Las Vegas, says diversity isn’t about kindness, fairness or even, in fact, diversity itself. It’s about building strong, resilient, responsive, successful corporations.

“If you want the highest and best performing companies, you need diverse viewpoints; you simply do,” she says. “When everybody is looking for solutions to problems through the same lens, you’ll get the same answers over and over.”

According to a study cited in 2019 by the Harvard Business Review, women “add to the diversity of life experiences among a top management team’s members,” and therefore may offer “additional insight into important strategic questions, especially those that relate to female consumers, employees and trading partners.” The study added that gender diversity leads to increased productiveness only in cultures where such diversity is “normatively” accepted, or considered important.

Other studies come out unequivocally on the side of D&I. Recent research from the Boston Consulting Group found that “increasing the diversity of leadership teams leads to more and better innovation and improved financial performance.” Looking at 1,700 companies in eight countries, the group found that companies with more diverse management teams had 19 percent higher revenue, due to innovation.

According to Forbes, the researchers said “the CEO’s vision coupled with policies such as equal pay (and) a culture of openness and inclusion help companies create a diverse and well-rounded environment.”

“When everybody is looking for solutions to problems through the same lens, you’ll get the same answers, over and over.” —Jan Jones Blackhurst, Executive Vice President for Government Relations and Corporate Responsibility, Caesars Entertainment

“Employees have an expectation that people who look like them hold critical positions in a company. When they don’t see that, a lot of organizations are seeing their black talent saying, ‘Gotta go, see ya.’” —Rose McKinney-James, Member, Board of Directors, MGM Resorts International

‘Admiring the Problem’

It’s the rare systemic flaw that is solved quickly, especially in a bureaucracy. Invariably, a lot of time is spent defining the problem, agreeing it’s a problem, and then lamenting the problem: “Yes, it’s regrettable that we don’t have more (fill-in-the-blanks: minorities, women, LGBTQ people)—in the executive ranks.”

That initial recognition is often followed by exploratory committees and initiatives that are touted far and wide in news releases. Maybe a feelgood slogan is attached, and the principles are added to a list of corporate commitments.

But if nothing happens beyond that, the company has simply “admired the problem,” equating talk to action, and analysis to implementation. Blackhurst says true and lasting change takes follow-through, “a strategy that puts measurable targets against a proclaimed goal. Because what isn’t measured won’t matter.”

In 2017, Caesars Entertainment announced its “50/50 by 2025” program, pledging that, by that year, half of leadership roles would be held by women. At the time, Blackhurst said, “We’re the best operator, the most in touch. If anyone can do it, it’s us.” With Caesars now merged with Eldorado Resorts, creating the world’s largest gaming company, that outcome could be industry-changing.

Blackhurst said the company chose management consulting firm McKinsey and Co. to run its program, “because they speak corporate,” and could make the case that hiring and promoting more women is just good business.

According to McKinsey and LeanIn.org, from 2015 to 2019 more women rose to the top levels of companies—particularly in the C-suite, where their numbers increased from 17 percent to 21 percent. “Although this is a step in the right direction, parity remains out of reach,” the report stated. “Women—and particularly women of color—are underrepresented at every level.”

The study said women can rise to a certain level, but then are impeded by a “broken rung,” typically at the managerial level. “For every 100 men promoted and hired to manager, only 72 women are promoted and hired. This broken rung results in more women getting stuck at the entry level, and fewer women

becoming managers. Not surprisingly, men end up holding 62 percent of manager-level positions, while women hold just 38 percent.”

“That’s the game they play,” says Blackhurst. “As women start moving up, those (promotions) fall off precipitously.”

Hidden Talents

In a 2017 study, four Harvard researchers determined there have been few great strides in hiring equity in the years since 1990. Looking at 54,000 job applications submitted over a 25-year-plus period, they observed “significantly greater callbacks” for white applicants over black and Latino applicants with identical resumes.

“Without callbacks for interviews, these black and Latino candidates don’t get a chance to introduce themselves, share their education and experience or describe their potential contributions,” the study said. “The door of opportunity never opened for them.”

The study further stated that most white Americans “remain convinced that race is no longer central to one’s opportunities in life,” and believe instances of discrimination “represent the actions of a few bad apples and aren’t in sync with the larger trend toward systemic racial equality.”

Such unconscious bias is not necessarily malevolent, but, as researchers indicated, “When hiring, you tend to hire yourself.”

One of the most famous examples of unconscious bias was seen in the orchestral field, where for many years women musicians were almost non-existent. Then some orchestras started “blind” auditions, in which auditioning musicians were separated from the selection committee by screens. As a result, the percentage of female musicians in the five highest-ranked U.S. orchestras

“If you and I are running a race, I’ve got to run faster or I’ll never catch you. It’s not your fault that you’re ahead. That’s history. But we’ll never catch up if we keep running at the same pace.” —Ondra Berry, Adjutant General, State of Nevada

rose from just 6 percent in 1970 to 21 percent in 1993. ing, ‘Gotta go, see ya.’ It used to be folks would suffer through, swallow

Rose McKinney-James, a board member at MGM Resorts International, is hard and stay on. I’m now seeing a trend where they shrug their shoulders chairwoman of the firm’s Corporate Social Responsibility Committee. She and say, ‘I’ll find it someplace else.’ finds it “maddening” when gaming executives say they can’t find qualified ap“Let us not forget that the level of external pressure has increased explicants for upper-tier jobs among women and minority groups.

“My answer to that is, ‘You’re not looking hard enough.’

“You have to take steps to make sure you reflect your customer base and the communities where you conduct business, and be actively engaged and invested in both the people and the economic empowerment that goes along with a diversity platform,” says McKinney-James, who also originated the diversity program at Mandalay Bay, and was a pioneer in expanding gaming in Mississippi, which went the extra mile to identify qualified job candidates in that area.

“The first thing we did was establish relationships with leadership on the ground, connecting with state legislators and historically active civil rights and civic organizations. We were committed to including people from the community, not just importing talent, but bringing in jobs and growing together.”

McKinney-James says she may been viewed as a “twofer,” a black woman in a high-profile leadership role who, in effect, checks two diversity boxes at once. “It’s not the way you want to be perceived,” she says. “It immediately questions your qualifiLET US HELP YOU cations and your ability to contribute at the same level as your contemporaries. I recognize I’m part of a very small cohort of black corpoWITH THE DETAILS rate directors across the country. Those numGaming, Employment, and Regulatory Compliance bers aren’t what they should be.”

The Discomfort Zone

MGM has pledged to hire and promote across the spectrum—women, minorities, people with disabilities, LGBTQ, veterans. McKinneyJames says it’s more important than ever that multiple populations be represented, or talented professionals may look elsewhere for opportunity.

“Employees have an expectation that people who look like them are holding critical positions” in a company, McKinney-James says. “It’s crucial to creating a sense of belonging and opportunity. When they don’t see that, a lot of organizations are seeing their black talent say

SPORTS BETTING, ESPORTS & SOCIAL GAMING | TECHNOLOGY | COMPLIANCE | LICENSING | GOVERNMENT AFFAIRS | INDIAN / FIRST NATIONS GAMING | INTERNET GAMING

Kate C. Lowenhar-Fisher | 702.550.4459 | klowenhar-sher@dickinsonwright.com Jennifer J. Gaynor | 702.550.4462 | jgaynor@dickinsonwright.com Gregory R. Gemignani | 702.550.4468 | ggemignani@dickinsonwright.com Michael D. Lipton, Q.C. | 416.866.2929 | mdliptonqc@dickinsonwright.com Jerey A. Silver | 702.550.4482 | jsilver@dickinsonwright.com Kevin J. Weber | 416.367.0899 | kweber@dickinsonwright.com

ARIZONA CALIFORNIA FLORIDA KENTUCKY MICHIGAN NEVADA OHIO TENNESSEE TEXAS WASHINGTON DC TORONTO | DICKINSONWRIGHT.COM

‘Paying It Forward’

Melonie Johnson President, Borgata Hotel Casino & Spa, Atlantic City

In June, Melonie Johnson was appointed president of the Borgata Hotel Casino & Spa in Atlantic City, following more than two years as president and chief operating officer at MGM National Harbor. With her arrival in Atlantic City, Johnson made history in more ways than one—not only as the first black woman to run a casino in the shore resort, but as the first Borgata president to grapple with the extraordinary challenges of a four-month shutdown and partial reopening. Johnson broke into gaming in 1993, when she was hired as an accounting manager at Harrah’s in her home state of Louisiana. She rose to become director of finance. She has also worked for Penn National Gaming, and her career has taken her all around the U.S., including Illinois, West Virginia, Mississippi and Maryland.

Johnson has said she had no “playbook” to guide her ascent in gaming. But she’s certainly helping to write the playbook for future generations.

She spoke with GGBPublisher Roger Gros in August. Here are some excerpts from that interview:

GGB: Your success speaks to the success of efforts to bring diversity to the executive ranks. Is there still a lot of disparity to be addressed? Melonie Johnson: There are opportunities on both sides, but it’s still a work in progress. It’s everyone’s responsibility in management. It’s mine. It’s my job to develop young talent. It’s my job to recruit individuals who are female and African American. Has the company done a good job? Yes. But there’s always room for improvement.

Why is it so important to have diversity in upper management and the C-suite? Upper management teams should reflect the workforce. You want to look at leadership and see people who look like you, who understand your culture, your thoughts and your vision. By looking at them, you know you have an opportunity to be promoted to that level.

Do you see yourself as a role model, not just for women and minorities, but for anyone in the rank and file who aspires to a leadership role? I’m going to say mentor-slash-role model. I mentor quite a lot of people—not just women, not just black people. When I think about my legacy, I don’t want to be remembered for personal accomplishments. I want to be remembered for getting upand-coming talent to the next level. But I do have an ask for them. I ask them to do it for someone else. That’s the gift that keeps on giving. Pay it forward. ponentially,” she adds. “The wise and prudent leader is not going to ignore this issue. It’s not going away.”

Reggie Burton, former director of communications for MGM and now head of Las Vegas-based RB Group Public Relations, is concerned the Covid-19 outbreak could cause diversity in the workplace to fall out of balance, or even off the radar. Because the lower ranks of employees tend to be the most diverse, they may be more affected by the recent wave of furloughs and layoffs.

“We cannot afford to lose any of the progress and the gains we’ve made over the years,” says Burton. He emphasizes that it’s just as important to hire and retain a diverse group of vendors. “A lot of times, it comes down to who you know. If you need a lawyer right now, you’re not going to the Yellow Pages in search of women and minorities.”

How do companies expand that vendor pool beyond their usual go-to’s? Burton says, “Intentionality. You have to say, ‘You know what? I need to meet more women and minority attorneys. Where do I go to meet them?’ You need to add to your list of women and minority PR firms, contractors and architects. You need to be intentional.”

Ondra Berry, former senior vice president of talent and performance for MGM and now major general in charge of the Nevada Army and Air National Guard, agrees. “If I’m responsible for bringing in vendors or contractors and I’m not looking at diversity, that’s a huge miss. I have to look at my partnerships, my philanthropy and my volunteerism.”

Creating parity at all levels in the workplace will require some “courageous conversations,” says Berry. How, for instance, would he respond to resistance among groups of people who are perceived to have an edge in the job market, but who also want to advance, and who also may have the right stuff?

“If you and I are running a race, I’ve got to run faster or I’ll never catch you,” Berry says. “That’s what affirmative action is all about. It’s not your fault that you’re ahead. That’s history. But we’ll never catch up if we keep running at the same pace. Leaders have to be comfortable talking about those hard issues. You don’t want to be on the wrong side of history on this one.”

Blackhurst adds, “It took me a long time to convince some of the up-and-coming white men at Caesars that we were not taking theirjobs. We were filling ajob. Nobody is trying to change the meritocracy, but the talent pool is much greater than that.”

“You have to say, ‘I need to meet more women and minority attorneys. Where do I meet them?’ You need to add to your list of women and minority PR firms, contractors and architects. You need to be intentional.” —Reggie Burton, RB Group Public Relations

Making the Grade

One of the women who spoke to GGB on condition of anonymity said history will be made when companies “read their own mission statement, commit to the mission statement and live the mission statement. Diversity needs to be more than a public relations topic. It needs to be a real topic with real goals and real accountability for failure.”

Another said, “It’s especially annoying when you look at company websites and see their pledges to diversity. Women have to, it seems, walk a tightrope between asserting themselves and risking being considered bitchy and handling unfair treatment with good humor.”

McKinney-James sees opportunity in the making. “I don’t think any of us has seen anything so extraordinarily devastating to our employees and to the companies who depend on them” as the current economic and social upheaval. “Companies are being forced to deal with liquidity and survival, which has put so many people out of work.

“Ironically, this crisis also presents an opportunity for organizations to rethink their structures. Given the recent events, with the Black Lives Matter conversation, companies are doing more strategic outreach. I don’t think they realized how exposed they’ve been.

“It’s far from a silver lining,” she says. “Just call it an interesting opportunity.”

Asked how she would grade the gaming industry overall in terms of diversity and inclusion, Blackhurst says, “C-minus.”

“We’ve been having this conversation for the last four decades. I’m not saying it’s not hard, but you have to be committed. You have to want this to happen and take steps to make it happen. This problem is fixable, so let’s fix it.”