T1, the world-renowned esports powerhouse captained by League of Legends legend Faker (Lee Sang-hyeok), is at the center of a major ownership shake-up. With its two primary stakeholders — SK Square and Comcast — nearing the end of a mutual first-refusal agreement, industry sources confirm that negotiations are officially underway. The outcome could see Comcast take majority control of the celebrated organization.
Founded in 2019 as a joint venture between SK Telecom and Comcast, T1 has since evolved into a global brand. Following SK Telecom’s corporate restructuring in 2021, SK Square emerged as the majority shareholder with a 55.4% stake, while Comcast holds 34.3%. Sources say Comcast is now positioned to exercise its right to purchase SK Square’s shares — a move that would shift the balance of power.
The biggest question in the negotiations? Valuation. In 2022, Forbes pegged T1’s value at KRW 290 billion (approx. 207.5 million USD). But with explosive revenue growth — reaching KRW 50.9 billion (approx. 36.5 million USD) in 2024, nearly four times its 2020 earnings — analysts believe T1’s worth could now be as high as KRW 500 billion (approx. 358 million USD). This puts SK Square’s share value at approximately KRW 277 billion (approx. 198.2 million USD), should a deal be struck at peak valuation.
However, T1’s ongoing struggle with profitability complicates the price tag. The team has never posted a net annual profit, largely due to operational costs, including maintaining a top-tier roster. In 2024 alone, KRW 24.7 billion was spent on operations, with Faker’s salary estimated at over KRW 7 billion. As a result, the company’s debt-to-equity ratio soared to 2,126%, raising concerns about financial sustainability.
Still, signs of stabilization have emerged. T1’s net loss dropped by over 50%, from KRW 13 billion in 2023 to KRW 6.3 billion in 2024. With international revenue tripling in Asia (excluding North America) and doubling in Europe, the brand has proven its global appeal — making it an enticing acquisition for a media giant like Comcast, parent company of NBCUniversal.
T1’s appeal isn’t just financial. In November 2024, the team claimed its fifth League of Legends World Championship title in London. The historic win featured a star-studded roster: Zeus, Oner, Faker, Gumayusi, Keria, and Rekkles — further solidifying T1’s legendary status in esports history.
With SK Square rebalancing its investment portfolio, the decision now rests on how both parties evaluate T1’s strategic potential. Whether Comcast emerges as the new majority owner will be closely watched — not just by investors, but by fans across the globe.
nate
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