AI and eSports: How OEMs Can Power the Future of Virtual Racing

MIA Member Hewlett Packard Enterprise has shared the following news article. 

AI and eSports: How OEMs Can Power the Future of Virtual Racing

Think about competitive video games, and you might picture two players battling it out on a console in a living room. But eSports has grown from a niche interest to a major global market: 2024’s eSports World Cup saw an audience of over 500 million tune in to watch pro players compete for a $60m prize pool.

Virtual motorsports, or sim racing, is one of the fastest-moving eSports of all. Like any emerging industry, tech—especially AI—is powering its growth, giving OEMs a unique opportunity to break into the market and leave their mark on the virtual racetrack.

What makes eSports a valuable opportunity for OEMs?

Two main factors make eSports worth your attention: its impressive growth trajectory, and an abundance of use cases that OEMs can capitalize on.

Gaming technology gets better every year, and eSports is no exception. Especially when paired with traditional motorsports—the two fuel each other’s growth, with a Formula 1 survey revealing that roughly 50% of fans play motorsport video games.

One of the biggest accelerators of eSports is its accessibility. Breaking into traditional motorsports can be extremely costly for aspiring new drivers—building up your racer credentials through go-karting can cost over $60,000 a year. By comparison, a player can secure a viable sim racing setup for just $300.

Major brands are taking notice of eSports’ momentum. For example, Red Bull Racing’s eSports division has teamed up with Team Redline (F1 Champion Max Verstappen’s own sim racing team) to build a dedicated sim racing facility, decked out with state-of-the-art equipment to foster new racing talent.

Meanwhile, Microsoft has entered an AI partnership with iRacing , the world’s largest sim racing platform with over 100,000 active subscribers. The two are working together to develop Microsoft’s AI models with large quantities of performance data, bringing exciting new capabilities to the world of sim racing.

AI is already making an impact

The rapid rise of eSports wouldn’t be possible without tech like AI fueling the charge. Simulation platforms are already exploring AI innovations to make virtual racing more realistic and competitive than ever.

AI-powered coaches can provide players with tailored feedback, showing them exactly which corners to practice or where they can shave a few seconds off their lap times. Virtual AI crew chiefs work as strategists, helping players time their pit stops and choose the right tactics mid-race. Even AI opponents are leveling up with fully adjustable driver behavior, including whether to go for aggressive overtakes or holding defensive lines.

The biggest AI uses cases in eSports

The intersection of eSports, AI, and OEM expertise reveals a number of possibilities. Here are just a few of the most valuable ones.

Simulator operations

Racing simulators live and die by their ability to make players feel like they’re right there on the track, tearing around corners at top speed. They need to be responsive, authentic, and totally seamless. But running a modern simulator requires a top-notch operational foundation—one that OEMs are perfectly positioned to provide.

AI-powered network solutions can optimize server management by scaling resources to meet changing demand, ensuring smooth races during peak playtimes. And latency (every gamer’s worst enemy) can be kept in check with AI that detects network issues in real time, so teams can prioritize and resolve them before they impact gameplay—keeping racers in the action with minimal lag.

Community management

For sim racing platforms, building a healthy online community is just as important as delivering a great racing experience

Take matchmaking, a common challenge in game design. Players need to compete against opponents with similar skill levels to stay engaged. If a race is too easy, it can lead to boredom; if it’s too difficult, players might become frustrated. OEMs can use AI to analyze player data and match racers appropriately, making sure every race is balanced, competitive, and rewarding.

AI can also be used to help monitor in-game communications, detecting disruptive players and alerting moderators who can take action to ensure good sportsmanship. The more respectful and positive a game’s online community, the more loyal players it will attract and retain.

Racing rigs and player kits

As thousands of players take to the virtual track, demand for immersive sim racing rigs is surging. Players want equipment that captures the thrill of a real race, creating an opportunity for OEMs to provide everything from high-performance PCs and GPUs to custom seating, steering wheels, and pedals. There are even fans being made to simulate the sensation of wind as players hit top speeds.

OEMs with a manufacturing outfit can use predictive AI to optimize production, identifying and addressing bottlenecks as demand grows. But AI innovation can take the hardware itself even further, with advanced haptics that deliver feedback based on road surfaces, acceleration, and even collisions. Automated calibration systems can tailor equipment settings to each player’s preferences, getting them into the game faster and enhancing performance.

It’s not just home setups that stand to benefit. As professional teams turn to advanced simulations for training and strategizing, OEMs can cross-sell into the traditional motorsports market with scalable, AI-powered simulations that meet their rigorous demands.

Fan experiences

Just like traditional motorsports, eSports is about the fans as much as it’s about the players. For sim racing providers, the fan experience is full of innovation potential—and OEMs can use AI to make it happen.

AI can be used to generate highlight reels that showcase the most thrilling moments of a race, capturing attention and driving engagement. Combine this with AI-driven workflows that automate production, and racing platforms could create and share more material at speed.

Personalized content could take engagement even further: fans could enjoy custom race recaps focused on their favorite drivers or teams, keeping them connected to the action. AI-enabled translations could even help fans enjoy commentary in more languages, expanding viewership.

OEMs, time to take the lead in eSports

The world of eSports is only going to keep growing, so the best time to get involved is right now. Join a partner program that offers the off-the-shelf AI tools you need to innovate, deploy, and scale solutions that will shape the future of virtual racing for players and fans alike.