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Report: Activision Blizzard removing salary cap in the Overwatch League and the Call of Duty League
The cap was put in place to prevent teams from outspending each other but seems to also breach an antitrust law.
It looks like the Overwatch League and the Call of Duty League will no longer feature a maximum player salary cap going into their 2022 seasons. A new report by the Sports Business Journal has revealed that Activision Blizzard intends to abolish these practices, most likely due to the antitrust investigation being conducted by the U.S. Department of Justice, which is looking into whether the league's soft cap has breached the 1890 Sherman Antitrust Act that protects players who aren't represented by a player's union.
The cap was introduced to regulate the amount of money a team can spend on its roster. The system was intended to tax a team if they went over the predetermined threshold, with that tax being distributed equally to the rest of the participating teams.
Activision Blizzard has yet to confirm these reports, but hopefully we'll know more soon.