Honda and Team Liquid: A cautionary tale of risk and reputation in esports

This week, Honda ended its six-year sponsorship of Team Liquid after an inappropriate social media post from one of the team’s Rainbow Six players, Lucas ‘DiasLucasBr’ Dias. The post, seen as offensive towards Japanese players, prompted a swift apology from the team and the player but the damage was already done.

For Honda, a brand with deep ties to Japanese culture and a global reputation to protect, the post crossed a line.

“After much consideration, AHM (American Honda Motor Co.) has decided to terminate its sponsorship with the team in question, deeming the conduct to be incompatible with Honda corporate values and unacceptable,” the brand said in a statement. “We deeply apologise for any offence this incident may have caused. Honda will continue to support activities that provide positive value to society.”

The risks of Esports sponsorship

Esports remains one of the most exciting frontiers for brand marketers: young, global, passionate audiences; digital-native activations; and content that lives in real time. But it also comes with real reputational risk.

The average professional esports player is barely out of their teens. Many grew up online, rose to fame quickly, and are still learning how to behave as public-facing brand ambassadors. Unlike traditional athletes, esports stars aren’t schooled in media training and many do not understand the line between humour and offence.

For brands, this creates a challenge: the very thing that makes esports engaging,  personality,  is also what makes it unpredictable.

Big personalities, big consequences

Team Liquid is one of the most recognisable names in esports. But that notoriety also makes every action from its players more visible. A single inappropriate post, even if not malicious, can undo years of brand equity, particularly in a hyper-sensitive, hyper-connected ecosystem.

In this case, Team Liquid responded with transparency and accountability. The player was fined four months’ salary, an apology was issued and accepted, and the team expressed regret over losing Honda as a partner. But for Honda, the reputational cost outweighed the value of continued association.

Lessons for sponsorship professionals

There are three clear takeaways from the Honda–Team Liquid fallout:

1. Do your due diligence
   Personality-driven sponsorships require a deeper level of background checks and ongoing monitoring. Look beyond team performance and audience reach to understand the individuals you are partnering with.

2. Build exit clauses into contracts
   Every sponsorship agreement should include a clear code of conduct and reputational exit clause. Without this, brands may find themselves trapped in damaging partnerships with no easy route out.

3. Invest in education, not just exposure
   Sponsors can play a proactive role in preparing talent for brand representation. Media training, social media guidance, and regular check-ins should be part of any high-profile deal, particularly in youth-dominated spaces like esports.

For a more detailed look at esports sponsorship, where and how to invest consider The Sponsor's three-part esports series.

Looking Ahead

In fast-moving, personality-driven spaces, brand alignment isn't a one-time check, it’s a constant requirement. The right partnership can still deliver powerful results, but only when built on shared values and backed by clear accountability.

Honda made the right call. The lesson for others? Choose wisely, stay alert, and don’t be afraid to walk away.

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