Tag: Agon Limited

US Chess Sends Open Letter to FIDE

Earlier this week, the United States Chess Federation (US Chess) released an open letter from Gary Walters, the federation’s president. In the letter, which is addressed to Nigel Freeman of the World Chess Federation (FIDE), US Chess made official many of the concerns that the larger chess community has expressed for some time about the state of FIDE and the effect that Kirsan Ilyumzhinov’s seemingly endless tenure as FIDE president has had on the sport. The letter is very telling in that it shows the depths of leadership, communication, and organization problems that exist within FIDE; they are much worse than some had expected.

Gary’s letter addresses the hijab controversy at the 2017 Women’s World Chess Championship in Tehran (still ongoing) and problems surrounding Ilyumzhinov’s sanctions by the United States Government and the contradictions between FIDE’s statement that he would step down temporarily to address the sanctions. Instead, Ilyumzhinov has appeared regularly at major chess events in the capacity of FIDE president and has made no apparent effort to clear his name with the Department of the Treasury. This is all stuff that we know, but perhaps the most interesting moment comes when Gary addresses the 2016 World Chess Championship in New York City.

…this indecorous behavior is coupled with the conduct of a World Championship on U.S. soil without so much as a word in advance to the nominal “host” Federation, FIDE’s conduct becomes insulting.

Say what? Apparently, the announcement that the championship would be held in the United States in 2016 was never communicated to US Chess prior to the declaration. The United States was happy to host the event, but any professional governing body like FIDE owes the host nation’s federation a courtesy call and head’s up prior to announcing such a major event! Although, US Chess does have a recently unemployed resource that could help them gather intel without FIDE knowing…

Gary’s right in that this kind of behavior is insulting to US Chess and to chess in general, but I am inclined to believe that US Chess did not receive a phone call prior to the announcement because Ilyumzhinov made the decision on the fly and that the intention to host the event in the United States was a last minute gamble to generate publicity. In addition to the Championship problem, Gary also addresses every chess fan’s least favorite shadow company: AGON.

on several occasions AGON has failed to live up to its end of agreements with FIDE, with a predictable injurious effect on FIDE. The failure of AGON to make contractual payments has caused difficulties for some federations that would normally receive support from FIDE. President Vega states that he has informed FIDE in strong terms that it should cancel the agreement with AGON in light of its nonperformance.

Oh. My. God! Yes! Please, cancel this contract…but it will never happen unless Ilyumzhinov himself is relieved of his position because AGON is another one of his pet projects. AGON’s failure to follow through on its contractual obligations is hilariously hypocritical considering its incessant attempts to sue legitimate companies like Chess24 and Chessbomb for sharing moves during the Candidate Tournament and 2016 World Chess Championship. Unit the dirt is cleaned from the FIDE leadership ranks, this will continue to happen only to the detriment of chess around the world.

The motto of FIDE is Gens Una Sumus, which means We Are One People. As lovers of chess, we are one people but FIDE continues to act as though it is above the law and above the players and fans within its charge. Although I doubt that much will come of it, I am proud of my chess federation for speaking out against the destruction that FIDE is bringing to the sport. It is refreshing to know that US Chess remains committed to the truth of American ideals, which is obedience to law and standing up for what is right. I applaud Gary for his letter and for the board of US Chess for showing that they stand with the larger chess community as a body committed to fixing problems and promoting our game!

Here is the letter in its entirety. Plus, you can read the original post on the US Chess website here.

To: Mr. Nigel Freeman, Executive Director, World Chess Federation

Dear Mr. Freeman:

I write openly on behalf of the United States Chess Federation (“US Chess”) to express growing concerns that our Federation has with the World Chess Federation’s (“FIDE’s”) general casualness toward its own rules and statements, to FIDE’s lack of responsiveness to us as a member nation, to the questionable status of its president, and as well as to its economic health.

On October 6, 2016, I wrote to FIDE, care of yourself, to ask that any religious requirements for the Women’s World Championship in Iran be spelled out plainly respecting the obligatory wearing of hijabs, as well as for any other religious conduct requirements that might be imposed upon the participants. Without repeating my earlier letter, the text of the provisions at issue may be found in Section 1.2 of the FIDE Handbook, as well as set forth in Principle 6 of the Olympic Charter. At the time of my earlier letter, we found it peculiar that FIDE held itself to the world as being opposed to discriminatory treatment and as a guardian of equal rights, only to award the Women’s World Championship to a country that resides at the center of controversy concerning the fair and equal treatment of women. We continue to find FIDE’s actions peculiar.

I never heard from you on the above matter except in the briefest email by which you told me that my questions would be answered after FIDE conferred with the Iranian Chess Federation. That was months ago. Later, and without any of the promised answers being provided, you invited me to search out Mr. Makropoulos while he was in New York for the World Championship. For a world sporting organization, this lack of a formal response was troubling. When this indecorous behavior is coupled with the conduct of a World Championship on U.S. soil without so much as a word in advance to the nominal “host” Federation, FIDE’s conduct becomes insulting. Chess deserves better. So does US Chess.

We are also concerned about the ongoing role of the current FIDE president. FIDE’s communications regarding its President have created a confused state of affairs. FIDE issued a public statement more than a year ago, shortly after the time Mr. Ilyumzhinov was sanctioned by the U.S. Government, in which FIDE declared that Mr. Ilyumzhinov would have no further business, legal, or financial involvement with FIDE’s affairs. The ostensible purpose of his withdrawal from those affairs was so that he could “concentrate on clearing the situation with the US Department of the Treasury.” (See FIDE’s Statement of 12/16/15.) It is beyond time for FIDE to update the world of chess on that “situation.” The world’s greatest game suffers immeasurably under Mr. Ilyumzhinov’s persistent cloud. His own statements do nothing to benefit chess, but rather exacerbate the confusion, including an absurd demand that he be granted U.S citizenship. Moreover, despite that the December 2015 FIDE statement set forth that Mr. Makropoulos would exercise the powers of the president, we note that Mr. Ilyumzhinov has recently attended more than one international event appearing in ceremonies as the President of FIDE. If there has been a change in FIDE’s December 2015 statement, please announce the revisions.

Finally, we have received an open letter from the President of the Confederation for Chess of Americas (“CCA”), President Jorge Vega, in which he states that he finds FIDE’s financial situation “worrying.” As President Vega points out in his December 2016 letter, on several occasions AGON has failed to live up to its end of agreements with FIDE, with a predictable injurious effect on FIDE. The failure of AGON to make contractual payments has caused difficulties for some federations that would normally receive support from FIDE. President Vega states that he has informed FIDE in strong terms that it should cancel the agreement with AGON in light of its nonperformance. We echo President Vega’s concerns and recommendations.

US Chess will not standby and quietly watch as FIDE’s corporate and presidential conduct damages the game of chess. While we remain ever optimistic and continue to believe in Gens Una Sumus, we fervently hope that FIDE will improve its communications, sets its Presidential Board in full order, adhere faithfully to its rules and regulations, and forthrightly present and improve its financial health for the good of the game. Very Respectfully,

Gary L. Walters, President, US Chess

Magnus Carlsen Retains World Chess Title

Magnus Carlsen put the final nail in the coffin for the 2016 World Chess Championship with a spectacular finish in the 25 | 10 rapid tiebreaker. Carlsen had been frustrated throughout the event and fell behind before managing to equalize the standings in Game 10. He went on to win the last two games of the rapid event, which finally put an end to his challengers efforts and solidified his place as World Chess Champion for the next two years. As the main portion of the event drew to its conclusion, many in the chess world began taking note of the precarious position Sergey Karjakin could find himself in against one of the strongest rapid and blitz players in the world.

The first two tiebreaker games were drawn with Karjakin narrowly escaping a loss in the second game but unable to stop the onslaught that ultimately allowed Carlsen to retain his title.

Carlsen’s incredible finish to the rapid tiebreaker event.

The position above is stunning and reaffirms why Magnus Carlsen is the best chess player in the world. With Qh6+, Magnus brought his opponent’s bid to become the next world champion to his stunning halt. There were moments throughout the event where it seemed that Sergey Karjakin was poised to overtake Carlsen, but never found a way to convert his opportunities into solid wins. Of course, there were moments throughout the event were Magnus seemed to struggle both with his chess abilities and his ability to keep his emotions in check (no pun intended). Magnus took a little bit of criticism on social media for his outburst following his loss in the classical round, but I have to say that him storming out of the press conference is the kind of stuff that chess needs if it wants to become a popular, respectable, and marketable activity in the United States.

Viewership Review

Agon, which has become a four letter word In the chess community has refused to release (at least for now) the exact number of people who purchased their premium package for viewing the event, but initial estimates project that less than 10,000 people paid for the premium streaming and commentary package. Personally, I was pleased to be able to follow the games as a premium member of Chessbase, on ChessBomb, and to watch the exceptional commentary and analysis from some of my favorite people over on chess24.com. Still, just a long way to go if it wants to build an American audience to the point where corporations like Pepsi, Red Bull, or other major corporations are willing to sponsor the events. As mentioned in an excellent news article published shortly after Carlsen’s victory, chess needs a series of dramatic stories in order to sell itself to the American people. Bobby Fischer made history as the lone genius who challenged the world’s greatest chess power, the Soviet Union, during the Cold War which allowed the American people to relate what was happening on the board to what was happening every day in their news. When professional chess can find a way to bring the drama and excitement of playing the game to people in a way that relates to their everyday struggles and experiences, then it will find itself at a buffet of sponsors and fans. Compelling drama and personal connection sells products, not frivolous litigation.

America Shows Agon How an Open Market Works

Just prior to the start of the 2016 World Chess Championship (WCC) in New York City, Agon Limited filed suit in United States Federal Court against Chess24, Chessbomb, and ChessGames.com to prevent them from broadcasting the moves just as they did (and lost) in Moscow earlier this year.

“These entities expend no time, effort, or money of their own in organizing, producing, or hosting the chess events for the World Championship and instead reap economic benefit from free-riding on the work and effort of World Chess.” – Reuters

However, just as with their loss in Moscow, New York District Judge Victor Marrero ruled in favor of the defendants for most of the reasons that have been covered on this blog and in countless others in the chess community already. The most important of those? CHESS IS FOR THE MASSES!


Chess is a game that transcends all boundaries. (Credit: WikiMedia)

RIAA of the Chess World

Although they were readily handed defeat in two countries, Agon promises to continue pursuit of its business model despite widespread business and consumer disapproval. Despite obvious attempts to assist the company with its model, Agon refuses to acknowledge that its attempts to restrict access to tournament moves is misguided. As a direct result, it seeks to force consumers to engage its unreliable and third-rate content delivery system instead of offering a compelling service for fans of the game to watch and enjoy.

Agon has quickly turned itself from an obscure entity into the modern chess equivalent of the Recording Industry Association of America which successfully sued a multitude of families in the early 2000s for downloading mp3 files from Napster and other file-sharing services. By suing grandmothers and teenagers for untold millions of dollars, the RIAA quickly became synonymous with corporate greed, censorship, and created a gap between recording artists and their fans from which some artists never recovered.

Hope for an Agon awakening remains dim, but I am pleased to see that both the United States and Russia dealt a blow for freedom to its blatant attempts to monopolize public domain information.

Agon Loses in Moscow Court

As the world prepares for the coming showdown between Magnus Carlsen and Sergey Karjakin in New York City, a Moscow court dealt a serious blow to Agon/FIDE’s attempts to limit the broadcast of moves from the event. The court ruled that Agon’s claim to the moves as trade secrets was not accurate and even ruled that its claims against Chess24 were invalid because Chess24 is outside of Agon’s legal jurisdiction.

English translation of the ruling. (Credit: Chess24.com)

The ruling is re-printed in English above from Chess24’s article with a full explanation of the ruling and its implications for Agon’s ongoing war against chess freedom located on the same page.

The Agon Widget from Hell

Remember back in March when Agon, the FIDE puppet company responsible for organizing and managing the World Chess Championship cycle limited the live game broadcasts and infuriated pretty much everyone except their billionaire Russian investors and mafia henchmen? Well, run-on sentences aside, the Agon mafia has returned to show its ugly teeth in the run-up to the World Chess Championship in New York City this November with an announcement that broadcast of the games will be limited to a widget designed to be embedded into an external website to broadcast the games. Peter Doggers at Chess.com breaks the announcement down a little more. When you have finished reading his excellent report, behold the new widget:

Agon’s WCC broadcast widget. (Credit: Chess.com)

According to the official statement,

First, and most importantly, the live moves of the World Chess Championship match will be made available for free to responsible chess websites and other media organizations that take our official broadcast widget.

Although it is presented as the most important part of the broadcast announcement, the idea that the WCC moves should be free is buried in the typical Agon-FIDE hyperbole and legal threats to the chess community and its myriad of online portals. For example,

It is fair to say that the furor that followed divided the global chess community. We were asked, “Does Agon have the right to prohibit anyone from broadcasting the moves as they were made?” We believe that we do and that we have a strong legal position. We also have the full support of the World Chess Federation and many others within the game.

Agon acknowledges that its actions divided a deep and thriving community, but it still fails to see that the divide is between Agon-FIDE and everyone else, not a divide among the chess community. In fact, I don’t believe that I’ve ever witnessed an online community come together en masse like the chess community did when Agon announced its monopoly. With its restrictive broadcasting agreements and tactics aimed at subverting the established ecosystem, Agon has alienated itself from countless people who care about chess and want to see it grow. Furthermore, to assert that its position is legitimized by a FIDE endorsement is no different than saying that its okay to restrict the games because the Kremlin says so. In addition, those within the game that are often quoted by Agon-FIDE couldn’t care less about broadcast rights for chess. Their names are solidified in the annals of chess history and their view is always from the front row…at the board!

What we are doing has never been attempted before in the chess world. It is a revolutionary approach and I am sure we will probably make some mistakes in its implementation before we are finished.

Really? It hasn’t? Do they mean that nobody has ever created a chess widget before to cover broadcasted games? How interesting because Chessbase has one and Chessbomb has one that regularly broadcasts live tournament games. This kind of drivel expounds on how little Agon-FIDE really knows about the depths of ingenuity, innovation, and connectedness that exist in the online chess world.

Suspicious Widget

As a veteran of nearly thirty years of computer and network development, I can say that most competent webmasters are reluctant to arbitrarily add external widgets to their platforms. Companies often gain the trust and respect of their customers by demonstrating commitment to that platform’s service before said platform allows their widget or code to be embedded within their framework. For me, I trust Chessbase and Chessbomb because they have earned trust and respect as reputable companies with a legitimate interest in furthering the game of chess. Agon has done nothing but drive a wedge between the chess community and the organization that is supposed to be championing our game.

Would you trust a Soviet JavaScript or PHP widget on your network or content platform? I sure as hell wouldn’t. Call me paranoid, but the truth is always buried in fine print and revealed in data breaches or midnight special forces raids.

The Agon Monopoly – The World Takes Notice

It took some time but the mainstream media has started to notice and report on the war between Agon and the rest of the chess world. A recent article on Bloomberg has raised interest in the company’s move to monopolize the 2016 Candidates Tournament broadcast and that of any subsequent tournaments connected to the World Chess Championship cycle. As many of us already know, the move has deepened the wedge between the World Chess Federation and countless fans across the globe. As explained in the article,

The company hired by the World Chess Federation to organize and broadcast the ongoing tournament in Russia announced earlier this month that other websites would not be allowed to offer live coverage, as many had done in the past.

This paragraph represents how the situation most likely appears to outsiders because it is how Agon/FIDE has worked to project its position in relation to live tournament broadcasts. Agon appears to be a legitimate company hired by FIDE to manage the championship tournament cycle because that is how the elaborate pyramid system involving FIDE and Agon is established and portrayed. It goes without saying that the boards of entire corporations have been put in prison in the United States for engaging in the same activities that have been undertaken by the leadership of the World Chess Federation and its phantom company. Let us take a moment to break down the history of Agon, its influence and relationship with the World Chess Federation.

  • Agon was founded in 2012 by Andrew Paulson, an American businessman for the sole purpose of managing and promoting chess tournaments and specifically, the World Chess Championship cycle. Because of missteps in management and controversy over the company’s ownership, Agon never organized a single chess event or sponsorship under Paulson and shortly after he became president of the English Chess Federation, Paulson sold the company to its current owner, Ilya Merenzon. Although it operates primarily out of the Russian Federation, Agon is registered as a private company based out of New Jersey.

  • As early as 2014, accusations arose that Kirsan Ilyumzhinov, the president of the World Chess Federation, was to be provided 51% in shares of Agon, which would have made him a majority shareholder and a de facto controller of the company and its assets. Conflict of interest is a term ill-suited to describe that kind of situation. Because of Ilyumzhinov’s reputation for deception and monopolistic control of the World Chess Federation, it is hard difficult to determine exactly where fiction ends and reality begins in the story of his relationship to Agon.

When Agon announced its intentions to limit the broadcast rights of chess websites around the world shortly before the start of the 2016 Candidates Tournament, the reaction was swift and furious. Campfire Chess joined in support of Chessdom, Chess24 and Chessbomb as they defied the company’s demands and continued broadcasting the live moves in protest throughout the tournament. I continue to stand by this position because everything that I am says that dissent in this case is the right thing to do. According to the official website, Agon has filed legal action in Moscow against Chess24, ChessGames.com, The Internet Chess Club, and Chess24 because of their defiance, but it will be curious to how the whole scenario plays out because Agon has no standing to pursue action against these sites, as has been demonstrated in case law and in settlements as recent as 2015 with Major League Baseball.

kentfide

Kent Brockman reporting… (Credit: Fox)

Naivety and Corporate Expectations

I am certainly not blind to the needs of companies to turn a profit from their products. Campfire Chess is a nonprofit organization funded entirely by me, but my long term dream is to monetize some kind of product. However, the rules of business are much more complicated than ordering other companies to cease their operations so that another company can turn a profit.

This is what Agon and FIDE leadership do not understand. If they want to build sponsorship and monetize chess tournaments, then they need to offer a product that is in higher demand than others. Chessbase, Chess24, Chessbomb and countless other sites in the online chess ecosystem offer live commentary, video lessons, and a sense of community that draws people in to their services. This is what Agon should be doing if it wants to compete. I am entirely open to watching tournaments on an exclusive tournament site if that site offers coverage and supplemental material that makes the experience worth it.

Until they figure that out, dissent will continue because chess is for the people.

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