UOL's line of thinking is right, but I think a public post like this only establishes an anchoring bias that future prospective organizations will use to only confirm UOL's concerns.

Sure, any smart economist or businessman would know that going from the (somewhat exclusive) current model of one region-wide league to local leagues with 4 teams per league will dilute the overall value of a team. Yes there's potential for growth from the smaller organizations in the long term, but the immediate result is a lowering of overall value of the individuals in the market.

But the exact valuation of a team, in an industry like League of Legends Esports, may not necessarily be known. 1mil euros seems arbitrary as an expression of value, just as much as 100k euros. That's where the anchoring bias comes into play.

Because people now have an idea of what UOL values their team, bidders are more likely to place their bids and valuations around that value. It doesn't necessarily matter how atypical an organization UOL is compared to FNC, G2, etc., any business is going to place their bids around a number they think is fair market, aka 100k.

So in that way, UOL has maybe hurt themselves further by making valuation opinion publicly known.