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FIFA faces backlash over plan to sell stake in commercial rights
🇮🇪 Ireland /Sports

FIFA faces backlash over plan to sell stake in commercial rights

From RTÉ News · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

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  • FIFA is proposing to sell up to 20% of its commercial rights and event operations to private equity firms through a new subsidiary called FIFA Forward Enterprise (FFE).
  • The move, led by FIFA President Gianni Infantino, aims to generate up to €4.9 billion to be distributed to its 211 member associations and reinvested in football.
  • Critics are concerned about outside investors influencing FIFA's decisions, despite the organization's assurances that control over competitions will remain with FIFA.

FIFA is considering a controversial proposal to sell a stake in its commercial operations, a move that could reshape the future of global football tournaments.

Under the plan championed by President Gianni Infantino, FIFA would establish FIFA Forward Enterprise (FFE), a subsidiary to manage "commercial rights and events operations." This entity would be majority-owned by FIFA, but up to 20% of its stakes could be sold to private investors. FIFA claims this would unlock up to €4.9 billion, benefiting its 211 member associations through "better pitches, stronger national teams, more pathways for young players, and greater support for women's football."

However, the proposal has sparked outrage, with concerns that private investors could gain undue influence. FIFA insists that investors will have no say in competition formats, frequency, or expansion, with such decisions remaining solely with FIFA's Congress and Council. The organization pointed to Formula One and some European leagues as examples of sporting bodies with dedicated commercial operations.

Investors have no role in, and no influence over, decisions on competition format, frequency, or expansion. Such matters remain solely for FIFA's Congress and Council to decide, in line with FIFA’s existing governance processes.

— FIFAFIFA's statement addressing concerns about private investors' influence on competition decisions.

Adding to the controversy, one potential investor group linked to the deal is led by Thrive Eternal, founded by Joshua Kushner, brother of Jared Kushner, former US President Donald Trump's son-in-law. Infantino has cultivated a close relationship with Trump, even presenting him with a FIFA peace prize.

The proposal comes less than two weeks after the World Cup final, leaving future tournaments, including the upcoming Women's World Cup, in a state of flux. FIFA's move represents an unprecedented step for the governing body, which has historically maintained a not-for-profit status.

better pitches, stronger national teams, more pathways for young players, and greater support for women's football

— FIFAFIFA's claimed benefits for member associations from the proposed commercial venture.
DistantNews Editorial

Originally published by RTÉ News in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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