General view as workers carry the FIFA logo on the pitch Credit: REUTERS/John Sibley
By Drew Lerner on

FIFA sent shockwaves through the soccer world earlier this week when it announced plans to raise $4.2 billion from selling equity to private investors as part of a proposal to “unleash the commercial potential and opportunity that FIFA has.” The proposal included forming a new entity called FIFA Forward Enterprise (FFE) which would control the federation’s commercial and event operations, including the World Cup.

Backlash to the proposal was swift and considerable. On Tuesday, UEFA released a statement strongly opposing the move and even threatening a boycott of the World Cup should it go through.

It is not the first time UEFA has threatened to boycott a World Cup. The organization did the same thing when FIFA proposed making the World Cup a biennial event in 2021.

“This crosses a line that football’s governing institutions should never cross,” UEFA’s statement read.

CONCACAF offered a more measured dissent on Wednesday morning, issuing a statement that the confederation is “deeply concerned by the lack of due process” from FIFA on the matter.

The Asian Football Confederation (AFC) echoed CONCACAF’s sentiment, saying it was “disappointed that a matter of such significance entered the public domain before the AFC family had been afforded the opportunity to examine and discuss it through the appropriate and established governance channels.”

FIFA president Gianni Infantino described the plan as an “opportunity” to spread additional funding throughout FIFA’s 211 member associations. “This is about the democratisation of football worldwide,” the FIFA president said.

Of course, the possibility of outside investors would come with a new mandate for FIFA to maximize profits. On paper, FIFA exists as a non-profit whose function is to facilitate high-level international soccer competitions throughout the world. While that characterization can certainly be debated, equity investors would change the entire complexion of FIFA’s mission.

FIFA is prepared to go to market with broadcast rights for the 2030 and 2034 World Cups in many countries across the globe. Those deals will likely be among the most lucrative in FIFA’s history, particularly as new initiatives like hydration breaks balloon revenue potential for broadcasters. FIFA’s expected revenue windfall makes it an ideal time for the governing body to attempt a maneuver like this, and it appears that Infantino is not backing down.

According to Martyn Ziegler in The Times, the FIFA president is telling countries to sign onto his proposal in 53 days, for $40 million each, or reject the plans and receive just $10 million.

UEFA responded with yet another statement, saying FIFA’s deadline “says everything you need to know about this plan.”

FIFA’s controversial proposal is quickly becoming a battle of wills that is set to play out over the coming months, and could very well determine the future of the beautiful game’s most storied tournament.

About Drew Lerner

Drew Lerner is a staff writer for Awful Announcing and an aspiring cable subscriber. He previously covered sports media for Sports Media Watch. Future beat writer for the Oasis reunion tour.

View all posts by Drew Lerner