The body is facing massive backlash for the move
PARIS
FIFA president Gianni Infantino said Wednesday that the proposed launch of a private subsidiary to expoit the commercial benefits of the World Cup was “an opportunity but not an obligation”.
In a video released amid a furious backlash to FIFA’s controversial plans to sell stakes in FIFA’s major competitions, Infantino argued that too little of football’s commercial value reached the parts of the game that need it most.
World football’s governing body had said Tuesday it would retain a majority share in FIFA Forward Enterprise (FFE) but hoped to raise $4.2 billion later this year by “carefully selecting long-term investors who will purchase minority, non-controlling interests”.
Various media outlets reported on Wednesday that Infantino had sent a letter to FIFA’s member associations saying they will each receive $40 million if they back the plan — but they must sign up by September 19.
“FIFA Forward Enterprise, or FFE, is actually a proposal, an offer. It’s part of a democratic process – a consultation process – and, above all, it is an opportunity but not an obligation,” Infantino said in the video.
“It is a golden opportunity to turbocharge the development of the game globally. But again, it is just an offer, not an obligation.”
Infantino insisted the proposal was centred on unlocking “previously uncaptured commercial value” and was conditional on a democratic vote of FIFA’s 211 member associations and approval by the 38-member FIFA council.
“Capturing that value requires additional expertise, additional insight, distinct from governing and developing the sport,” he said.
“It would simply commercialise and organise all FIFA-owned competitions along with sponsorship, broadcast, licensing and new ventures for the benefit of FIFA’s 211 member associations.”
Infantino said the game would not change and the fans would be happier.
“Fans from everywhere in the world would gain immeasurably from this game-changing potential because it will transform football in their countries,” he said.
The Times — which broke the original story on Tuesday — reported Infantino, 56, stood to profit from the scheme by becoming commissioner of the FFE after his expected next term expires in 2031. FIFA denied that this had been discussed.
The article also said discussion had started with financial advisors and potential investors.
Those include Thrive capital, an investment company founded and led by Joshua Kushner, brother of US President Donald Trump’s son-in-law Jared, as well as an arm of JP Morgan Chase, the US bank that attempted to finance the failed breakaway European Super League.
