FIFA has decided to abandon its controversial proposal to establish FIFA Forward Enterprise (FFE), a commercial subsidiary that aimed to sell minority stakes to private investors. The plan, which sought to raise approximately $4.2 billion from third parties based on a $20 billion valuation of FFE, faced significant backlash from various football bodies. FIFA stated that the plan would not move forward without the support of a majority of its 211 member associations, indicating that its commercial activities would otherwise remain unchanged.
The proposal, spearheaded by FIFA President Gianni Infantino, involved offering one-off payments of $20 million to each member federation, with a deadline of September 19 to accept. This was presented as an increase from the $10 million already due over the next four years. The "anchor investor" was identified as Thrive Eternal, founded by Joshua Kushner, whose brother Jared Kushner is former President Trump's son-in-law. The FFE was intended to manage commercial businesses, including the men's and women's World Cups and Club World Cups.
Opposition to the plan was fierce and widespread. UEFA, representing 55 member associations, threatened to boycott FIFA competitions. CONCACAF (41 member associations) and the Asian Football Confederation (47 member associations) also voiced strong opposition, bringing the total number of opposing associations to 143, more than the simple majority (106) needed to block the proposal. Critics, including UEFA, argued that selling stakes in FIFA competitions to external investors would irrevocably alter football by making commercial return a permanent obligation and investor expectations a daily pressure. Carlos Cordeiro, a senior advisor, resigned in protest, stating, "The World Cup is not for sale."
FIFA initially blamed "incorrect media reports" for the negative response and insisted on proceeding with an "open and democratic" consultation process, maintaining that "Nobody is selling football." However, the overwhelming rejection from key confederations ultimately led to the shelving of the FFE plan. The incident highlights the limits of private equity involvement in sports governance and the power of member associations in FIFA's decision-making process.
