FIFA President Gianni Infantino announced on Friday that he was abandoning a controversial plan to allow private investors to buy a stake in future profits from World Cups and other FIFA events. This decision came after significant backlash from various football entities worldwide, including European football body UEFA, the Asian Football Confederation (AFC), and the North American and Caribbean federation (CONCACAF).
Infantino's proposal aimed to raise $4.2 billion from investors, based on an equity valuation of $20 billion, by selling an approximate 20% stake in a new commercial subsidiary called FIFA Forward Enterprise (FFE). The "anchor investor" was reported to be Thrive Eternal, a firm launched by Joshua Kushner. Under this plan, FIFA's 211 member federations, who were offered $20 million each with a September 19 deadline to accept, would have seen their funding double from the $10 million they were already due over the next four years.
The backlash was intense, with UEFA pledging to boycott all FIFA competitions if the plan proceeded. Concerns were raised that private investors would demand more games and bigger competitions, potentially disrupting the balance of global soccer and impacting club soccer revenues. Infantino faced internal dissent as well; his senior adviser, Carlos Cordeiro, resigned, calling it a "bad deal," and FIFA chief operating officer Kevin Lamour issued a statement defending colleagues.
Infantino stated that he abandoned the project because it had "created divisions of a nature that...are no longer in the interest of the objective set out in the first place." The existing funding of $10 million per member federation is largely supported by FIFA's record $15 billion revenue from 2023-2026, tied to the recently concluded World Cup. The proposed FFE plan would have increased funding to $20 million each, then to $22 million through 2034, and $24 million by 2038, which was a substantial sum for smaller federations but less of a priority for larger football powers like England or Spain.
The swift abandonment of the plan marks a significant misstep for Infantino, who was reportedly seeking support for re-election. His lack of consultation with key stakeholders and the strong opposition from various confederations and senior staff ultimately led to the project's downfall. Even after scrapping the plan, his level of support among member federations remains uncertain.
