The deal aims to bolster FIFA's expectations for significant revenue from the upcoming soccer tournament, which showcases 32 teams from around the world.
**FIFA Strikes $1 Billion Deal with DAZN for Club World Cup Broadcast**
**FIFA Strikes $1 Billion Deal with DAZN for Club World Cup Broadcast**
FIFA closes a lucrative agreement with DAZN to air its inaugural Club World Cup, overcoming previous broadcasting obstacles.
In a significant move for global soccer, FIFA announced on Wednesday that it reached a $1 billion broadcasting agreement with DAZN for the inaugural Club World Cup set to take place in the United States next year. The announcement comes just a day before FIFA President Gianni Infantino is set to oversee the draw for the highly anticipated tournament, which will feature 32 teams from various leagues around the world.
While the specific financial terms of the deal remain undisclosed, sources indicate that DAZN is investing close to $1 billion, with the streaming giant also retaining an option to secure broadcasting rights for future tournaments. FIFA had previously projected its television rights could generate around $800 million as part of the overall $2 billion revenue expected from the event, a figure that many industry experts deemed overly optimistic.
FIFA's initial strategy was to forge a similar $1 billion global deal with tech giant Apple, but discussions fell through as the company deemed FIFA's demands to be too steep. Following this setback, DAZN stepped in. The London-based sports media outlet, owned by billionaire Len Blavatnik, has been expanding its portfolio in soccer, currently holding rights to significant leagues and competitions worldwide, despite facing substantial financial losses since its inception in 2016.
DAZN's financial commitment reflects a broader trend in the sports broadcasting landscape, particularly as the company develops partnerships around the world, including recent ties with Saudi Arabia—one of the largest investors in global sports. This collaboration hints at the potential for Saudi investment into DAZN, aligning with the nation's goal to establish a comprehensive sports network. Notably, FIFA will be awarding the 2034 men’s World Cup to Saudi Arabia the following week, further indicating the evolving dynamics of sports broadcasting and sponsorships in a rapidly changing market.
While the specific financial terms of the deal remain undisclosed, sources indicate that DAZN is investing close to $1 billion, with the streaming giant also retaining an option to secure broadcasting rights for future tournaments. FIFA had previously projected its television rights could generate around $800 million as part of the overall $2 billion revenue expected from the event, a figure that many industry experts deemed overly optimistic.
FIFA's initial strategy was to forge a similar $1 billion global deal with tech giant Apple, but discussions fell through as the company deemed FIFA's demands to be too steep. Following this setback, DAZN stepped in. The London-based sports media outlet, owned by billionaire Len Blavatnik, has been expanding its portfolio in soccer, currently holding rights to significant leagues and competitions worldwide, despite facing substantial financial losses since its inception in 2016.
DAZN's financial commitment reflects a broader trend in the sports broadcasting landscape, particularly as the company develops partnerships around the world, including recent ties with Saudi Arabia—one of the largest investors in global sports. This collaboration hints at the potential for Saudi investment into DAZN, aligning with the nation's goal to establish a comprehensive sports network. Notably, FIFA will be awarding the 2034 men’s World Cup to Saudi Arabia the following week, further indicating the evolving dynamics of sports broadcasting and sponsorships in a rapidly changing market.
