DAZN, a London-based streaming platform, agreed to pay close to $1 billion to broadcast FIFA's inaugural 32-team Club World Cup, set to commence in the U.S. next year. The announcement was made just one day prior to the tournament draw, as FIFA faced challenges in securing a reliable broadcast partner. Although specific financial terms were not disclosed, notable sources indicated that DAZN has also acquired options for future rights to the event.
This contract appears to be a win for FIFA amid previous difficulties, as initial negotiations with Apple for a $1 billion global broadcast deal fell through due to FIFA's perceived excessive demands, which had been significantly reduced from earlier estimates. Industry consensus suggests that the organization's projected revenue from television rights fees, estimated at $800 million, may not be feasible.
DAZN, which was established by billionaire Len Blavatnik, has been expanding its reach in global football, acquiring rights to key competitions and leagues. Despite facing substantial financial losses since its inception in 2016, DAZN's strategy recently included a partnership with Saudi Arabia as it aims to develop a comprehensive sports portfolio. This alliance has raised speculation about possible direct investment from Saudi stakeholders, particularly as FIFA prepares to award the 2034 Men's World Cup to the Gulf nation next week.
This contract appears to be a win for FIFA amid previous difficulties, as initial negotiations with Apple for a $1 billion global broadcast deal fell through due to FIFA's perceived excessive demands, which had been significantly reduced from earlier estimates. Industry consensus suggests that the organization's projected revenue from television rights fees, estimated at $800 million, may not be feasible.
DAZN, which was established by billionaire Len Blavatnik, has been expanding its reach in global football, acquiring rights to key competitions and leagues. Despite facing substantial financial losses since its inception in 2016, DAZN's strategy recently included a partnership with Saudi Arabia as it aims to develop a comprehensive sports portfolio. This alliance has raised speculation about possible direct investment from Saudi stakeholders, particularly as FIFA prepares to award the 2034 Men's World Cup to the Gulf nation next week.
