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Apple may strike a historic deal with FIFA—and give a major boost to its streaming service

April 23, 2024
in Business
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Apple is reportedly strengthening its presence in the live sports industry with a groundbreaking agreement with FIFA, the global governing body of soccer, for exclusive television rights to a new tournament that will be held worldwide.

According to the New York Times, the announcement of the TV deal could happen this month, with the tournament scheduled to take place in the U.S. next summer. This agreement with Apple would be a departure from FIFA’s usual approach of striking deals with multiple TV providers in various countries for global events like the World Cup.

Unlike previous agreements, the deal with Apple may exclude free-to-air rights, potentially limiting access to Apple TV+ subscribers only. This has raised concerns among some senior FIFA executives, as reported by the Times.

“As a general practice, FIFA does not confirm or deny commercial discussions,” said a FIFA spokesperson to Fortune.

Last year, Apple secured an exclusive 10-year deal worth $2.5 billion for streaming rights to Major League Soccer, known as MLS Season Pass. The move proved beneficial for Apple as subscriptions to Apple TV+ saw a significant increase following the debut of World Cup winner Lionel Messi with MLS Club Inter Miami CF in June.

While Apple does not disclose specific revenue figures for Apple TV+, the services business segment it belongs to generated $85.2 billion in net sales in 2023, a 9% increase from the previous year, according to the company’s latest SEC filing.

The competition for live sports content has intensified as streaming platforms aim to expand their offerings. Peacock and Amazon Prime have both made significant investments in NFL streaming rights, while Apple has also become more active in securing live sports deals.

Apple is vying with other streaming services like Amazon Prime Video, YouTube, and Netflix to acquire rights for NBA games, as reported by the Athletic. Additionally, Apple reached a streaming rights agreement with Major League Baseball in 2022.

The upcoming World Cup-style tournament, previously named the Mundial de Clubes FIFA (though the name is reportedly being reconsidered), will feature 32 teams competing every four years. Top clubs such as FC Bayern Munich, Paris Saint-Germain FC, and Inter Milan are already confirmed to participate, according to FIFA President Gianni Infantino.



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