Latest / THE DAILY BRIEF / FIFA, Gianni Infantino and the World Cup boycott threat explained
Transcript
- 0:00Speaker 1: Is tantamend to the privatization or for the moment, the
- 0:03Speaker 1: part privatization of the world's corp which is essentially a
- 0:07Speaker 1: public good.
- 0:08Speaker 2: There's an awful lot of interested parties in the game
- 0:11Speaker 2: who who want to slice the action.
- 0:14Speaker 3: The whole thing is absolutely dreadful.
- 0:15Speaker 2: It's totally unacceptable.
- 0:17Speaker 4: It's itels the feel of cronyism, nepotism, it's all of stinks.
- 0:24Speaker 5: Frankly, this goes to the very heart of whether FIFA
- 0:27Speaker 5: run football or FIFA own football. On the global stage.
- 0:32Speaker 2: FIFA talks a lot about the football family and this
- 0:35Speaker 2: is selling the football family silver.
- 0:39Speaker 5: FIFA has caused uproar after announcing plans to open the
- 0:43Speaker 5: World Cup up to private investment. But what does that mean?
- 0:46Speaker 5: Why are people so angry? But first, what exactly is planned?
- 0:51Speaker 5: FIFA says it plans to raise ten billion dollars by
- 0:54Speaker 5: selling a stake in the World Cup to private investors' money,
- 0:57Speaker 5: it says would be reinvested into the development of football.
- 1:01Speaker 5: But how would it be done. Neston McGregor explains.
- 1:04Speaker 3: By creating a new private company called fever Forward Enterprise.
- 1:09Speaker 3: It's goal would be to look for long term minority
- 1:11Speaker 3: investors to maximize the organization's commercial rights, so think things
- 1:16Speaker 3: like broadcast deals, licensing and ticket sales, and fIF remains
- 1:21Speaker 3: adamant this would not affect the overall governance of the game,
- 1:25Speaker 3: which includes the rules or the match calendar.
- 1:27Speaker 5: For example, our sports presenter Olie Foster is with us.
- 1:31Speaker 5: Ollie tell us a little bit more about what exactly
- 1:33Speaker 5: FIFA is proposing.
- 1:35Speaker 2: Yeah, not surprising the timing of this anita off the
- 1:37Speaker 2: back of a bumper. World Cup football stock has never
- 1:41Speaker 2: been higher. FIFA. They just want to sell off part
- 1:44Speaker 2: of the organization that runs its major competitions, the men's
- 1:47Speaker 2: Women's World Cups, the Club World Cup, that's the competition
- 1:51Speaker 2: for the top club sides in the world. They say
- 1:53Speaker 2: they're going to maintain control FIFA. They're going to brand
- 1:56Speaker 2: this commercial subsidiary as the FIFA Forward Enterprise, as we
- 2:01Speaker 2: just heard there critically, they're going to allow private investors
- 2:05Speaker 2: to have a minority stake in that company. Now, when
- 2:08Speaker 2: you look at how much money FEFA make, it's billions
- 2:12Speaker 2: and billions of dollars generated through their competitions, mainly the
- 2:18Speaker 2: world cut through broadcasting rights, ticketing, sponsorship deals and so on.
- 2:22Speaker 2: So the opportunity would be there if this is passed
- 2:25Speaker 2: through for investors to come in and make a lot
- 2:30Speaker 2: of money themselves.
- 2:31Speaker 5: Well, we'll have more on the reaction to all of
- 2:33Speaker 5: this in a second, but first a round of quick
- 2:36Speaker 5: fire questions for you, Ollie that people have been searching for.
- 2:39Speaker 5: Taking this back to basics. First up, who owns FIFA
- 2:43Speaker 5: governing body?
- 2:43Speaker 2: It's an organization. It's essentially owned anita by its members.
- 2:47Speaker 2: That's the two hundred and eleven football associations and federations
- 2:51Speaker 2: around the world, all shapes and sizes, all of them
- 2:55Speaker 2: having their one vote, being able to vote on proposals
- 2:58Speaker 2: a direction of travel that's put forward by FIFA Council
- 3:01Speaker 2: and its president Yannie and Fantina, and a lot of
- 3:03Speaker 2: the time those are block votes according to their continental
- 3:07Speaker 2: confederation stants. For instance, CAF the African Confederation recently said
- 3:12Speaker 2: that Infantina would get their backing in his bid to
- 3:16Speaker 2: run for a fourth presidential term next year, and that
- 3:20Speaker 2: adds up to over fifty on over a quarter of
- 3:23Speaker 2: the global votes.
- 3:24Speaker 5: A lot of people asking as well whether FIFA is nonprofit.
- 3:29Speaker 2: Yes, it is. That's how it's registered as a company
- 3:33Speaker 2: under Swiss law enjoys a number of tax breaks because
- 3:35Speaker 2: of that. Now the billions that it makes from its competitions,
- 3:38Speaker 2: especially the World Cup should then be used to aid
- 3:42Speaker 2: the development of the global game pumped back into football globally,
- 3:46Speaker 2: not all of it, though in FIFA's most recent financial
- 3:49Speaker 2: report they've also got about three billion dollars always sitting
- 3:53Speaker 2: there in reserve, a bit of a contingency pot. Part
- 3:57Speaker 2: of the backlash to all this is that though FIFA
- 4:00Speaker 2: feel that they'll be able to make more money for football,
- 4:04Speaker 2: investors if this is allowed, will certainly want to make
- 4:07Speaker 2: a profit, and that money will almost certainly end up
- 4:11Speaker 2: outside the game. That's the fear.
- 4:13Speaker 5: And also people are asking for a reminder, who is
- 4:15Speaker 5: Jihanni Infantino.
- 4:17Speaker 2: Well, he's a huge figure in global sport football. Is
- 4:21Speaker 2: born in Switzerland to Italian parents, got dual citizenship. He
- 4:25Speaker 2: studied law. He's fifty six now, still relatively young for somebody,
- 4:30Speaker 2: you know, with such huge experience and power in the game.
- 4:32Speaker 2: Spend a long time in sports and football administration, his
- 4:35Speaker 2: career taking off with UEFA, European football's governing body. Became
- 4:39Speaker 2: their secretary general there. That's when we first got a
- 4:42Speaker 2: feel of his sort of expansionist philosophy really and football.
- 4:45Speaker 2: He increased the number of teams taking part in the Euros.
- 4:48Speaker 2: But he's been FIFA president for the past ten years,
- 4:51Speaker 2: taking over from the disgraced set Blatter and all the
- 4:54Speaker 2: corruption scandals that he was partly involved in, and he
- 4:58Speaker 2: got in on the ticket he was going to clean
- 5:00Speaker 2: up FIFA after so many years of corruption. He's been
- 5:04Speaker 2: in charge for three World Cups and of course the
- 5:06Speaker 2: most recent one was the biggest in history with forty
- 5:10Speaker 2: eight teams.
- 5:11Speaker 5: Okay, well, the plans have been met with fury across
- 5:15Speaker 5: much of the world, with condemnation from Europe, Asia and
- 5:18Speaker 5: North America. Here's a flavor of some of that initial reaction.
- 5:22Speaker 3: In an already fractious relationship. UEFA, European football's governing body,
- 5:27Speaker 3: has reacted angrily over these proposals, saying this crosses a
- 5:31Speaker 3: line that football's governing institutions should never cross. The soul
- 5:35Speaker 3: and governance of football are not assets to trade, specially
- 5:39Speaker 3: with zero transparency as to who gains financially. None of
- 5:43Speaker 3: us are the owners of football. It's not fifas to sell.
- 5:46Speaker 1: The Football Association said they were completely unaware of this
- 5:50Speaker 1: proposal and are deeply concerned, while Europe's Commissioner for Sports
- 5:53Speaker 1: said the relentless commercialization of football has become corrosive. Hands
- 5:58Speaker 1: off our game. The Prime Minister Annie Burnham hit out
- 6:01Speaker 1: at FIFA, saying the World Cup is not a product.
- 6:04Speaker 3: It is the greatest competition in.
- 6:05Speaker 1: World sport and it was never anyone's to.
- 6:08Speaker 5: Sell back to oli Oli. This talk of boycotts and
- 6:12Speaker 5: emergency meetings being held, Why is the reaction so strong?
- 6:16Speaker 2: Well, we heard from UEFA that was their initial statement.
- 6:19Speaker 2: We've had a more recent one than that. This I
- 6:22Speaker 2: think sums up the level of feeling from across the
- 6:25Speaker 2: majority of people in the game. They say FIFA cannot
- 6:28Speaker 2: continue to use our sport to enrich themselves and their friends.
- 6:33Speaker 2: They say that's their most recent statement. We can grow
- 6:37Speaker 2: the game correctly. That is UEFA. They're holding an emergency
- 6:41Speaker 2: meeting on Thursday, what forty eight hours after all this
- 6:45Speaker 2: blew up many individual associations. As we've heard, they've expressed
- 6:48Speaker 2: their concern over the proposals, that it's been sprung on
- 6:52Speaker 2: them with no consultation. There was already disquire Remember off
- 6:55Speaker 2: the back of the World Cup just gone, and how
- 6:57Speaker 2: close Infantino have become with President Trump. The allegation of
- 7:01Speaker 2: political interference with footballing matters as well. Remember following Balagan,
- 7:05Speaker 2: the USA forward his suspension for a red card that
- 7:08Speaker 2: was overturned. But now we've got this FIFA clearly looking
- 7:13Speaker 2: to cash in in some way off the back of
- 7:15Speaker 2: the World Cup. And what's also I think got people's
- 7:18Speaker 2: backs up is that the potential investment group has got
- 7:22Speaker 2: links to Trump's extended family. It just feels as if
- 7:26Speaker 2: football's on the brink of a civil war. And so
- 7:29Speaker 2: the nuclear option you mentioned Boycott's there. It would be
- 7:32Speaker 2: some nations refusing to take part in FIFA run competitions.
- 7:37Speaker 2: UEFA could hold the key to all this European nations
- 7:40Speaker 2: and their clubs. They're the richest, the most successful. How
- 7:43Speaker 2: likely is it, though, that Spain wouldn't defend their title
- 7:46Speaker 2: in four years time at the next World Cup, in
- 7:49Speaker 2: which they're also co hosts, by the way, or Spain's
- 7:51Speaker 2: women also world champions, not traveling to Brazil next year
- 7:55Speaker 2: to defend their title. But these are the kind of
- 7:58Speaker 2: conversations and the baits that are being had.
- 8:01Speaker 5: Yeah, big questions. Well, Johnny Infantino is no stranger to
- 8:05Speaker 5: controversy in this latest drama comes just after as all,
- 8:08Speaker 5: he was saying, the twenty twenty six World Cup has
- 8:10Speaker 5: wrapped up. During the tournament, FIFA faced criticism for high
- 8:14Speaker 5: ticket prices. There's controversial hydration breaks, officials and fans being
- 8:18Speaker 5: denied entry to the US And who could forget again
- 8:22Speaker 5: that alleged political influence by President Trump over US forward
- 8:25Speaker 5: Falaren Balagun's red card. It was overturned after Donald Trump
- 8:30Speaker 5: called Johnny Infantino. The US President has since praised the
- 8:34Speaker 5: tournament and Infantino take a listen.
- 8:37Speaker 6: We congratulate Johnny Infantino and all of his staff and
- 8:42Speaker 6: the incredible job they did. But this was one of
- 8:45Speaker 6: the greatest events of any kind ever held. Has been
- 8:48Speaker 6: a tournament like no other, filled with fierce competition, unforgettable moments,
- 8:53Speaker 6: yet unforgettable moments, like probably the most unforgettable is when
- 8:57Speaker 6: they gave that gentlemen, is it a rick?
- 9:01Speaker 4: And I was forced to court Johnny. Just make a recommendation,
- 9:05Speaker 4: I said, Johney, I'd like to make a recommendation. Let
- 9:07Speaker 4: the guy into gim know. I didn't say that, I
- 9:10Speaker 4: said I'd like to wage your complaint, and actually I didn't.
- 9:16Speaker 4: I had no idea what was going to happen. But
- 9:18Speaker 4: you know, it's so much better the way it worked out,
- 9:20Speaker 4: because there's no controversy.
- 9:24Speaker 5: When it comes to the selloff plans. An American venture
- 9:27Speaker 5: capital firm called Thrive Eternal is set to lead the
- 9:30Speaker 5: investor group. It was founded earlier this year by Josh Kushner,
- 9:35Speaker 5: the brother in law of President Trump's daughter Ivanka. The
- 9:38Speaker 5: proposal follows years of Infantino making overt attempts to deepen
- 9:42Speaker 5: his and FIFA's ties to Donald Trump. To back to Oalie,
- 9:47Speaker 5: what happens next?
- 9:48Speaker 2: Then it's a timetable that FIFA have set out a
- 9:51Speaker 2: deadline really and that they've urged the two hundred and
- 9:55Speaker 2: eleven members all those global associations to meet September the nineteenth.
- 10:01Speaker 2: They said, look, if you approve this new commercial arm
- 10:04Speaker 2: by then you're going to get a sweetener. You can
- 10:08Speaker 2: unlock a one off payment of twenty million dollars. That's
- 10:12Speaker 2: not an awful lot for those cash rich associations that
- 10:15Speaker 2: we mentioned a lot of them in UEFA in Europe, Germany, UK,
- 10:19Speaker 2: the French, but that could certainly sway, many many others
- 10:24Speaker 2: who haven't got that kind of money or what would
- 10:26Speaker 2: take them years and years to actually make that amount
- 10:29Speaker 2: of money, and that would be distributed in the new year.
- 10:32Speaker 2: If they give the thumbs up to this proposal and
- 10:35Speaker 2: that could be ratified, then at the FIFA Congress in March,
- 10:38Speaker 2: when Infantino could become president as well for a record
- 10:44Speaker 2: fourth term, that could be confirmed then as well. They
- 10:46Speaker 2: vote on an awful lot of things at Congress. No
- 10:48Speaker 2: one is running against him at the moment, and I
- 10:51Speaker 2: think the final word of all this reaction and ease
- 10:54Speaker 2: that we've been talking about to these proposals from Jianny
- 10:57Speaker 2: Infantino and Arjavier Tebas are very powerful man. He runs
- 11:01Speaker 2: La Liga in Spain, the top division there. He's accused
- 11:04Speaker 2: Infantino of trying to buy votes. He says it doesn't
- 11:07Speaker 2: seem like reform this, it seems like an electoral campaign
- 11:11Speaker 2: financed with the future of football.
- 11:14Speaker 5: Ollie, thank you very much. That's Ollie Foster, our sports presenter,
- 11:18Speaker 5: and that is all you need to know about FIFA,
- 11:20Speaker 5: Infantino and the World Cup boycott threat