- Published
Fifa has been forced to U-turn on plans to sell off a slice of the World Cup after fierce opposition, with threats of future boycotts and calls for the governing body's president, Gianni Infantino, to quit.
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president → force → boycotts
In a world in which AI could upend human recreation and pastimes, executives at Thrive Eternal, a spin-off of venture capital firm Thrive Capital, saw an opportunity to lead a group of investors to place cash in the biggest sporting competition on the planet.
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executives → upend → planet
The football World Cup was seen as the latest in a new strategy from the firm, which believes that sport will not only survive the AI revolution, but grow in value.
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sport → see → value
Run by Joshua Kushner, the brother of US Donald Trump's son-in-law and adviser Jared, Thrive mainly invests in technology companies developing artificial intelligence (AI) and it has been a major financial backer of OpenAI.
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it → Run → OpenAI
But in April this year, the New York City-based entity created the new investment arm Thrive Eternal in order to invest in areas that have "qualities that cannot be replicated by technology".
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that → base → technology
Sport is central to that strategy, and that is where football - and securing a minority stake in the World Cup under Fifa's proposed Forward Enterprise (FFE) - became an opportunity.
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football → secure → Enterprise
The view is that the tradition, cultural and identity aspects of football will protect the sport from being upended by AI compared with other forms of entertainment such as movies and music, which are already seeing the technology start to replace humans.
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technology → protect → humans
Professor Simon Chadwick has worked in the global sports industry for 30 years, including working with both fan groups, football clubs and governing bodies Fifa and Uefa.
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Chadwick → work → groups
He said investment interests and commercialisation in general meant a lot of decisions were being made on behalf of football and fans "in Wall Street and Silicon Valley".
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lot → say → Street
"It is almost as though it's crept up on us and a lot of people haven't really thought about what's happening," he told the BBC.
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he → creep → BBC
While it raised governance questions for Fifa, he added: "Whether people like it or not, private equity investment in sport is happening."
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investment → raise → sport
Despite this summer's World Cup, hosted by the US, Canada and Mexico, providing a clear picture of World Cup commercialisation, the BBC understands talks over the FFE proposal involving Thrive started last year, with Greg Maffei, the former boss of Formula 1 owner Liberty Media, brought in as a commercial adviser.
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Maffei → host → adviser
Thrive also hired former Disney chief executive Bob Iger.
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Thrive → hire → Iger
Thrive Eternal already invests in other sports.
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Eternal → invest → sports
As part of its launch, it announced it had agreed to buy a chunk of the San Francisco Giants baseball team There are also reports the firm is eyeing up a bid for a new NBA franchise in Las Vegas.
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firm → announce → Vegas
It believes that such "iconic franchises and cultural institutions rooted in tradition, identity, and shared experience" will not just survive the AI revolution, but "will matter even more", according to its website.
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franchises → believe → website
Kushner and Thrive Eternal have remained silent on the Fifa investment plan and the subsequent fallout.
But a source close to the firm told the BBC the strategy behind the plan, which would have required the backing of Fifa's member associations, was that it would not be like a "typical investment fund looking for a speedy return on investment".
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it → remain → investment
The source said investors preparing to stump up the $4.2bn (£3.1bn) initial investment were doing so with the view of not seeing any return for a "long period of time - decades", due to Thrive Eternal being structured as a holding company.
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Eternal → say → company
They higlighted had the FFE proposal been activated, it would have given each member association a stake worth as much as $91m each based on its $20bn valuation - stressing that the equity would be controlled by Fifa, not investors, and to sell part of that equity would have been down to individual member associations.
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sell → higlighte → associations
"The idea of outside investment...was to channel more resources upfront to countries that wouldn't typically get access to outside funding - so they could invest in things like stadiums and training to be able to develop their game domestically," the source said.
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source → channel → game
According to Fifa, the aim of FFE was "to separate the business of football from the governance of the sport".
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aim → accord → sport
In England, the business of football has exploded, especially since the establishment of the Premier League, so much so that the financial rules, transfer deals and boardroom gossip have become just as popular conversation topics between fans as the action on the pitch.
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rules → explode → pitch
US investment in football is not new, and the amount of American dollars being poured into English and other European clubs has been growing broadly since the Glazer family bought Manchester United more than two decades ago.
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family → pour → United
But some question whether Fifa - and the World Cup - needed this cash injection.
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Fifa → need → injection
Fifa has claimed the World Cup is "under-monetised", but hydration break adverts, dynamic ticket pricing and record broadcast and sponsorship rights have put the 2026 edition on track to generate record revenues.
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adverts → claim → revenues
The 48-team tournament and potential for an even bigger 64-team competition gives a view of further commercial opportunities.
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tournament → give → opportunities
More countries equal more viewers, which equals more money.
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which → equal → money
Christina Philippou, an associate professor in accounting and sport finance at the University of Portsmouth, said the approach by Fifa to seek outward investment had been seen in other sports and by individual football clubs when cash flow had been a problem.
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flow → say → clubs
In fact, they could very easily, with the money they already have, increase those payouts to the member associations.
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they → have → associations
Thrive Eternal is understood to respect the decision to take the plan off the table, but it is clear that interest, with or not this specific investment group, remains focused on football.
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interest → understand → football
