“It seems that this has happened due to the failure to find a streaming partner for the new World Cup tournament in the club sector, which is due to start next year,” analyst Paolo Pescatore tells TVBEurope.
FIFA is reportedly looking to raise $2 billion in investment for its FIFA+ streaming service.
Launched in April 2022, the global OTT service offers access to live matches from “every corner of the world,” as well as interactive games, news, tournament information, video content and more.
Accordingly BloombergThe international football governing body is currently working with UBS to raise the money, but both parties declined to comment on the report.
A formal fundraising process is set to begin next month, the report said, targeting investors from the Middle East and the United States. The investment will be for a minority stake in the platform.
According to analyst Paolo Pescatore, it has been clear for some time that major sports organizations will launch their own streaming services.
“A highly anticipated step should have been taken much earlier,” he says TVBEurope“It feels like this has happened due to the failure to find a streaming partner for the new World Cup club tournament due to start next year.”
As for the impact of investing in FIFA+ on deals with traditional linear broadcasters, Pescatore believes it is more about reaching new audiences via the internet. “Given the relationships built over time and the cannibalisation of its own revenues, FIFA needs to carefully manage its existing rights agreements,” he adds.
Of paramount importance to scaling the platform will be its infrastructure, and Pescatore says FIFA needs to focus on making sure it has the right technology and a platform that can broadcast live sport at scale. “Nobody has cracked that yet,” he explains.
