FIFA Cutting Ties With EA

 

One of the oldest and most iconic game partnerships is coming to an end. FIFA is finally ending its partnership with Electronic Arts (EA), with regards to the popular football video game series, EA Sports FIFA.

 

Every year, a new iteration of the FIFA video game is released, bringing better graphics, updated players stats, and team lists. At more than 325 million copies of the game sold as of 2021, it was listed in the Guinness World Records for being the best-selling sports video game franchise globally.

 

In the association football video game scene, currently, it is one of only two franchises consistently dominating the market. Sharing the glory is eFootball (formerly known as Pro Evolution Soccer).

 

So what’s the deal?

 

Currently, FIFA and EA’s 10-year agreement, in which EA pays them almost US$150 million annually, is at the end of its life. It will end with the 2022 World Cup in Qatar.

 

FIFA and EA have made efforts to renew their contract throughout the last two years. However, it seems EA does not want to oblige with FIFA’s financial demands. According to The New York Times, FIFA seeks to gain more than twice the amount they are currently receiving. Their sources also say that this figure could amount to more than US$1 billion for each four-year World Cup cycle.

 

FIFA also wants to expand, seeking other sources of revenue. In turn, they want to narrow down EA’s exclusivity right to only video-game use. EA, on the other hand, would like to explore other ventures related to their video-game ecosystem, in avenues such as actual game highlights and NFTs.

 

While both sides have not made a decision yet, EA is already preparing for a world without FIFA. EA believes that the loss of exclusive rights to FIFA properties would not be enough to dislodge them from their current market dominance. Losing their FIFA license would only mean losing the organisation’s name and logo, and the rights to using the World Cup in-game. To EA, this doesn’t seem like a huge setback at all.

 

What do you think about FIFA cutting ties with EA? Leave a comment down below.

 

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