FIFA and EA Sports End 30-Year-Old Partnership, EA Sports FC Confirmed as New Name

EA is parting ways with world football governing body FIFA after a near three-decade partnership and pulling the plug on one of the world's most successful video-game franchises that has raked in billions of dollars in sales. It marks a split in one of football's most successful and lucrative partnerships, after the sides failed to strike a new licensing deal.

Licensing rights for the game earn FIFA about $150 million (roughly Rs. 1,158 crore) annually — the single biggest commercial earner in its expected $7 billion (roughly Rs.54,066 crore) total revenue from 2019-2022 — though FIFA struck a defiant tone in a statement published hours after the announcement of losing that income.

FIFA was seeking at least double the $150 million it received annually from EA Sports, the New York Times reported last October, adding that there were different expectations of what should be included in a new agreement.

EA made a significant offer to FIFA for an eight-year exclusivity period across all of FIFA's gaming and esports rights, but the global footballing body was unwilling to lock up all of its gaming and esports rights with just one publisher, Reuters reported back in October.

However, both entities have reportedly adjusted to maintain the partnership till the 2023 FIFA Women's World Cup next summer, with FIFA granting a new short-term extension to EA Sports to launch a new FIFA 23 title later this year.

But even before the EA Sports partnership wraps, FIFA has promised a number of new non-simulation games that will launch ahead of the 2022 FIFA Men's World Cup that kicks off in Qatar in November. These new football video games are developed by third-party studios and publishers, FIFA said.

I can assure you that the only authentic, real game that has the FIFA name will be the best one available for gamers and football fans, FIFA president Gianni Infantino said in the statement.

That said, EA has been producing a FIFA game for nearly 30 years and for generations of young people, FIFA has meant a video game rather than a sports institution.

The licensing deals will help EA retain most of the world's famous clubs and stars with their teams and leagues, be it Lionel Messi of Paris Saint-Germain and Argentina, or Cristiano Ronaldo of Manchester United and Portugal.

The FIFA video game will be disappearing after the maker failed to strike a new licensing deal with world soccer’s governing body. FC will be introduced from 2023 after the company creates the final game in partnership with FIFA later this year.

EA has been producing a FIFA game for around three decades and its fond association with fans worldwide helped the Zurich-based organization’s brand when it was tarnished amid a wave of arrests of soccer officials in 2015. FIFA means a game rather than a sports politics institution. Now FIFA will have to search for new video gaming opportunities beyond EA.

Thankful for our many years of great partnership with FIFA,” EA CEO Andrew Wilson said. The future of global football is very bright, and fandom around the world has never been stronger.