Could Brazil really leave Nike?
After Germany breaking ties with adidas, another big change could be on the horizon
March 26th, 2024
Two years ago, rumors began to circulate that the Brazilian Federation was not happy with their last agreement signed with their long-time technical sponsor, Nike, which would last until 2026. This was further confirmed by statements made by President Ednaldo Rodrigues, who called for a revision of the terms. At the time, nothing came of it, but as the contract expiration date approaches and considering what happened between adidas and the German Federation, a new and incredible divorce cannot be ruled out. When Nike signed a technical sponsorship contract with Brazil in 1996, it was the most lucrative at the time and marked the beginning of Nike's dominance in Brazilian football, dressing both players on the field and off.
Now, like a domino effect, Nike's monstrous offer to outbid their long-time rivals adidas for the sponsorship of the German Federation - rumored to be around 100 million euros per year - could have repercussions on other contracts expiring with Nike. Currently, according to ESPN, Nike guarantees around 36 million dollars to the Brazilian Federation, a number that the Verdeoro team would like to see increased if the partnership continues. However, the American company does not have the budget to satisfy all of its clients and will have to make choices. As the market tends to regulate itself, if one brand is able to acquire a new client, a competitor will have more funds to offer to another. This is the current situation for adidas and PUMA, who have recently lost Germany and Italy, respectively, and will now try to secure similarly prestigious contracts.
In fact, if the relationship between Nike and Brazil could deteriorate after 30 years together, this could be just the first twist in the international football landscape. According to some specialized websites, including the authoritative German newspaper Kicker, the Brazilian Federation is close to launching a tender, which is a request for open economic offers from all potential bidders. A similar choice could be made by the French Federation, which is also tied to Nike with a contract expiring in 2026. In short, the next World Cup in the USA, Canada, and Mexico could become a generational turning point regarding national team sponsorships, ultimately leading to a new set of logos next to certain federation emblems that we have become accustomed to seeing.