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What Messi’s MLS, Apple, Adidas deal means for everyone

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The moment seven-time Ballon d’Or winner Lionel Messi announced he would head to the U.S. to begin his MLS career, the “Messi effect” immediately took hold. Inter Miami CF’s social media following exploded, ticket prices skyrocketed and upcoming fixtures sold out. And all before he even signed a contract.

As the league and club went to work on the specifics of Messi joining Inter Miami following the expiration of his PSG contract on June 30, questions emerged about how one goes about formulating a deal compensating for such influence. Would just offering money be enough to woo a player who ranked second in 2023 on Forbes’ list of the world’s highest-paid athletes at $130 million?

What else can you bring to the table? Miami and MLS’ answer appears to be to bring league partners into the mix.

The deal, unique in its structure, raises interesting questions about revenue splits for superstar athletes and the cascading impact on media rights negotiations.

According to Sportico, Messi’s 2½-year deal with Inter Miami is “worth up to $150 million total from his salary, signing bonus, and equity in the team.” Sources confirmed to ESPN’s Jeff Carlisle that the option for part-ownership of Inter Miami will not be subsidized as it was in 2007 for David Beckham, who could purchase an MLS team for a discounted price of $25 million.

But that’s not all. In addition, revenue-sharing agreements with Adidas, Apple and others were being negotiated. Here are some key questions and answers about Messi’s “unprecedented” MLS deal and what it means for everyone else.

Contract talk is usually boring talk unless you have a 36-year-old Argentine soccer legend attached to it. And this one does.

While the multimillion-dollar salary side of the contract is stale news in modern soccer, the revenue-sharing agreements with league partners offer something new. One industry expert called the Apple part of the deal “unprecedented.” Another termed it “unusual.”

“That deal has never been given to anybody in baseball, basketball, football, and so it’s very unique,” said Irwin Kishner, co-chair of the Sports Law Group. “It’s a generational-type thing, and it’s hard to think if you would ever see anything comparable.”

ESPN confirmed that part of the ongoing discussion is a cut of revenue from new subscribers to Apple TV’s MLS Season Pass streaming service. The subscription service on Apple TV+ was launched earlier this year when Apple and MLS kicked off their $2.5 billion decade-long media rights partnership.

“I do think in a significant way that what the [Messi] deal’s about is customer acquisition,” said John Kosner, president of Kosner Media, a digital media and sports consultancy. “Customer acquisition is perhaps the biggest issue in sports and sports media these days.”

Apple currently holds exclusive, worldwide rights for every MLS game, and the season pass also features both an English and Spanish broadcast crew. “This [Messi’s arrival] is the sort of thing that will get them noticed and expand their international reach,” said Ed Desser, president of Desser Media Inc. “That is the kind of thing that’s particularly interesting for a global company like Apple.”

A similar profit split — reminiscent of the Nike-Michael Jordan deal over Air Jordan — is said to be in discussion with Adidas, the official supplier of the league and a longtime sponsor of the player himself. What cut of those increases, if any, Messi gets is yet unknown. Any agreement between Messi and Adidas would strictly be between the player and the company and wouldn’t directly involve MLS, ESPN confirmed in earlier reports.

Ernesto Bruce, CEO of For Soccer and former senior director of soccer for Adidas, likened this deal to an “evolution” of what Beckham’s contract was when he signed with the LA Galaxy in 2007. “David Beckham was a big catalyst when he came over,” he said. “He had a deal with Major League Soccer, he had a deal with LA Galaxy, and he also happened to have a partnership with Adidas while I was there. That was a revolutionary moment because part of that deal had a future ownership stake in an undisclosed MLS team.”

That MLS team wound up being Inter Miami, where Beckham is co-owner alongside brothers Jorge and Jose Mas. Now, Bruce compares Messi’s contract and presence in MLS to an “accelerator.”

What does this deal mean for other star athletes’ contracts in the future?
MLS, a fairly young and innovative league, and Messi, one of the sporting greats, are uniquely positioned assets in their own way as parties to a deal of this scope. At the upper echelons of sporting legend, only a few command the same influence as the man from Rosario.

In the NBA, one could argue, what about Steph Curry? LeBron James? Would Messi’s potential revenue-sharing agreement inspire something similar for them?

“That is really going to set some alarm bells off,” a former NBA agent said. “For the right players and the right player agents, if they have individuals who can really move the needles — so the Giannis Antetokounmpos of the world, the Nikola Jokics of the world, the Joel Embiids of the world, they are going to look at this in the next collective bargaining and say, ‘Listen, players control the league,'” he said.

But even with the NBA stars’ power, it might not be enough to match Lionel Andrés Messi Cuccitini. “I don’t think they have that level of power like Messi,” Kishner said. “There is global reach, but not nearly what a Messi has.”

Much like on the pitch, Messi is in a league of his own at the negotiating table, his influence matched by only an ultra-elite few. The Argentine boasts Instagram’s third-highest following — 478 million — behind only the social network itself and fellow soccer star Cristiano Ronaldo, who has 596 million followers.

However, there might be other ways to creatively approach such negotiations. “What I’ve learned in all my years in licensing, there is a thing called ‘slicensing’ — because you can slice the pie up,” said Cara Lustik, a branding and licensing expert.

Lustik explained that while not every athlete can match Messi’s scope of influence in securing revenue-sharing agreements, slicing the subscription model into smaller segments in specific regions could favor other athletes. “There are so many leagues that could use extra eyeballs, and to do that, the easiest way is to take advantage of the talent who has them, and everybody wins,” she said.

Another league that might take notice? The NWSL, Bruce said. “The U.S. leads soccer in the women’s game,” he said. “And so how does NWSL adapt to this?”

What about Apple, MLS and a sign of the future of live sports programming?
The streaming giants want a bite of live sports programming and in recent years, they’ve chomped down. Amazon’s Prime Video has NFL’s “Thursday Night Football.” Apple TV+ is in a partnership with Major League Baseball to stream games. Google’s YouTube TV is now home to NFL Sunday Ticket, and you can add MLS’ Apple TV+ deal to the growing list.

Research by Parks Associates, a market research and consulting company, showed that “annual sports OTT subscription revenue in the United States was $13.1 billion in 2022 and will almost double to approximately $22.6 billion in 2027.”

Eric Sorensen, a senior contributing analyst at Parks Associates, attributed this shift to the pandemic and the need for a more immersive experience for the sports fan. “Sports online, on streaming services, are much more engaging from interactive feature sets, from the chance and the ability to potentially place bets and wagers, the stats and data and integration that’s coming into the screen,” he said.

But it’s not all doom and gloom for traditional broadcasters. Kosner, a former ESPN executive vice president, emphasized that technology companies are not media companies first. “I think we’re going to see a bifurcation of different rights really based upon the interests and priorities of these bidders, including traditional companies and also just the viewing habits of sports fans,” he said.

The choices available and competition for live sports programming perfectly set the stage just as the NBA’s $2.66 billion-a-year deal with Disney and Warner Bros. Discovery expires after the 2024-25 season.

“I don’t think that the NBA could have planned it much better,” said Desser, who was the former chief negotiator for all the NBA and WNBA national media agreements. “The combination of various parties trying things out for the first time and seeing what could happen will accrue to the NBA’s benefit.”

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Jurgen Klopp’s Massive Net Worth, Million-Pound Spanish Mansion And Relationship With Wife

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Jurgen Klopp has made a surprising return to football just months after his tearful goodbye from Liverpool. The German concluded his nine-year tenure at Anfield at the close of last season, passing the baton to Arne Slot.

His exit was met with heartfelt tributes from Reds supporters worldwide, who expressed their gratitude for his remarkable accomplishments in Merseyside, notably triumphs in both the Premier League and the Champions League.

Despite declaring that he would be taking a well-deserved break after leaving Liverpool, it took only four months for the 57-year- old to embark on his first new venture post-Anfield.

Express Sport provides an in-depth exploration of Klopp’s latest position in football, as well as his life within and beyond the sport where he has left an unforgettable imprint.

The German was unveiled as Red Bull’s new ‘Global Head of Soccer’ on Wednesday, signalling his comeback to football following his departure from Liverpool last summer. Although this new role deviates from his typical managerial responsibilities, he will undoubtedly have quite the job on his hands when he begins his new role on January 1st, reports the Mirror.

Klopp will supervise Red Bull’s network of clubs including Salzburg, New York Red Bulls, RB Leipzig and Red Bull Bragantino. While he won’t be engaged in the daily operations of individual clubs, his role will involve providing support to sporting directors to utilise his extensive footballing network to assist in scouting the sport’s top talent. He will also contribute to the training and development of coaches.

Immense net worth
Klopp boasts an impressive financial standing. Celebrity Net Worth estimates his fortune at a staggering £41.8million ($50million), placing him among the elite of the world’s highest-earning football managers.

Reports from Sport published that Klopp’s annual earnings at Anfield hit the £18.5m mark. Beyond his substantial managerial salary, Klopp has secured several high-value endorsement deals with brands such as Opel, Erdinger, VR-Bank, Snickers, Deutsche Vermogensberatung, and previously Puma.

Currently, he represents Adidas as an ambassador, frequently showcasing their gear on his Instagram profile.

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How FC Barcelona Turned €0m Into €240m

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Barcelona’s ability to develop talent through La Masia is paying off handsomely once again.

Over the past few years, three young talents—Pau Cubarsi, Lamine Yamal, and Gavi—have experienced remarkable surges in their market values, transforming the club’s investment of almost nothing into an astonishing €240 million.

These players have become some of the hottest young prospects in world football, showing just how vital La Masia is to Barcelona’s success on and off the field.

Pau Cubarsi – From €1.5m to €30m

Young defender Pau Cubarsi has seen his value skyrocket in recent months. Back in December 2023, Cubarsi was valued at just €1.5 million.

While this wasn’t insignificant for a young, unproven defender, his progression in the senior team and his outstanding performances have led to a massive jump in his value. As of today, Cubarsi is now worth an impressive €30 million.

The rapid rise in Cubarsi’s market worth is a testament to his solid defensive abilities and his adaptability. The 17-year-old has quickly cemented his place as a reliable option at the back for Barcelona.

His composure, vision, and defensive intelligence have caught the attention of scouts and managers alike, pushing his market value up at a phenomenal rate.

With his current trajectory, his worth is expected to rise even further as he becomes a regular for both club and country.

Lamine Yamal – Breaking records with €120m valuation

Arguably the most notable rise in value belongs to forward Lamine Yamal. His journey from promising academy talent to one of football’s hottest prospects has been nothing short of extraordinary.

By the time Yamal made his senior debut, he was valued at just €25 million, a decent figure for a teenager making his first steps into top-flight football. By December 2023, his value had doubled to €60 million, reflecting his growing influence in the team.

However, the real explosion in Yamal’s market value came soon after, with his current valuation sitting at a staggering €120 million. This makes him not only one of the most valuable young players in the world but also one of the most valuable players in general.

At only 17, Yamal is already being compared to some of the best forwards in the world, and his value will likely continue to rise as he continues to develop considering that Paris Saint-Germain are right on his tail.

Gavi – €90m despite injury woes

Young midfielder Gavi has also seen his market value grow despite having been sidelined for nearly a year due to injury.

When Gavi first burst onto the scene, like Yamal, he was valued at around €25 million. His breakthrough performances in midfield, showcasing a blend of aggression, technical ability, and leadership, quickly earned him a much higher valuation.

Today, Gavi is worth €90 million. This is particularly impressive considering his injury troubles, which have kept him off the pitch for an extended period.

Despite this, Gavi remains a highly valued asset for Barcelona, thanks to his previous displays and his potential to return even stronger.

His resilience, combined with his tactical understanding and energy in the middle of the park, makes him a vital part of Barcelona’s future.

 

Player valuations obtained from transfermarkt.com on the date of publication.

 

 

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Messi’s famous Barcelona napkin auction opens in London

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Lionel Mess

The auction for the napkin which famously launched Lionel Messi’s Barcelona career as a 13-year-old opened this week with a guide price of £300,000-£500,000 ($374,700-$624,500).

Bidding for the item stands at £220,000 and will be open with the British auction house Bonhams until May 17.

The sale was originally slated for for March but was postponed due to a dispute over the ownership of the napkin, which has been in the hands of Horacio Gaggioli, an Argentine agent, for the last two decades.

Josep Minguella, another advisor involved in the deal to bring Messi over from Argentina, claimed possession of the napkin following the news it would be auctioned earlier this year.

Gaggioli disputed this, while Bonhams told ESPN there were “no problems” regarding the sale of the napkin, which is listed on their website as “property of Horacio Gaggioli.”

The auction for the napkin has opened after a dispute over it original ownership. Bonhams
Minguella has not replied to ESPN’s request for comment. With Messi’s father, Jorge, beginning to doubt Barça’s commitment to his son in 2000, the club’s director of football at the time, Carles Rexach, hastily scrambled together an agreement on a napkin.

It was signed by Rexach, Minguella, who had helped bring Messi over from South America, and Gaggioli, who helped broker the deal, serving as a promise for a first contract.

Since then, it has remained under the ownership of Gaggioli in a secure vault in Andorra, the Principality to the north of Barcelona sandwiched between Spain and France.

Negotiations for it to be incorporated into Barça’s museum at the club’s Spotify Camp Nou stadium broke down in the past.

The napkin was originally signed on Dec. 14, 2000 at a tennis club in Barcelona after Rexach had received a frantic call from Jorge Messi threatening to take his son back to Argentina.

“That was when, thinking on my feet, I decided everything,” Rexach told ESPN in 2020 to mark the 20th anniversary of the signing.

“Why a napkin? Because it was the only thing I had available to hand. I saw the only way to relax Jorge was signing something, giving him some proof, so I asked for a napkin from the waiter.

“I wrote: ‘In Barcelona, on 14 December 2000 and in the presence of Messrs Minguella and Horacio, Carles Rexach, FC Barcelona’s sporting director, hereby agrees, under his responsibility and regardless of any dissenting opinions, to sign the player Lionel Messi, provided that we keep to the amounts agreed upon.’

“I told Jorge that my signature was there and that there were witnesses, that with my name I would take direct responsibility, there was nothing else to talk about and to be patient for a few days because Leo could already consider himself a Barca player.”

Messi, who now plays for MLS side Inter Miami, went on to become Barça’s greatest ever player, making more appearances (778) and scoring more goals (672) than anyone else who has played for the club.

During over 20 years in Barcelona, he won 10 LaLiga titles, seven Copas del Rey and four Champions League trophies while playing for the club before joining Paris Saint-Germain and later Inter Miami.

Individually, he has won the Ballon d’Or a record eight times and has also been named The Best FIFA Men’s Player on three occasions.

International success with Argentina had eluded him until recently, but he finally won the Copa América in 2021 and the World Cup in 2022 to go with the Olympic Gold Medal he won in 2008.

 

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