fifa, One of EA Sports’ most successful and longest-running sports game franchises, may soon be unable to use the FIFA name. According to a report in new York TimesNegotiations over a licensing deal between the football governing body and the publishing giant have begun to crumble, with both sides citing complaints and wishes that the other is unwilling to match. EA is reportedly already planning a future without a FIFA name, though nothing is decided yet.
As it stands now, EA and FIFA have a licensing agreement that allows the publisher to use the FIFA name, logo and World Cup content in their soccer series games. The agreement has been in place for three decades and is renewed every decade, and makes both EA Sports and FIFA a significant amount each year. The most recent decade of agreement ends after the 2022 World Cup, and talks on how to continue it have reportedly hit a wall.
Two factors are responsible for the recession: money and exclusivity. FIFA is demanding more than double the payout from each annual installment of the game. Over a four-year World Cup cycle, this would amount to over a billion dollars. For the latter, FIFA would prefer to give EA the rights to use the name only in its soccer games, but EA wants to explore other revenue streams with the FIFA name, including NFT sales, esports tournaments and real-life soccer highlights. Are included. Play
EA has reason to be dissatisfied with the deal. The publisher wants to lean into micro-transactions, but FIFA will sell the ability to do so to another company. EA is also dissatisfied that FIFA has expressed interest in making deals with other gaming companies for non-soccer-related games and content. Under the terms of the agreement, EA pays more for FIFA to hold exclusive rights, so the company wants to branch out to other developers, with EA questioning what it’s paying.
While negotiations are not yet complete and a decision is likely to be made before the end of this year, EA has already trademarked the EA Sports FC name in the EU and UK, meaning the company is already in the deal. There may be a risk of falling. – or at least taking precautions in this event. Even if negotiations break down, EA will still be able to use player models and teams in its games thanks to its hundreds of other licensing agreements with organizations around the world; Its agreement with FIFA only allows it to use the FIFA name, logo and World Cup content.
Nevertheless, a broken deal would result in the loss of a significant revenue stream to FIFA, preventing the organization from building on the world of professional football and halting some future plans. EA will also lose the highly recognizable FIFA name, which undoubtedly accounts for some of the game’s sales. For the time being, talks are still on, but it appears that EA is reportedly planning the worst.
A similar incident happened a few years ago with Natsume and Marvelous’ already famous farming sim series. Sharad Chandra. as detailed polygon, the publisher retains the rights to the Natsume name. Sharad Chandra And to do so the developer wanted to break away from Marvelous, making its entries into the franchise under the name. Instead of ending it there, Marvelous continued to make Sharadchandra-genre games under the name western The Story of the Seasons. No series of games is doing particularly well these days, leaving the ground open for games stardew valley and next coral island Farming sim to fill the void.