00:00Speaking of the world of soccer or football, if you will, big headlines this week when FIFA
00:04announced controversial plans to raise external investment of $4.2 billion for a separate major
00:11commercial and tournament vehicle that they're raising valued about $20 billion. In response
00:16to the proposal, UEFA, the organizer of European football, reacted furiously saying that it's
00:22considering a boycott of FIFA events. Also, a top EU official saying today that FIFA's proposal may
00:27spark competition law concerns. Bloomberg's Vanessa Perdomo joins us now to discuss the latest. So
00:32what is UEFA saying the reason they don't like this? Is it because they're scared that FIFA's
00:37going to go do some Super League thing that will compete with them, or is it just sort of against
00:41the spirit of soccer and what's supposed to be a non-profit body? It's an interesting idea of why
00:47exactly they're mad about it. The main reason that they're saying is that football is not theirs to
00:52sell. They're saying soccer is not an entity, you can't sell it, that the World Cup and the Club
00:58World Cup should technically belong to everyone. But on UEFA, the Club World Cup does kind of
01:04directly compete with the Champions League, which is what they have. What I can't get over is that FIFA
01:10is soccer's non-profit governing body. It's based in Switzerland. It's a non-profit. So how does this
01:15match? How does it make sense that it's then going to have this new vehicle that would allow for
01:19outside investors? It kind of just doesn't really match up, you know? Well, FIFA has come under the
01:24gun for years about the fact that they are a non-profit. Why does a non-profit have to garner
01:28$15 billion from the World Cup? So this is a way for them to become, have a for-profit arm.
01:34This then
01:34becomes for-profit, the World Cup and the Club World Cup and all of these specific tournaments and all
01:40of those media rights and all of them. They can technically profit on them under this arm because
01:45they did say even though they'll have outside investment, they will be minority investments and
01:50then FIFA will control this. But FIFA themselves will stay a non-profit.
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