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How FIFA profited from Brazil 2014 world cup
Despite the fact that the 2014 world cup cost Brazil a whopping $15 billion the 2014 world cup generated $4.8 billion in revenue for FIFA compared to $2.2 billion in express on the four year cycle; the event turned a $2.6billion profit. FIFA made $2.4 billion on television rights fees, $1.6 billion in sponsorships, and $527 million in ticket sales.
Much of FIFA’s world cup spending want to participating teams and confederations($476million)and television production costs ($370million) FIFA contributed $453million to the local organising committee between 2011 and 2014, and gave Brazil a $100million ‘legacy’ payment after the tournament.
However, FIFA did not contribute to the real costs of staging the tournament – stadiums and transportation infrastructure.
The tournament cost an estimated $15billion, a significant portion of which was public money. Brazil spent $3.6billion building and renovating 12 stadiums for the tournament, less than a year later some of those are turning into white elephants. The $300million Arena Amazonia in Manaus for example, held just 11 events in the five months after the tournament.
The 2014 world cup accounted for 85% of FIFA’s revenue between 2011 and 2014. During the period the organisation made $338 million profit.