The Soccer Business Pod is back - with a deep dive
After an extended holiday break, while we put together some ideas, lined up future guests and made a few other changes, The Soccer Business Podcast is back with our first episode of 2026 and if you have been following recent news and developments around USL you'll find it well worth a listen.
The New York Cosmos, a legendary name from the Pele era of American soccer past, are returning to the pitch, this time in USL League One and this time with a focus on local authenticity and long-term sustainability. CEO Erik Stover joined The Soccer Business Podcast alongside analyst Andre Da Costa to discuss the club’s move to a restored, 8,000-seat stadium in Paterson, New Jersey.
Erik says he is working with the knowledge that Paterson and the North Jersey area, is an “authentic soccer market” with deep ties to the game going back to the early 1900s. He sees a key part of the club's goal is harnessing overlooked urban talent. Too players from urban areas find their “pathway to pro is broken”, Erik argues and to ddress this, the club has brought in former Italy international and New Jersey native Giuseppe Rossi to help invest in young players who might otherwise lack opportunity.
As well as discussing the specifics of the Cosmos project, the pod goes on to discuss USL’s shift toward a merit-based pro/rel system, including the planned 2028 launch of “USL Premier”. Erik argued that moving forward on the merit of your work is “more American capitalist than the closed systems we have in other sports”. He questioned current US Soccer sanctioning standards, such as minimum stadium capacities, suggesting that in the past they were “reverse engineered to keep competition from happening”. But he also stressed that the USL pyramid will only work if the club's are able to really crack the code in terms of revenue generation, including eventually broadcast revenue.
Andre said key to realistic growth is building genuine fandom in secondary or smaller markets and said that the passion seen in college sports, shows there is potential outside of the big media markets. Erik stressed that promotion and relegation will fundamentally change the match-day experience, bringing an intensity currently lacking in many domestic games. “You feel it every single time you walk into the stadium on match day,” he said.
There are tons more insights and its a grounded discussion that doesn't avoid the real challenges that USL clubs and American soccer in general face.
You can find the episode on all pod platforms - easily accessible via this page.
If you listen on Apple Podcasts - the episode is here
And on Spotify:
Note: We are no longer using You Tube for the video of the podcast - but if you enjoyed watching the video format of the podcast, you can find it exclusively on Spotify.
MLS valuations rise again.
Sportico published their latest valuations for MLS clubs and once again the numbers are eye-popping with five clubs now evaluated as being worth over $1 billion.
Whenever these valuations are produced I hear skepticism about how accurate they are given they place MLS clubs well above most clubs in Europe and given the current revenue and overall economic picture of MLS. But just as we noted last year the fact of the $500 million paid by San Diego as expansion fee, recent investments/sales in MLS clubs have been reported as being close to the valuations (see Sporting Kansas City). Of course, unless you happen to have seen the contract for Peter Mallouk's purchase of 80% of SKC (and we certainly haven't!) we are trusting the media outlets to have delivered accurate numbers on the basis of accurate background briefings.
Nonetheless, it does need to be remembered that MLS operates within the North American sports landscape where valuations are much, much higher than in European sports. MLS is also a closed league meaning that the relegation risk factor involved in purchasing, say, a Premier League club is removed. Same old debate I guess. But there are some really interesting aspects in the report which draws on interviews with more than 60 industry insiders.
The report shows a league currently defined by record-breaking growth at the top and a widening financial divide between elite clubs and those at the bottom of the table. While the average MLS team is now worth $767 million—a 6% increase from last year—the gains are increasingly concentrated among a small group of high-revenue “power clubs”.
For the first time, five MLS franchises have eclipsed the $1 billion valuation mark. Inter Miami’s 22% surge in value allowed it to leapfrog Los Angeles FC, which sits in second place at $1.4 billion. Rounding out the top five are the LA Galaxy ($1.17B), Atlanta United ($1.14B), and New York City FC ($1.12B).
This elite tier is fueled by increased revenue generation. Inter Miami’s local revenues topped $200 million last season, driven by the presence of Lionel Messi and a $21.05 million payout from the FIFA Club World Cup. The club’s financial outlook remains bullish as it prepares to move into its new 25,000-seat stadium, the centerpiece of a $1 billion mixed-use development.
Despite the success at the top, the report highlights a significant “bifurcation” of the league. Inter Miami is now worth 3.4 times more than the league’s least valuable team, CF Montréal ($430 million). For comparison, the valuation gap in the NFL is only 2.3x.
While seven teams now generate more than $100 million in annual revenue, several clubs, including Vancouver, Montreal, and Colorado, remain in the $35 million to $40 million range. Valuation gains for the bottom 12 clubs averaged only 2% this year, with three teams—the San Jose Earthquakes, Vancouver Whitecaps, and CF Montréal—actually seeing their values decline.
The league is banking on three macro changes to drive future growth: Calendar Alignment: MLS is moving to a flipped calendar (running late summer through May) to match the international FIFA schedule, which is expected to improve player transfer opportunities and move playoffs away from the “hydra” of college and pro football viewership. Media Rights Evolution: A revised agreement with Apple will end in 2029, three years earlier than originally planned. The update removes the “double paywall” of the MLS Season Pass, which teams hope will boost viewership and sponsorship dollars. Infrastructure Investment: Significant stadium projects are driving value. New York City FC’s upcoming Etihad Park and a $750 million privately financed stadium for the Chicago Fire are expected to double those clubs’ respective revenues.
The “get-in” price for MLS remains high, evidenced by San Diego FC, which enters the rankings at No. 10 with a $765 million valuation following that $500 million expansion fee. However, the report notes that revenue multiples have stabilized. After peaking at 12x revenue in 2021 during the pre-World Cup hype, MLS multiples have returned to an average of 9.2x.
Verdict: Ultimately, it matters not how seriously people take the valuations from Sportico, the economic prospects for MLS remain the same - heavily connected to their broadcast deal. At the moment, MLS is being paid a reported $200 million for this season - which needs to be divided between 30 clubs. The top Premier League clubs make around that figure each. While MLS clubs end up with $7 million each, the latest estimate for NBA clubs is that they pocket about $140 million each. Apple will increase the fee to $275 million each for the 2027-28 and 2028-29 seasons when the current deal ends. The focus of the league now will surely be on ensuring MLS uses the expected post-World Cup boom to increase its attractiveness to broadcasters and really go to market for a post-2029 deal with realistic hopes of a significant rise in revenue. Increasing attendance, ticket revenue and continuing the impressive growth of sponsorship revenue, will all help of course but unlocking the big bucks from broadcast is absolutely essential if MLS clubs are to go from being highly valued to nicely profitable.
The full Sportico list and report are here.
Major new 11-year commercial deal in Canadian Soccer
Canadian Soccer Business, the rather awkwardly named body which handles all the rights for Canada's national teams and the Canadian Premier League, rebranded this week as Canadian Soccer Media & Entertainment (CSME) and promptly announced that it had renegotiated it's controversial agreement with Canada Soccer, the governing body of the sport.
The previous deal, which still had years to go, had been heavily criticized for being too favorable to the company and lacking transparency, a factor that came to the fore during the dispute with the national women's team. But with new leadership at both bodies, the reworked deal has been reframed as a more equitable partnership which is more focused on incentives and performance.
“After extensive work, we are pleased to have amended this partnership into a new structure that is significantly more favourable to Canada Soccer, creating a clear pathway for commercial and financial success – especially in future years as opportunity in our sport continues to increase. We are eager to move forward in a new era of alignment with CSME and continue to be sharply focused on growing all parts of our sport at this critical time," said Kevin Blue, CEO and General Secretary of Canada Soccer.
The agreement, which runs from January 1, 2026, through 2037, establishes a revenue-share compensation framework backstopped by guaranteed annual minimums. The expanded mandate now includes licensing activity alongside sponsorship and media rights to create a more coordinated commercial strategy. Incremental revenues generated through the deal will be primarily reinvested into National Team programs, coaching, and grassroots initiatives.
In the past, revenue had not been shared. Instead, the former Canada Soccer Business paid Canada Soccer a set amount each year (reportedly around $3-$4 million) with the rest used by CSB to help fund the Canadian Premier League (CPL).
James Johnson, the former head of Soccer Australia, who took over at CSME last year, told a group of media outlets (including The Soccer Business) that he was delighted with the outcome of the talks.
"This gives us the complete commercial package, and all these different commercial properties are all complementary of each other," he told the reporters on a round-table call.
“We believe that this new agreement will not only transform the sport, but it will really open the floodgates for a lot of commercial revenue that we expect to see come in over the coming weeks and months as a result of this announcement. The more revenue that we can bring in, the more capital that we're able to bring in as well, the more we can invest in the national teams and the players in the Canadian Premier League, in our leagues that sit underneath, and also in our grassroots participation.”
Johnson said that OneSoccer, CSME's streaming platform, would continue their approach of seeking broader content beyond the CPL and other Canadian soccer properties.
“I think the future of league and professional soccer is going to move away from leagues as platforms themselves. We're starting that journey, and we're going to continue on that journey. We're moving from a league platform to a content ecosystem. So there's, a science to everything we're doing," he said.
Baltimore's new club? MLS Next Pro?
Last week we ranked Baltimore as the second most attractive market without a pro soccer club but this week came news that the city may be about to get a club. MLS's D.C. United is spearheading a proposal to bring professional soccer teams and a $217 million stadium to Baltimore’s Carroll Park.
The plan envisions a top-flight women’s team in the USL Super League and a men's team in MLS Next Pro. NBA Hall of Famer Carmelo Anthony is expected to join the ownership group for the teams. While the Maryland Stadium Authority estimates the 12,000-seat stadium could be completed by late 2028, funding depends on the passage of state legislation amid a tight budget.
Baltimore Mayor Brandon Scott has backed the plan from D.C. United. According to the Sports Business Journal "Legislation introduced Tuesday by State Delegate Mark Edelson that would authorize the Maryland Stadium Authority to issue up to $216.6M in bonds to finance the project’s acquisition and construction, with debt service paid from state sports wagering revenue. DC United co-owner Jason Levien told SBJ the total project cost, including launching the academy and pro teams, would exceed $300M and that the club’s contribution would be approximately $100M."
“We think [Baltimore] is a robust soccer market commercially and also talent wise, athletically,” Levien said. “One of the unique things that we see about DC United is that we’ve got this territory that includes two municipalities exclusively, and there aren’t too many teams I can’t think of that have that opportunity. Baltimore is a different and distinct market from D.C., and it’s a robust one and one we’re really bullish on.”
Has USL missed their chance to get a men's team into Baltimore? It's hard to imagine the city backing two different projects but interesting to see a project with both a USL and MLSNP element to it.
Giannis invests in Chelsea women
Another NBA superstar investing in soccer is Giannis Antetokounmpo. The Greek-Nigerian star of the Milwaukee Bucks has joined the ownership group of Chelsea Women as a minority investor. The two-time MVP joins fellow investor Alexis Ohanian in supporting the club, which was recently valued at approximately £200 million. The investment follows a corporate restructuring where Chelsea transferred ownership of the women’s team to Blueco 22 Midco Limited to facilitate outside capital. Antetokounmpo, who cited other athlete-investors like LeBron James as inspiration, plans to visit the club this summer to meet with staff and players.
Bundesliga secures Mexico and Central America deal
FOX Latin America has secured a five-year media rights landmark agreement with the DFL to remain the home of the Bundesliga in Mexico and Central America. Running from the 2026-27 through 2030-31 seasons, the deal grants access to 309 matches per season across FOX’s pay TV and digital ecosystem. The partnership will be supported by the Bundesliga Americas Studio in Guadalajara, which produces localized Spanish-language content to boost regional fan engagement.
Monterey Bay links up with Schalke
In another sign of Bundesliga activity in the market, Monterey Bay FC has announced a strategic partnership with Bundesliga side Schalke 04, marking a first-of-its-kind agreement between the USL Championship and the German top flight. The collaboration is designed to strengthen player development pathways and recruitment strategies for the California-based club. Monterey Bay will gain access to Schalke’s internationally recognized Knappenschmiede academy and data-driven scouting resources to identify top young talent.
England opt for K.C. base
The England national team has officially selected Kansas City as its home base for the 2026 FIFA World Cup. The team will train at Swope Soccer Village, a $20 million facility owned by MLS's Sporting KC. Local leaders attribute the selection to the region’s $650 million investment in soccer infrastructure and its central geographic location. England joins Argentina in choosing Kansas City. England will play two friendlies in South Florida before the tournament with matches against New Zealand and Costa Rica at a venue to be confirmed.
The Saudi FA has chosen Austin, Texas as their base. Which will be great news for Texan and Saudi soccer fan Hank Hill.
Have a great weekend.
