Football Partnerships

By Alex Kotler

Putting the ‘no’ in technology

Football and technology do not mix, at least not while FIFA is stirring.

Following the Annual General Meeting of the International Football Association Board (IFAB) last Saturday in Zurich, FIFA announced that goal-line technology would not be explored further.

Seen as a gateway to inviting technology into other areas of the sport, FIFA general secretary Jerome Valcke commented: “If we start with goal-line technology then any part of the game and pitch will be a potential space where you could put in place technology to see if the ball was in or out, whether it was a penalty and then you end up with video replays.”

Supporters of technology need only to point to the weekend’s match between Birmingham City and Portsmouth when Liam Ridgewell’s scoring chance was ruled as save.

What are your thoughts? Sound decision? Bold move? Unfair to the victims of human fallibility?

Read about it from FIFA

ESPN makes an accented choice for World Cup broadcasts

Sports network ESPN has selected a star-studded starting lineup for its US broadcasts of the 2010 World Cup: Ian Darke, Adrian Healey, Derek Rae and Martin Tyler.

The move has drawn ire and support, as some take issue with the lack of American accents in the mix and others argue that the quality of the play-calling will outshine any sentimental or patriotic decisions.

Perhaps it’s all the more reason for the USMNT to show up on 12 June.

Read Jack Bell’s coverage in the Goal blog as well as the comments

Putting the clamp on South Africa

Extensive measures are being taken to ensure security at the 2010 World Cup.

According to SoccerexBusiness Daily, Interpol - the international criminal police organization - will send its largest-ever team to help with security from June 11 to July 11. Further, the South African government will spend approximately $173 million on security, including the training of 44,000 police personnel.

The news comes amidst reports that up to 40,000 sex workers will enter South Africa during the tournament.

Will the World Cup be safe for visitors? Will the world see an aggressive spread of HIV? What are your thoughts?

More on prostitution in South Africa

Putting the clamp on South Africa

The first lady of the United States, Michelle Obama, participated in a free youth soccer clinic for kids in Washington, DC last week, promoting soccer as a way of fighting childhood obesity.

The event marked the partnership between the US Soccer Foundation and the National Alliance for Hispanic Health. A 25-city tour will follow, providing free health screenings and contacts for families to connect with local soccer programs.

Read about it in the Wichita Soccer Examiner

Keeping it Real

According to Deloitte, which recently published its annual Football Money League, Real Madrid sit atop the earnings table, having generated annual revenue in excess of $543 million dollars.

To put it into perspective, that would account for over 152 million McDonald’s Big Macs, as priced at $3.57 in February of 2008. Current pricing for Big Macs are unavailable and would further make such tabulations less ridiculous in principle.

Read more in Soccer News

President Obama has put his stamp of approval on the Unites States bid to host either the 2018 or 2022 FIFA World Cup and has written a letter to FIFA president Sepp Blatter with his endorsement.

President Obama is known to have a passion for sports from playing pick up basketball to hinting at a college playoff for Division 1 football.

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By Alex Kotler

By the time this is in print, the United States will have elected its next president.

For the moment, though, polls suggest that it would take an injury-time comeback, circa that of the Turkish football team at Euro 2008 against Croatia (and the Czech Republic), for Senator John McCain to win the election. His running mate, Alaska Governor Sarah Palin, has looked less a Nihat Kahveci, a game-winning goal scorer, than a Mario Gómez, an ambitious choice turned over-hyped liability.

The Democratic nominee, Senator Barack Obama, goes in to the final stages with something resembling a 3-1 lead: comfortable but surmountable. As with Palin, his counterpart, Senator Joseph Biden, has looked at times a risky bet. Much like the Frenchman, Lilian Thuram, at the Euros, Biden – supposedly the experienced veteran – has looked a step slow, vincible, and unfit.

Politician-player analogies aside, the question at hand is, “Will the election of either party’s candidate have an impact on the soccer business?”

Writer Patrick Goldstein appeared to take a position on the issue in his October 31 article, titled Would Obama’s election make soccer a major league American sport? The piece, however, had less to do with the impact of the election on football in the US than it did with movie producer Joe Roth, a staunch supporter of Senator Obama and part-owner of the Seattle Sounders, a new MLS team, and his model for growing the business.

A quote from Mr. Roth, though, piqued my interest. He said, “If you took a map of America where Obama is strongest and laid it over a map of where soccer has its biggest appeal, you’d see an incredible overlap. The blue (Democratic) states on both coasts are very soccer-friendly as well as huge areas of support for Obama, whereas the center of the country is full of people who are the enemies of soccer and Obama – white, 50-and-over guys who listen to talk radio and only care about [American] football or basketball.”

While, on the one hand, an unfair generalization of Middle America’s political and athletic leanings, there may be some truth beneath his bias. And, within the context of the article, Mr. Roth is simply justifying his purchase of the Sounders and his promoting his political persuasion. However, it does suggest – whether accurately or not – that the election of Mr. Obama bodes well for Major League Soccer and soccerphiles.

Using CNN.com as a guide, below is a comparison of the candidates’ positions on several issues, followed by Football Partnerships’ analysis of each.

Abortion
Barack Obama: Opposes any constitutional amendment to overturn the Supreme Court’s decision in Roe v Wade.

John McCain: Believes Roe v. Wade is a flawed decision that must be overturned. Supports Supreme Court ruling upholding the Partial Birth Abortion Ban Act.

Football Partnerships: Too controversial for comment; however, Football Partnerships wonders what Chase Hilgenbrinck, a former MLS player who retired to enter the priesthood, would think.

Cuba
BO: Would not lift the embargo unless Cuba releases political prisoners, starts instituting free press and takes other steps to democratize the island, but is looking to normalize relations at some point.

JM: Would keep the embargo in place and not allow economic aid to flow to Cuba. Would “press the Cuban regime to release all political prisoners unconditionally, to legalize all political parties, labor unions and free media and to schedule internationally monitored elections.”

FP: Considering that seven Cuban soccer players have defected to the US this year, keeping the embargo seems the strategic route to ensure that the Americans never face a full-strength Cuban side.

Economy
BO: Supported the $700 billion Wall Street bailout package. Advocated a series of reforms for the financial sector that include new oversight of investment banks, more disclosure by financial firms, higher capital requirements for firms used to operating with a minimal cash backstop, and more consistent rules that apply to all financial institutions, not just regular banks.

Supported increasing the federal insurance for money deposited in personal bank accounts to $250,000. Advocates a $50 billion emergency economic stimulus plan. The money would go toward 1 million jobs for rebuilding infrastructure and schools, and helping local governments avoid budget cuts, the campaign says.

Said Congress should immediately extend unemployment insurance for an additional 13 weeks to help families that are being hit hardest by the downturn. Proposed existing businesses will receive a $3,000 refundable tax credit for each additional full-time employee hired during 2009 and 2010. Proposed raising the small-business investment expensing limit to $250,000 through the end of 2009 and eliminating all capital gains taxes on investments made in small business.

Called on the Treasury Department to suspend the required 401(k) and IRA withdrawals for retirees over the age of 70 1/2 years.

JM: Supported the $700 billion Wall Street bailout package. Advocated reform of the financial sector. Supported increasing the federal insurance for money deposited in personal bank accounts to $250,000.

Called for the creation of a Mortgage and Financial Institutions Trust (MFI) to help companies avoid bankruptcy while protecting their customers. The money would also help consumers restructure loans so they can keep their homes.

Proposed that withdrawals from tax-preferred accounts — IRAs and 401(k)s — should be taxed at the lowest rate of 10 percent in 2008 and 2009. The policy would apply to the first $50,000 withdrawn from such accounts each year.

Proposed ending the taxation of unemployment insurance benefits for 2008 and 2009.

FP: Two sectors should be examined, that of the investor and that of the consumer. Club owners such as Joe Roth (Seattle Sounders); Tom Hicks (Liverpool FC); George Gillett (Liverpool FC); Randy Lerner (Aston Villa); Andrew Applby (Derby County); Phil Anschutz (LA Galaxy, Houston Dynamo); and others with considerable liquid assets would find comfort in both candidates’ plans to federally insure up to $250,000. However, with the level of wealth these parties enjoy, $250,000 amounts to little more than a day at the stadium, two pints, pretzels, and souvenir jerseys for their kids.

Consumers, though, will appreciate having their money insured. A $50B stimulus plan and an extension of unemployment benefits (Obama) could result in a marginally increased level of disposable income, possibly meaning the ability or willingness to spend the extra money on attending attend a football match or buying a new Red Bull jersey. The same could be said for the reducing the taxation on withdrawals from tax-preferred accounts (McCain).

Education
BO: Advocated ensuring access to high-quality early childhood education programs and childcare opportunities, recruiting well-qualified and rewarding expert, accomplished teachers.

JM: Stated during GOP primary debates: “We need more charter schools. We need vouchers where it’s approved by the local, state school boards. We need to have, clearly, home schooling if people want that … We need to reward good teachers and find bad teachers another line of work.”

FP: There’s no clear-cut distinction between the candidates on education. The question to ask is, “Which candidate’s policies will provide a better means for underserved youth to have access to social development programs?” These specifically include those that use soccer as a vehicle to foster teamwork, cooperation and skill building, while also providing supervision of children within a secure environment. Creating this type of infrastructure will not only breed better footballers, but better human beings.

Immigration
BO: Supported Bush-backed immigration reform legislation, which would have increased funding and improved border security technology, improved enforcement of existing laws, and provided a legal path to citizenship for some illegal immigrants. Voted to authorize construction of a 700-mile fence along the U.S.-Mexican border.

JM: Co-sponsored Bush-backed immigration reform legislation, which would have increased funding and improved border security technology, improved enforcement of existing laws, and provided a legal path to citizenship for some illegal immigrants. Voted to authorize construction of a 700-mile fence along the U.S.-Mexican border.

FP: It would be farcical to suggest that Senators Obama and McCain’s 700-mile fence would prevent the free market transfer of players from Mexico from plying their trade in Major League Soccer. However, it’s worth asking whether either candidate’s policies would place different restrictions on the visa applications of foreign players, managers, and executives.

Taxes
BO: Opposed extending 2003 Bush tax cut law through 2010. Supported eliminating marriage penalty and extending child tax credit. Proposed a “making work pay” tax credit of up to $500 per person, or $1,000 per working family. Proposed eliminating income taxes for seniors making less than $50,000 per year and eliminating all capital gains taxes on start-ups and small businesses.

JM: Voted against 2001 and 2003 Bush tax cut laws, but later voted in favor of extending tax cuts through 2010. Said he would keep the current rates on dividends and capital gains, and maintain the current income and investment tax rates. Said he opposes a proposal supporters call the “Fair Tax,” which would repeal income taxes and other taxes and abolish the Internal Revenue. Said he would double the child deduction from $3,500 to $7,000 and permanently repeal the alternative minimum tax.

FP: Would Obama’s tax plan aid small startups, like Football Partnerships, with the elimination of capital gains tax? Would McCain’s tax plan allow professional players and owners to keep a greater proportion on dividends received?

The truth is that political campaigning amounts to posturing, and whether the soccer-business community stands to be directly rewarded or punished based on the election’s outcome is debatable.

It is certain, though, that politics influence the football business: which cities are preferred candidates for MLS expansion clubs; which unions get which contracts to built which stadia; and which sponsors attach their brands to which causes. Surely, it’s easier to see the politics from the ground up by examining isolated decisions at the local level than by looking from the top down.

Regardless of whether it’s President Obama or President McCain, it will be fascinating to see how football is affected by the next Commander in Chief and Captain America.

How do politics affect football in your country? How is gaming regulated? Do political candidates align themselves with famous players to win popular appeal? Share your comments with Football Partnerships.

Since he closed up Revolution Studios, Joe Roth has kept his hand in the movie business — he’s got projects at Sony, Fox and Disney, where he’s producing Tim Burton’s upcoming “Alice in Wonderland.” But he’s spending most of his time with his new love, commuting up to Seattle, where he’s the majority owner of the Seattle Sounders FC, the new Major League Soccer expansion team that begins play next spring. A lifelong sports junkie — he spent years coaching his son’s soccer team, has courtside Lakers seats and knows more obscure baseball stats than Bill James — Roth has discovered that soccer is a great laboratory to test out both Internet community-based marketing and Hollywood-style glitz.

But when we had lunch the other day, Roth also made the tantalizing case that the new popularity of soccer in America has a lot in common with the groundswell of support for Barack Obama’s presidential campaign. Roth is not a neutral political observer. It was Roth, along with David Geffen, Jeffrey Katzenberg and Steven Spielberg, who organized Obama’s first major Hollywood fundraiser early last year, back when Obama was 20 points behind Hillary Clinton in the polls. Roth sees soccer as appealing to the same fast-growing demographic groups that have been at the center of Obama’s campaign.

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