French football is facing significant turmoil as the Ligue 1 broadcasting deal with DAZN has unraveled, potentially plunging the league into a severe financial crisis. On April 15, 2025, mediation talks between the Ligue de Football Professionnel (LFP) and the streaming service DAZN officially broke down, leaving both parties at an impasse.
Initially, DAZN had entered into a five-year contract with the LFP, worth €400 million (approximately $455 million) annually, to broadcast eight of the nine Ligue 1 matches each week. However, just one year into this partnership, DAZN sought to renegotiate the deal, citing low subscriber numbers as a primary concern. The service reportedly has only 500,000 subscribers, far below the 1.5 million needed to break even.
Earlier this year, DAZN withheld €70 million (around $79 million) due in February, claiming that the LFP had not done enough to combat piracy and promote its Ligue 1 coverage. This led to legal action from the LFP, which sought to recover the owed payments. Following this, both sides entered mediation in March 2025 in hopes of finding a resolution.
Despite the mediator's recommendation for DAZN to pay the full amount owed for the current season, €140 million, along with an additional €125 million as a settlement fee, the streaming service rejected the proposal. The LFP issued a statement acknowledging the failure of the mediation process, stating, "LFP Media acknowledges the failure of the mediation process initiated in early March 2025. The contract between the parties remains in effect, and LFP Media expects its partner to fully fulfill all of its obligations under this agreement." DAZN expressed disappointment, noting that the discussions did not bridge the gap between the two parties.
As a result of this breakdown, the LFP is now bracing for a potential legal battle with DAZN, which could further strain the already cash-strapped clubs in Ligue 1. The situation mirrors past difficulties faced by French football, notably the collapse of a previous rights deal with MediaPro just months into the 2020-21 season.
Financial analysts have described the current predicament as a "financial crisis" for Ligue 1. According to Deloitte’s annual review, the league generated approximately $2.53 billion in revenue during the 2022-23 season, ranking fifth among Europe’s top leagues. This figure is significantly lower than that of its competitors, including the Premier League, which generated $7.43 billion.
Logan Ryan, a two-time Super Bowl champion, recently revealed that he opted against investing in Toulouse FC after the league’s media rights deal came in much lower than anticipated. This highlights the growing concerns among potential investors regarding the financial viability of Ligue 1.
In a broader context, the LFP's struggles with broadcasting rights have been compounded by a lack of competitive tension in the market. A recent Deloitte report indicated that the league is likely to see a decline in the value of its domestic broadcast rights, further exacerbating its financial challenges.
DAZN, while facing its own difficulties in subscriber acquisition, has also secured significant agreements with other sports entities, including a $1 billion deal with FIFA to stream all matches for the expanded men’s Club World Cup. This suggests that while DAZN may be willing to part ways with Ligue 1, it still has robust partnerships with other leagues and sports organizations.
Looking ahead, the LFP's next steps are crucial. The league is scheduled to meet with DAZN again on April 30, 2025, which coincides with the deadline for DAZN's next payment. However, given the current state of negotiations, it is uncertain whether a resolution can be reached without further legal intervention.
The fallout from this situation could have long-lasting implications for Ligue 1, which has struggled historically to maintain lucrative broadcasting agreements. The current impasse serves as a cautionary tale for rights holders about the risks of alienating long-term partners and the importance of fostering strong collaborative relationships.
As the situation develops, many will be watching closely to see how both parties navigate this crisis and what it means for the future of French football.
