Ipswich Town Co-Owner Critiques MLS Valuations and Media Rights

MLS Valuations Under Fire

Ipswich Town co-owner Brett Johnson has raised significant concerns regarding Major League Soccer's valuations and the recent deal with Apple for media rights. In his segment on the Business of Sport podcast, Johnson stated, "You don’t have great media rights in Major League Soccer," highlighting that the $2.5 billion contract over ten years, segmented among 30 teams, may not equate to substantial financial benefits.

Promotion and Relegation: A Must for MLS

Johnson believes that promotion and relegation could transform American soccer. He noted that foreign leagues attract more viewers in the U.S. because they feature games that carry significant stakes. He stated, "There’s no consequence of putting a good team on the pitch or a bad team on the pitch" with MLS's current structure, suggesting that this lack of competitiveness diminishes the viewer's interest.

Inflated Club Valuations in MLS

As MLS team valuations rise, Johnson commented that teams like LAFC are valued over a billion dollars due to the absence of relegation risk. He questioned the long-term sustainability of such valuations without the element of consequence in matches, stating that U.S. consumers are more passionate about foreign leagues compared to MLS.

Market Insights on Global Attention

Johnson's observations indicate that while there’s a growing interest in soccer in the U.S., the focus remains heavily on Premier League matches and other international leagues. He expressed skepticism that MLS could draw global attention without a structure that promotes competitiveness and consequences.