Kanye West is Reportedly Such a Toxic Brand Now Adidas is Ready To Take a Staggering $1.3B Loss Than Associate Themselves With Yeezy Again
After making a barrage of antisemitic comments on social media for weeks, the American rapper-turned-fashion entrepreneur Kanye West recently challenged Adidas to fire him, as reports claim.
However, because of the company’s own Nazi connections that date back to its founding, the German athletic wear firm has reportedly come under fire as a result of the rapper’s comments. Adidas allegedly came under increasing pressure to sever ties with the Flashing Lights hitmaker as the high-profile Hollywood figures condemned Ye’s string of antisemitic remarks.
According to reports, the firm has now broken its silence and ended its alliance with West. They will pay a steep price for that decision, reports claim, but Ye will suffer more because it will immediately kick him out of the billionaire club.
As reports state, they didn’t wait long to terminate their contract with the Yeezy brand and also don’t bother about bearing the loss of unsold products.
Adidas’ split from Kanye West could cost them $1.3B
Adidas, a German-based manufacturer, reportedly claimed that their breakup with the American rapper, singer, and fashion designer could cost them more than $1.3 billion in revenue. According to the New York Post, the company allegedly severed its relationship with the rapper as a result of his anti-Semitic remarks.
Data from Adidas’ website indicates that analysts had reportedly forecasted a 4% rise in revenue on a currency-neutral basis and an operating profit of close to $1.1 billion for 2023.
After a string of bizarre anti-Semitic outbursts, the Flashing Lights artist’s nine-year partnership with Adidas was allegedly terminated last year. Forbes claims that as a result of his broken partnerships, Ye’s net worth has reportedly dropped from an estimated $2 billion to a rather pitiful $400 million.
According to Morgan Stanley, Adidas allegedly sold nearly $2 billion worth of Ye-branded shoes during the previous fiscal year. Many people believe this to be the reason the company received criticism for delaying the divorce from the former billionaire.
For unheard, Morgan Stanley is an American company that offers financial services and investment management on a global scale from its headquarters in New York City.
In addition to its split from the rapper, Adidas faces numerous other difficulties as well.
Since Nike and other rivals have taken market share from the business, sales have reportedly suffered as a result of the company’s expensive exit from Russia and ongoing weakness in China. The cost of Adidas’ decision to allegedly end its contract with the Good Morning artist was disclosed on Thursday, according to the company’s new Chief Executive, Bjorn Gulden.
What has Kanye West recently been up to?
The most recent development in all of this mess involving Kanye West is that he is now trying to take it easy and enjoy his recent marriage while also making an effort to be a good father to his kids. But it’s possible that the effects of everything he did last year will last much longer than anyone anticipated. Nobody expects the Stronger hitmaker to collaborate with any big corporation any time soon. His Adidas collaborations were among the most ground-breaking in contemporary sneaker culture, but this fallout has completely tarnished his reputation.
The rapper and Adidas had reportedly been working together since 2013 before the Yeezy collaboration was made public. Since then, he has experienced a never-ending conflict with Universal Music Group, Taylor Swift, and most recently on social media with his ex-wife, Kim Kardashian.
At this point, since the path ends, we expect the rapper might decide to relaunch Yeezy on his own, just in case.
Source- NY Post
