Fifa set to dish out $1bn to Club World Cup teams in inaugural tournament

The first edition of the new Club World Cup will take place this summer in the USA

In December, Real Madrid won the 2024 FIFA Intercontinental Cup, which was previously known as the Club World Cup (Getty Images)

Fifa appear set to award over $1bn in revenue to clubs participating in this summer's inaugural edition of the Club World Cup.

The European Club Association (ECA), who are negotiating on behalf of some of the participating European clubs, are nearing a deal with football's global governing body over the payments, reports the BBC.

The 32 clubs involved in the expanded tournament – 12 of which are from Europe – look set to split what is potentially the biggest prize fund in club football, with $575m based on participation and $465m based on sporting performance. The revenues have been partly funded by a $1bn global TV deal agreed with DAZN last year, and will be awarded on an individual basis.

The competition takes place across 11 cities and 12 stadiums in the USA between 14 June and 13 July, just under a year before the 2026 World Cup begins.

And the inaugural edition includes European sides such as Real Madrid, Manchester City, Bayern Munich, Chelsea and Inter Milan, as well as Argentine giants Boca Juniors and River Plate, recent Copa Libertadores winners Botafogo and Fluminense, and Lionel Messi’s Inter Miami.

11 of the 12 European clubs are represented by the ECA, with these teams expected to earn a higher share of the revenue due to their importance within the competition. Madrid are not represented due to their support for the European Super League.

Some clubs not participating in the tournament are also set to receive at least $150m in so-called “solidarity payments”, with that money also coming out of a tournament budget of $2bn.

Fifa has claimed that it will not make any profit from the competition, instead re-investing the entire $1bn into club football across the world.

The first edition of the new Club World Cup marks a move away from the old competition, which has now been re-named as the Intercontinental Cup. That annual tournament sees the winners of the other five continental trophies playing each other in a knockout tournament before facing the Champions League winners, who get a bye to the final.

Last season, Real Madrid won the first Intercontinental Cup with a 3-0 victory over Pachuca in December 2024.