Adidas Will Save This Much Money In Kanye Royalty Payments

BYAlexander Cole13.0K Views
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Kanye West onstage during the 2022 BET Awards at Microsoft Theater on June 26, 2022 in Los Angeles, California. (Photo by Paras Griffin/Getty Images for BET)
Kanye is not going to like the sound of this.

Adidas and Kanye West have officially parted ways after a long decade together. At the end of their relationship, it was clear that Kanye was looking to take his show on the road. He wanted out of his deal, and he was doing everything he could to get cut off.

Ye Gets What He Wants

In the end, Adidas gave Ye what he wanted, although it looks like Adidas has come out ahead. There is a very limited path to redemption for West, and it doesn't appear as though he has the resources to relaunch his Yeezy brand.

Ye arrives to the arena for the fight between Jamel Herring and Shakur Stevenson at State Farm Arena on October 23, 2021 in Atlanta, Georgia. (Photo by Brandon Magnus/Getty Images)

Additionally, Adidas still owns the rights to all of Ye's Yeezy designs. This means they can continue to sell Yeezy silhouettes without the name attached. It also means Kanye can't go out and sell these designs on his own. Ye completely overlooked this, and now, Adidas is about to make a whole lot of money.

In a new report from Bloomberg, it was revealed that Adidas still plans on selling Yeezy shoes in 2023. Of course, these shoes will not contain the Yeezy branding. Instead, they will simply say Adidas, although fans will know that these once beared West's name.

Huge Savings For Adidas

Perhaps the most interesting part of Bloomberg's story is the fact that Adidas is set to save hundreds of millions of dollars in royalty payments. According to the report, Adidas will get to skip out on upwards of $300 million in royalty payments.

Ye attends the Kenzo Fall/Winter 2022/2023 show as part of Paris Fashion Week on January 23, 2022 in Paris, France. (Photo by Pascal Le Segretain/Getty Images)

Considering the fact that Ye has already lost a ton of brand deals, this is going to hurt. Ye was making a lot off of the Yeezy brand, and now, that revenue stream will be gone forever. Needless to say, Adidas isn't too sad to see him go.

Let us know what you think of this brand-new development, in the comments below.

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About The Author
Alexander Cole is the current editor-in-chief of HotNewHipHop. He started at HotNewHipHop back in 2018 where he began as a Sports and Sneakers writer. It was here where he began to hone his craft, putting his journalism degree from Concordia University in Montreal, Quebec, to good use. Since that time, he has documented some of the biggest stories in the hip-hop world. From the Kendrick Lamar and Drake beef to the disturbing allegations against Diddy, Alex has helped HotNewHipHop navigate large-scale stories as they happen. In 2021, he went to the Bahamas for the Big 3's Championship Game. It was here where he got to interview legendary figures like Ice Cube, Clyde Drexler, and Stephen Jackson. He has also interviewed other superstar athletes such as Antonio Brown, Damian Lillard, and Paul Pierce. This is in addition to conversations with social media provocateurs like Jake Paul, and younger respected artists like Kaycyy, Lil Tecca, and Jeleel!
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