FIFA has withdrawn a controversial proposal to sell a 20 percent stake in a new entity overseeing World Cup operations following fierce resistance from member associations, including UEFA's threat to boycott competitions.

FIFA announced on Friday that it would not proceed with a plan to raise approximately $4.2 billion by selling a minority stake in a newly created unit responsible for managing FIFA events, including the World Cup. The proposal, which would have valued the entity at $20 billion, faced substantial backlash from football's governing bodies across multiple continents.

UEFA, European football's governing body, led the opposition by voting to boycott FIFA competitions in response to the proposal. The European confederation criticized FIFA for developing such a significant initiative in secret, stating in a formal statement that the plan was "irresponsible and indefensible." UEFA also contended that the proposal threatened football's fundamental character by putting the sport's "soul" up for sale.

FIFA President Gianni Infantino acknowledged the divisions created by the initiative and reversed course, stating that the organization's core mission remained unity rather than private investment arrangements. The decision came shortly after high-profile resignations and public criticism from within FIFA's own leadership. Carlos Cordeiro, a senior adviser to Infantino, resigned immediately and labeled the proposal "a bad deal for football," while Chief Operating Officer Kevin Lamour claimed staff had been misled about the project's nature, describing it as the vision of a single individual rather than a collective decision.

The reversal represents a significant setback for efforts to introduce private capital into FIFA's operations and highlights the deep concerns within international football regarding governance transparency and decision-making processes.