Adidas has officially resolved its conflict with Kanye West, closing a tumultuous chapter that began in 2022 following the rapper's controversial antisemitic remarks. The fallout led to Adidas terminating its lucrative "Yeezy" collaboration with West and initiating the liquidation of existing Yeezy inventory.
During a recent earnings call, Adidas CEO Bjorn Gulden announced that all outstanding legal and financial issues between the company and West have been resolved. "There aren’t any more open issues," Gulden confirmed, emphasizing that neither party owes payments to the other and declaring that "the drama with West belongs to the past."
Yeezy Stock Liquidation
Adidas continues to manage the phased release of approximately €1.2 billion worth of remaining Yeezy inventory. Proceeds from these sales are earmarked for several NGOs, including Adidas's anti-discrimination foundation, showcasing the company's commitment to supporting social causes amidst the controversy.
The final batch of Yeezy products is expected to be sold by the end of 2024, effectively ending the brand's association with Kanye West.
A Controversial yet Impactful Partnership
The Adidas-Yeezy collaboration was among the most commercially successful in the history of the brand, redefining sneaker culture and driving significant revenue. However, the partnership was also marked by controversies, culminating in the fallout from West's remarks and their broader implications.
While Adidas navigates the challenges of severing ties with one of its most prominent collaborators, the resolution signals a fresh start for the company, which is now focusing on rebuilding its brand image and moving forward from the Yeezy era.
