Kanye West is convinced he will recover his losses from the severed Adidas partnership.
As AFROTECH™ previously told you, the apparel giant severed its ties with the rapper and record producer in 2022 due to antisemitic remarks West made at the time. As a result, Adidas paused the production of all Yeezy-branded products and froze payments to West and his companies.
“Adidas does not tolerate antisemitism and any other sort of hate speech. Ye’s recent comments and actions have been unacceptable, hateful, and dangerous, and they violate the company’s values of diversity and inclusion, mutual respect, and fairness,” the company declared in a press release. “After a thorough review, the company has taken the decision to terminate the partnership with Ye immediately, end production of Yeezy branded products, and stop all payments to Ye and his companies. Adidas will stop the Adidas Yeezy business with immediate effect.”
In May 2023, Adidas softened its posture, announcing the company would sell its remaining inventory of Yeezy products. A portion of the proceeds would be allocated to organizations working to dismantle discrimination and hate, including antisemitism and racism.
This choice followed after the company admitted the separation from West was “hurting” its business, leading North American sales to plummet by 20%.
West also felt the repercussions. According to Forbes, his collaboration with Adidas contributed $1.5 billion to his net worth, which dwindled to $400 million by October 2022 after parting ways.
The father of four has since taken matters into his own hands, opting to sell his own merchandise on Yeezy.com. All items are currently priced at $20 a piece, a business decision that West originally pitched during his business agreement with Gap. As reported by Uproxx, he emphasized his goal to Gap that he wanted “modern, elevated basics for men, women, and kids at accessible price points.”
Overall, the Chicago, IL, native is optimistic he will recoup his losses from Adidas, which he claims are $8 billion.
“I can stand up proudly and say, you know what, I lost $8 billion… We still gonna get that money back and still be in a better position than Adidas someday,” West said during an interview on “BigBoyTV.”
There could be some truth to West’s statement. Following his Super Bowl LVIII ad to promote Yeezy products, filmed using his phone in the backseat of a vehicle, West shared he generated millions in product sales in one day.
“I said boom, we’re going to do this for $20, then we did the Super Bowl and the fact that I was able to show factual $19.3 million of sales in one day,” West explained on “BigBoyTV.”
He continued, “The next day was $15 million. The next day was $11 million, but in one day at the same time as the music was coming out. At the end of the day, this was just us and the people.”
Despite the business ups and downs West has experienced, the rapper-turned-fashion designer continues to create art and rebuild his empire, expressing himself through music and fashion.
