LA Olympics suffer major financial blow

The Panasonic website confirmed on September 10th that Olympic sponsor Panasonic will terminate its contract with the International Olympic Committee at the end of the year.

The Japanese tech company is one of 15 so-called TOP sponsors for the IOC. The value of Panasonic's sponsorship is unknown, but the sponsors contribute more than $2 billion in a four-year cycle.

The decision marks the end of a 37-year partnership between the IOC and Panasonic, the Olympics' longest-running and most impactful corporate sponsors.

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The termination of the contract follows an agreement reached by the IOC and Panasonic, with the company changing its business environment and strategic goals.

According to the Daily Mail, IOC president Thomas Bach said: "Panasonic was a founding member of the Worldwide Olympic Partner Programme and has been a great support to Olympic Games organisers, National Olympic Committees, and athletes around the world."

The Los Angeles Olympics in 2028 will be the first Games in nearly 40 years not to have the help of Panasonic and all the technological help they bring to the event.

At previous Olympic Games, the Japanese tech company provided essential broadcast equipment, such as commercial projectors and cameras, that have been integral to the Games' broadcast and ceremonial functions.

At the Paris Olympics, the company's technic brand turntables were used for the inaugural breakdancing competition at the Games, demonstrating their grip and influence on the event.

There is no doubt that Panasonic will be a big miss at the Los Angeles Olympics financially and because of their tech expertise. However, the IOC won't be short of companies wanting to take Panasonic's place.

The Independent reports the current IOC top sponsors are ABInBev, Airbnb, Alibaba, Allianz, Atos, Bridgestone, Coca-Cola, Deloitte, Intel, Omega, P&G, Samsung, Toyota, and Visa.

As the Los Angeles Games approach, it's critical that the IOC find a tech company that can match or enhance Panasonic's innovation and financial stability, which are key components of the modern Olympics in the 21st century.

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