More Trouble for Nike: a Superstar Walks Away

Kylian Mbappe just delivered a hit to Nike at a vulnerable time. After roughly 20 years with the swoosh, the French soccer star is walking away to take an equity stake in Swiss brand On, which plans to launch its first soccer shoe in 2027, reports Business Insider. Instead of a standard endorsement check, Mbappe is getting a shareholder's seat at the table—a sign of how top athletes, backed by their own massive audiences, are now demanding ownership, not just sponsorship.

The timing is rough for Nike, whose stock has fallen about 80% from its peak, shrinking its weight in the Dow and raising the prospect it could be dropped from the index after already losing its S&P 100 slot, per Forbes. While a Dow exit would mostly be symbolic, Mbappe's move underscores a more fundamental risk: Newer rivals like On and Hoka are chipping away at Nike's athletes, market share, and cultural edge just as investors are betting on a still-uncertain turnaround. "I think, as a person, as a player, it was the time to change," Mbappe tells CNBC.