Olympics Face Cancellation As COVID Cases Rise

The opening ceremony for the Tokyo Olympics is just three days away, but there’s a chance that the Games could be canceled altogether — and that’s coming from the organizing committee’s chief.

Tokyo is under its fourth state of emergency until Aug. 22, and Olympic organizers said 71 people have tested positive for COVID-19 so far.

Committee chief Toshiro Muto said it will “continue discussions” about canceling if there is a spike in cases. IOC president Thomas Bach, however, said canceling was never an option.

The Olympics are already expecting an estimated $25 billion bill.

• Delaying the games for a year cost organizers $3 billion. The total insurance coverage for the games is estimated to be around $2.5 billion.
• Roughly 60 Japanese companies spent $3 billion for 2020 sponsorship rights — and another $200 million for contract extensions when the games were delayed, according to Reuters.
• Toyota, which became a global Olympics sponsor in a nearly $1 billion deal, pulled Olympic-related ads from Japanese TV on Monday.
• Before banning spectators, Japan expected ticket revenue to reach $815 million.

The biggest loser from a cancellation could be NBC, which agreed to a $7.75 billion media rights deal with the IOC in 2014 that runs through 2032. The network expects the Games to drive a 30% jump in Peacock users.