Who Owns Adidas?

Adidas was founded in 1949 by Adolf "Adi" Dassler in Herzogenaurach, Germany, following a bitter split from his brother Rudolf Dassler, who founded rival Puma. The brothers had previously run a shoe company together, Gebruder Dassler Schuhfabrik (founded in 1924), but personal and political disagreements during World War II led to an irreparable rift. The name "Adidas" combines Adolf's nickname "Adi" with the first three letters of his surname "Das."

The roots of Adidas trace back to 1920 when Adi Dassler created his first athletic shoes in his mother's laundry room. By 1924, he and his brother Rudolf had officially registered the company "Gebruder Dassler Schuhfabrik" (Dassler Brothers Shoe Factory) and began producing specialized sports footwear. Their breakthrough came at the 1936 Berlin Olympics when American sprinter Jesse Owens won four gold medals wearing Dassler shoes, providing the company with international recognition and credibility.

After the formal split between the brothers in 1948, Adi registered "Adidas AG" in 1949 and immediately introduced the company's iconic three-stripe logo as a structural support element for athletic footwear. The company gained its first major international recognition at the 1954 FIFA World Cup in Switzerland, when the West German national team wore Adidas boots with innovative screw-in studs. Germany's unexpected victory over the heavily favored Hungarian team in the final, known as the "Miracle of Bern," established Adidas as the premier brand in football footwear.

Throughout the 1960s and 1970s, Adidas dominated global sports. The brand became the official supplier to numerous Olympic teams and was worn by legendary athletes including Muhammad Ali and Franz Beckenbauer. The company expanded beyond footwear into apparel and sports equipment, including the official match balls for the FIFA World Cup starting in 1970. The iconic three-stripe logo evolved from a functional support element to one of the most recognized brand symbols in the world.

After Adi Dassler's death in 1978, the company struggled under family management. His son Horst Dassler took over but died unexpectedly in 1987, leaving a leadership vacuum. In the 1980s, Adidas lost significant market share to Nike, which was revolutionizing athletic marketing through celebrity endorsements and innovative product design. The company changed hands several times, accumulating substantial debt before French businessman Robert Louis-Dreyfus took over in 1993 and led a dramatic turnaround, taking Adidas public on the Frankfurt Stock Exchange in 1995.

In the late 1990s and early 2000s, Adidas pursued strategic acquisitions to strengthen its market position. The company acquired French ski and skate brand Salomon Group (including TaylorMade Golf) in 1997 for approximately $1.4 billion, though this division was later sold in 2005. The most significant acquisition came in 2006 when Adidas acquired Reebok for $3.8 billion, aiming to strengthen its position in the North American market against Nike. However, the Reebok brand underperformed expectations, and Adidas sold it to Authentic Brands Group in 2022 for approximately $2.5 billion.

In the lifestyle and fashion space, Adidas achieved enormous success through strategic collaborations. The Y-3 line with Japanese designer Yohji Yamamoto, launched in 2003, pioneered the luxury sportswear category. The company's Yeezy collaboration with Kanye West (now Ye), which began in 2015, generated over $1.5 billion in annual revenue before the partnership was terminated in 2022 following controversial statements by the artist.

Today, Adidas remains the second-largest sportswear company in the world behind Nike, with strong positions in football (soccer), running, training, and lifestyle categories. The brand's Originals line, featuring classic silhouettes like the Stan Smith, Superstar, and Samba, has experienced a massive resurgence in popularity among fashion-conscious consumers. In recent years, the company has emphasized sustainability initiatives, including a commitment to use only recycled polyester by 2024 and creating products from recycled ocean plastic through its partnership with Parley for the Oceans.