Adidas said on Tuesday that it is cutting ties with the rapper and designer after he made antisemitic remarks and embraced a slogan associated with white supremacists.
After leaving Nike, Mr. West became known as Mr. West and began collaborating with Adidas. It is one of the largest sources of Ye's wealth because of its partnership with the company.
Working with Ye gave Adidas a boost of creative cool and credibility that helped the company attract high- fashion partners like Gucci and Balenciaga.
The company does not tolerate hate speech. The company's values of diversity and inclusion, mutual respect and fairness have been violated byYe's recent comments.
The company, based in Germany, said it would stop payments to Ye and his companies. It said the move would subtract up to 250 million euros from the company's profit.
The boundaries of acceptable behavior were tested by Mr. West over the last month. The Anti-Defamation League considers the slogan "White Lives Matter" to be hate speech and that it has been adopted by the white supremacist movement. He made antisemitic remarks on social media and in an interview said he would go to die for Jews.
Blowback happened quickly.
The accounts of Ye were suspended by the two social media sites. Ari Emanuel is the parent company of the talent agency WMEA. Ye was removed from the pictures and videos of the show that opened in Paris this month, because he was involved in the project that ended in September. The magazine stated that it had no intention of working with Ye in the future.
On Monday, the talent agency that represents Ye dropped him as a client and the studio that made the documentary shelving it.
Adidas was one of the first corporate partners to announce publicly that it had placed the relationship under review. The Anti-Defamation League wanted to know what else they needed to review.
The league stepped up its pressure on Adidas this week after members of a hate group hung a banner reading "Kanye is right about the Jews" over a LA freeway.
The Central Council of Jews called on the sportswear giant to end its relationship with Ye. The historical responsibility of Adidas lies in the company's German roots and its association with the Nazi regime, according to the head of the council. I am expecting the company to take a strict stance regarding antisemitism.
The founder of Adidas was a member of the Nazi Party and his factory was forced to make weapons in the last years of the war. After World War II ended, a Jewish friend swore that he was allowed to find the present-day company. Antisemitic statements made online can lead to prosecution in Germany and companies with ties to the Nazis are expected to act to prevent the return of such sentiment.
The shares of Adidas fell to their lowest point in more than two years. The company's stock has fallen in the past month as Ye embarked on his latest antics.
The company expects the move to have a short-term negative impact on income. The German, Spanish and Argentine soccer teams will be wearing uniforms made by Adidas when they play in this year's World Cup.
As his most recent musical ventures have fallen short, the end of Ye's partnership with Adidas comes as a surprise. His last album did not come out on streaming services, but a speaker device. Longtime fans have criticized his increasing dalliances with right-wing figures, including more frequent associations with Candace Owens and Tucker Carlson.
Ye plans to open his own retail stores as part of his rejection of the corporate world and creation of the "Yecosystem."
The future of the brand isn't clear. Ye is the owner of the trademark. Adidas stated in its statement that it was the sole owner of all design rights to existing products that came out of the partnership.
The question is, what will the sneakerheads do next?