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— CH. 1 · INTRODUCTION —

Major League Soccer

~7 min read · Ch. 1 of 7
7 sections
  • Major League Soccer launched its very first match on the 6th of April 1996, when the San Jose Clash defeated D.C. United before 31,000 fans at Spartan Stadium, broadcast on ESPN. The league had been born not purely out of passion for the game, but out of a political promise: in 1988, U.S. Soccer pledged to FIFA that it would establish a first-division professional league in exchange for the right to host the 1994 World Cup. That deal set everything in motion. Yet within a few years, MLS had burned through an estimated $250 million and was folding teams. How does a league go from near-collapse to drawing over 11 million spectators in a single season? The answer runs through a legal ruling, a rule named after a pop star, a stadium built in Columbus, Ohio, and a $2.5 billion deal with a technology company that had never broadcast soccer before.

  • U.S. Soccer made its commitment to FIFA in 1988, but the league itself did not take legal form until February 1995, when Major League Soccer was incorporated as a limited liability company. Tab Ramos was the first player signed, on the 3rd of January 1995, assigned to the New York/New Jersey MetroStars. When play began the following year, the league had recruited several stars from the 1994 World Cup, including Colombian playmaker Carlos Valderrama and Mexican goalkeeper Jorge Campos, alongside American names like Alexi Lalas and Eric Wynalda. The league also came with a predecessor: the North American Soccer League, which had run from 1968 until 1984. The NASL had attracted Pelé to the New York Cosmos in the mid-1970s, drawing Johan Cruyff, Gerd Müller, Eusébio, Bobby Moore, and George Best to North America. Soccer Bowl '78 drew over 70,000 fans for a single match, the highest attendance for any club soccer championship in the United States up to that point. The NASL collapsed anyway, undone by over-expansion, the economic recession of the early 1980s, and disputes with its players union, leaving the country without a top-level league for over a decade.

  • D.C. United won the MLS Cup in three of the league's first four seasons, providing a core of competitive drama, but the wider league was in serious trouble. Eight of the original ten clubs played in oversized American football stadiums, which made crowds look sparse and generated little revenue for the teams. The league also tried to "Americanize" the game by using a countdown clock and a running penalty shootout to resolve draws, changes that alienated traditional soccer fans without attracting new American sports viewers. Both innovations were dropped after the 1999 season. The U.S. men's national team, composed largely of MLS players, finished last among 32 teams at the 1998 World Cup, casting doubt on the league's quality. Commissioner Doug Logan was replaced by Don Garber, a former NFL executive, in August 1999. By late 2001 the league was planning to fold entirely, saved only when owners Lamar Hunt, Philip Anschutz, and the Kraft family agreed to absorb more teams. In January 2002, MLS announced it was contracting the Tampa Bay Mutiny and the Miami Fusion, cutting the league back to ten clubs. Total losses between the league's founding and 2004 exceeded $350 million.

  • Columbus Crew Stadium opened in 1999, and it changed what MLS thought was possible. Lamar Hunt built it as the first soccer-specific stadium in league history, ending the experiment of sharing cavernous NFL venues. Teams that owned their own grounds could keep concession revenue, parking revenue, and naming rights. They could host non-MLS events. Several clubs doubled their season-ticket bases after making the move. Tim Leiweke, then CEO of Anschutz Entertainment Group, described the stadium building wave as the turning point for the league. The LA Galaxy followed with the Home Depot Center in 2003. FC Dallas opened Pizza Hut Park in 2005. From 2003 to 2008, the league oversaw six additional soccer-specific stadiums. By the end of 2008, a majority of MLS teams played in purpose-built venues for the first time. The league also won a critical legal battle during this period: in 2002, a federal court ruled in favor of MLS in Fraser v. Major League Soccer, a lawsuit the players had filed in 1996. The court found that MLS's structure as a single entity, which centrally contracts players and limits salaries through a salary cap, was a lawful method of maintaining solvency and competitive parity. That ruling preserved the architecture the league had built to survive.

  • David Beckham arrived in MLS in 2007, the first signing under what became known as the Designated Player Rule, which allowed clubs to carry a limited number of players whose salary exceeded the cap maximum. The Beckham signing had been made possible in part by a clause in his original playing contract from that same year that entitled him to purchase an expansion team at a reduced price, which eventually became Inter Miami CF. The rule immediately opened the door to a generation of global stars. Cuauhtémoc Blanco joined the Chicago Fire, Juan Pablo Ángel signed with the New York Red Bulls, and in 2011 the Galaxy added Republic of Ireland all-time leading goalscorer Robbie Keane. By 2015, the league's 20th season, the roster of arriving players included Andrea Pirlo, Steven Gerrard, Didier Drogba, and Sebastian Giovinco in a single year. The income gap the rule introduced was stark: by 2013, just five players accounted for 21% of the league's total wage bill, stretching to 29% across six players in 2014. But the arrivals drove attendance. In 2011, MLS drew an average of 17,872 fans per match, higher than the average attendances of both the NBA and the NHL that year. The Seattle Sounders, who entered the league in 2009, set a new league attendance record with an average of 30,943 per match in their first season.

  • MLS operates under a single-entity structure that sets it apart from almost every other professional soccer league in the world. The league, not individual clubs, owns all player contracts. Each club is run by an investor-operator who holds a share in the overall league. This model survived its legal challenge and, over time, attracted outside investment that transformed franchise valuations. The average franchise value stood at $37 million in 2008 and had risen to $721 million by 2025. A Sportico ranking in 2024 placed 20 MLS clubs in the top 50 most valuable soccer clubs globally, with Los Angeles FC valued at $1.15 billion. Expansion fees trace the same arc: Toronto FC paid $10 million to join in 2007, a fee that had reached $100 million for New York City FC in 2013. FC Cincinnati and Nashville SC each paid $150 million. Charlotte FC agreed to a reported $325 million fee. San Diego FC, the most recent expansion team, paid a record $500 million in 2023. In 2022, the league signed a $2.5 billion, 10-year deal with Apple Inc., making Apple TV the primary broadcaster for all MLS matches beginning in 2023. That same year the league earned the Hans Zimmer-composed anthem that now plays at stadiums before kickoff, replacing the original 2007 anthem composed by Audiobrain.

  • The 2024 season set a new attendance record, with an average of roughly 23,200 fans per match and more than 11 million total spectators across the season. That figure pushed MLS ahead of the Canadian Football League into third place for average attendance among major professional sports leagues in the United States and Canada, behind only the NFL and MLB. Chris Wondolowski holds the all-time MLS scoring record with 171 goals scored between 2005 and 2021. The LA Galaxy have won the most MLS Cups with six, while Inter Miami CF claimed their first championship in 2025. On the 13th of November 2025, the league announced it would shift to a summer-to-spring schedule beginning in 2027, aligning more closely with European leagues. Under the new format, the regular season will begin in mid-July, pause for a winter break, and conclude with the MLS Cup playoffs in May. The league will also replace its two-conference format with a single table divided into five regional divisions. As a bridge, the 2027 season will run only 14 matches before the full 2027-28 schedule begins. Commissioner Don Garber has suggested that a future expansion round could take the league to 32 teams.

Common questions

When was Major League Soccer founded and why?

Major League Soccer was officially formed as a limited liability company in February 1995, with play beginning in 1996. It was created as part of a promise U.S. Soccer made to FIFA in 1988 in exchange for the right to host the 1994 World Cup.

How many teams are in MLS and where are they located?

MLS comprises 30 teams as of 2025, with 27 based in the United States and 3 in Canada. The most recent expansion team, San Diego FC, joined in 2025.

What is the MLS Designated Player Rule?

The Designated Player Rule, introduced in 2007, allows MLS clubs to sign a limited number of players whose salaries exceed the league's salary cap maximum. Only a capped portion of those salaries counts against the cap. David Beckham was the first player signed under the rule.

Who holds the all-time MLS scoring record?

Chris Wondolowski holds the all-time MLS goalscoring record with 171 goals, scored between 2005 and 2021.

Which team has won the most MLS Cups?

The LA Galaxy have won the most MLS Cups with six titles, won in 2002, 2005, 2011, 2012, 2014, and 2024.

How did MLS survive its near-collapse in the early 2000s?

After losing an estimated $250 million in its first five years, MLS was saved in late 2001 when owners Lamar Hunt, Philip Anschutz, and the Kraft family provided financing. The league contracted two teams in January 2002 and pivoted to building soccer-specific stadiums, starting with Columbus Crew Stadium in 1999, which gave clubs control over their own revenue streams.

All sources

309 references cited across the entry

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  2. 4webContact UsApril 4, 2023
  3. 6newsAbout Major League SoccerMLSnet.com — September 5, 2008
  4. 7web1996 Season RecapFebruary 22, 2012
  5. 9webMajor League Soccer's Most Valuable Teams 2015Chris Smith — August 19, 2015
  6. 10newsAttendance evolution since 2003David Broughton — April 10, 2023
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  12. 33newsMLS goes from near extinction to remarkable successKevin Baxter — December 5, 2015
  13. 35webColumbus Crew historyFebruary 22, 2012
  14. 37newsMaking Big Plans to Build Stadiums, and InterestJack Bell — March 23, 2002
  15. 38webLearn about MLSNew York City FC
  16. 39webMLS Cup 2002Major League Soccer — October 20, 2002
  17. 42newsAmericans in the Premier League – why have numbers dropped recently?Jeff Carlisle — ESPN FC — March 24, 2015
  18. 46webMLS 101: MLS Expansion Draft and Allocation MoneyPortland Timbers — November 22, 2010
  19. 47webHas The 'Beckham Rule' Worked For MLS?Bobby McMahon — August 5, 2012
  20. 48magazineForeign exchange programGreg Lalas — April 17, 2007
  21. 50newsSounders success story, by the numbersJosé Miguel Romero — November 5, 2009
  22. 55newsMLS steadily builds toward goal of profitabilityKevin Baxter — November 18, 2011
  23. 56newsFire tie Impact in MLS openerESPN — March 17, 2012
  24. 60webMajor League Soccer Awards Expansion Team to OrlandoOrlando City Soccer Club — November 19, 2013
  25. 64webMLS equals MLB in popularity with kidsRoger Bennett — ESPN FC — March 7, 2014
  26. 69newsMajor League Soccer Unveils New LogoAdam Vaccaro — September 18, 2014
  27. 70newsMLS shuts down Chivas USA, realigns conferencesJonathan Tannenwald — October 27, 2014
  28. 73newsMLS develops a buzz with international influx of talentKevin Baxter — August 23, 2015
  29. 74webMinnesota United FC to join MLS in 2017, debuting at TCF Bank StadiumSam Stejskal — Major League Soccer — August 19, 2016
  30. 77webMLS announces expansion process and timelineBen Couch — MLS Digital — December 15, 2016
  31. 81newsWithout a Downtown stadium, Crew likely to bid adieuAndrew Erickson — October 18, 2017
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  33. 86press releaseAustin FC to Begin Play in MLS in 2021MLS Digital — January 15, 2019
  34. 87webNashville awarded MLS expansion clubNicholas Rosano — December 20, 2017
  35. 90press releaseCincinnati awarded MLS expansion club, will start play in 2019Major League Soccer — May 29, 2018
  36. 91newsCharlotte gets MLS' 30th franchise for record $325 millionDavid Newton — ESPN — December 17, 2019
  37. 92press releaseMajor League Soccer awards expansion team to St. LouisTom Bogert — MLS Digital — August 20, 2019
  38. 96newsMLS hopes to put 30th team in Charlotte, North CarolinaRonald Blum — Associated Press — December 5, 2019
  39. 100webMLS Next launches as US Development Academy replacementBuzz Carrick — September 8, 2020
  40. 101webA breakdown of Apple's Major League Soccer dealAdam Gostomelsky — 2022-06-23
  41. 103newsSan Diego awarded 30th MLS team, will debut in 2025Cesar Hernandez — ESPN — May 18, 2023
  42. 107newsSacramento awarded latest MLS expansion franchiseJeff Carlisle — ESPN — October 21, 2019
  43. 113newsIn M.L.S., the Pandemic Changes the Playoff Mathvictor Mather — October 29, 2020
  44. 120press releaseMajor League Soccer Announces Audi 2023 MLS Cup Playoffs Format and ScheduleMajor League Soccer — February 21, 2023
  45. 128webWhy MLS is changing to summer-spring schedule with a winter breakJeff Carlisle et al. — November 13, 2025
  46. 130newsMLS to skip U.S. Open Cup, nation's oldest soccer tournamentThomas Floyd — December 15, 2023
  47. 131newsU.S. Open Cup revamp to feature just 8 MLS first teamsJeff Carlisle — ESPN — March 1, 2024
  48. 138press releaseMajor League Soccer and Liga MX Fuel Rivalry with New PartnershipMajor League Soccer — March 13, 2018
  49. 140newsMLS and Liga MX announce Leagues CupTom Marshall — ESPN — May 29, 2019
  50. 141press releaseMLS All-Star Game, Leagues Cup and Campeones Cup canceled for 2020Major League Soccer — May 19, 2020
  51. 144press releaseMajor League Soccer awards expansion team to San DiegoMajor League Soccer — May 18, 2023
  52. 145webDerby or Rivalry in MLS?January 27, 2014
  53. 147newsWhich team will have to travel the most, least in 2018?Benjamin Baer — January 5, 2018
  54. 156newsMajor League Soccer assumes ownership of Chivas USAKevin Baxter — February 20, 2014
  55. 157webDear Fans and FriendsCD Chivas USA
  56. 159newsChicago Fire sold to Andell HoldingsChicago Fire Media Relations — September 6, 2007
  57. 162newsA sports league that's unprofitable—but hopefulZac Bissonette — CNBC — December 5, 2014
  58. 163webMark AbbottBloomberg
  59. 164newsMLS unveils new Manhattan headquartersRob Schaefer — May 6, 2026
  60. 165press releaseMLS, SUM move over to Fifth AvenueMajor League Soccer
  61. 168webSalary GuideMLS Players' Association — May 19, 2016
  62. 171webMLS confident new CBA will be done in time for March 6 season startJeff Carlisle — ESPN FC — January 7, 2015
  63. 174newsMLS Roster Rules and RegulationsMLS Digital — March 2, 2018
  64. 182newsMLS comes out of the gates strong in '07Pat Martin — May 4, 2007
  65. 183web2014 MLS Player Salaries: April 1, 2014: By ClubMajor League Soccer Players Union — April 2, 2014
  66. 184newsA Look at Income Inequality in MLSBill Reese — January 30, 2014
  67. 185web2014 MLS Salaries VisualizedSteve Fenn — StatHunting — April 11, 2014
  68. 188webMLS launches youth development initiativeESPN FC — November 10, 2006
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  70. 192webUS U-20 players headline 2006 classESPN FC — January 11, 2006
  71. 195newsMajor League Soccer to launch development league in 2022Kyle Bonagura — June 21, 2021
  72. 196press releaseSeven MLS-Affiliated Clubs to Join MLS Next Pro in 2023MLS Next Pro — August 4, 2022
  73. 205webRio Tinto Stadium Set To OpenOctober 4, 2008
  74. 211newsAvaya Stadium: Breaking down Earthquakes' new digsElliott Almond — February 27, 2015
  75. 213webYour City Your Stadium: Update on Proposed Stadium OpeningOrlando City Soccer Club — January 13, 2016
  76. 216webVancouver Whitecaps HistoryOctober 11, 2010
  77. 220newsMinnesota United to play inaugural MLS season at new home: TCF Bank StadiumBrian Quarstad — Major League Soccer — August 19, 2016
  78. 222newsLAFC's stadium is coming together ahead of scheduleKevin Baxter — December 18, 2017
  79. 223press releaseIt's official: Major League Soccer awards expansion team to MiamiMLS Digital — January 29, 2018
  80. 233press releaseAlly announces multi-year agreement with Charlotte MLS soccerCharlotte MLS 2021 — December 17, 2019
  81. 235press releaseFC Cincinnati sign jersey sponsorship deal pending MLS acceptanceMajor League Soccer — November 14, 2017
  82. 237newsCrew announces jersey sponsorship deal with NationwideThe Columbus Dispatch — February 27, 2020
  83. 246newsNashville SC Unveils First Major League Soccer JerseyNashville SC Communications — January 18, 2020
  84. 247press releaseUnitedHealthcare, New England Revolution Announce PartnershipUnitedHealthcare — April 22, 2011
  85. 257press releaseA partnership born and bred in St. Louis.St.Louis City SC — March 31, 2021
  86. 260newsMajor League Soccer to sell ad space on jerseysJohn Weinbach — September 28, 2006
  87. 262newsMLS to add jersey sleeve advertisements in 2020NBCUniversal — October 24, 2018
  88. 264newsMajor League Soccer's Most Valuable TeamsPeter J. Schwartz et al. — September 9, 2008
  89. 274news'Game First' initiatives enhance on-field productMajor League Soccer Communications — April 2, 2007
  90. 277magazineAhead of 20th season, MLS unveils new logo, branding to alter lookBrian Straus — September 17, 2014
  91. 280bookLong Range Goals: The Success Story of Major League SoccerBeau Dure — Potomac Books — 2010
  92. 281newsOn Soccer: Dallas Burn nickname about to become historyGlenn Davis — August 12, 2004
  93. 288newsKickTV Is on the 'Air' on YouTubeJack Bell — May 1, 2012
  94. 289press releaseMLS announces sale of KICKTV YouTube channel & soccer media platform to Copa90Major League Soccer — January 29, 2015
  95. 298webImpact sign multimedia deal, name TVA Sports broadcasterYvan Delia-Lavictoire — July 14, 2011
  96. 302newsDiscovery launches sports channel DSPORT in IndiaGaurav Laghate — February 6, 2017
  97. 306webFootball Manager signs with MLSSports Interactive — May 13, 2004
  98. 307webMLS Statistics: All-TimeMLS Digital