Why did Pepsi end its sponsorship of the Super Bowl halftime show? Exploring reasons behind $196.79 billion company's move

After 10 years as the primary sponsor of the Super Bowl's star-studded entertainment break, Pepsi announced in 2022 that it will no longer host the halftime show.

The last Super Bowl performance sponsored by Pepsi saw Mary J. Blige, Snoop Dogg, Eminem, Kendrick Lamar and Dr. Dre take the stage in 2022.

Since then, Apple Music replaced Pepsi as the primary sponsor of the NFL's Super Bowl halftime performance, which usually attracts one of the largest TV viewership of the year.

Here is the main reason behind Pepsi's decision to stop sponsoring one of the year's most significant events.

Why did Pepsi stop sponsoring Super Bowl halftime shows?

Pepsi posted a statement on social media in 2022 announcing that it would no longer be sponsoring the Super Bowl Halftime Show.

"We've decided it's time to hand off the microphone after ten years of iconic Pepsi Super Bowl Halftime Show performances. Thank you to the amazing artists and fans who helped us create some amazing moments along the way. Now to the next stage," the company announced on Twitter (now X).

The ten-year contract between the two organizations ended in May 2022 and Pepsi decided not to extend it because the league wanted to sign a deal that would bring somewhere between $40 and $50 million annually for the naming rights.

The soft drink firm reportedly refused to pay that much money. According to a statement from the corporation, the decision to withdraw is part of a broader strategic change aimed at providing music and entertainment services to fans "where they are now, and where they will be in the future.”

Pepsi's focus on accessibility and future expansion suggests that the company has shifted its music promotion strategies away from the high-profile Super Bowl platform to more diverse and inclusive audiences.

The NFL quickly found a replacement to Pepsi when Apple offered to sponsor the Super Bowl halftime show for five years at a rate of $50 million annually.

Greatest Super Bowl halftime shows sponsored by Pepsi

When Pepsi sponsored the Super Bowl halftime show from 2013 to 2022, the company was responsible for some of the greatest performances since the event's inception, including standout shows by Lady Gaga and the duo of Jennifer Lopez and Shakira.

Here are the five best Super Bowl halftime shows during Pepsi's sponsorship:

Super Bowl XLVII (2013) - Beyoncé and Destiny’s Child

Super Bowl LVI (2022) - Dr. Dre, Snoop Dogg, Eminem, Mary J. Blige, Kendrick Lamar & 50 Cent

Super Bowl LIV (2020) - Jennifer Lopez and Shakira

Super Bowl LI (2017) - Lady Gaga

Super Bowl XLIX (2015) - Katy Perry