AC Milan and Inter are owned by separate US-based investment firms and in the joint announcement described the Generali Stadium as “a new home for generations of supporters, and a destination designed to contribute to the cultural, economic and urban development of the city”.
The demolition of San Siro has been discussed for decades, and the clubs believe its deterioration and lack of modern features are significant reasons behind their progressive fall lower down the pecking order at the top of European football.
The new stadium is expected to cost about 1.2bn euros (£1bn) to construct, and the clubs aim to generate income by selling just under 12,000 of the seats as premium or hospitality, and host a wider array of events like concerts and fixtures in other sports.
“This is the biggest stadium naming-rights deal in the history of global sports,” AC Milan owner Gerry Cardinale told BBC Sport.
“That’s a significant achievement in its own right and especially in the context of having been done in Italy and what it means to bring Italy back to the world stage of football.
“But if you’re looking at this purely as an annual sponsorship payment, you’re missing the bigger picture.
“The stadium is what fundamentally transforms our economic model – matchday revenues, hospitality, premium experiences, entertainment and commercial opportunities.
“These are the things that allow us to compete with the biggest clubs in Europe.”
AC Milan have played at San Siro for 100 years, while Inter moved in 1947. The two clubs paid 197m euros (£164m) to buy the stadium and surrounding land in 2025.
The plans for the new stadium have faced opposition from some supporters, with some Inter fans protesting outside the venue where the plans were announced by carrying a banner reading ‘You will never extinguish the lights at San Siro’ and chanting “Hands off San Siro”.
“You cannot compete consistently with the best clubs in the world without having the infrastructure and economic model to support that ambition,” added Cardinale.
“The Premier League has set the benchmark in terms of commercial development and infrastructure. Italian football has fallen behind, and we need to change that.
“This stadium is a massive step forward, not just for AC Milan but potentially for the whole of Serie A.”
