World's football governing body FIFA announced on Wednesday that a total of one billion U.S. dollars prize money will be distributed to teams taking part in the 2025 FIFA Club World Cup.

Photo taken on Feb. 11, 2021 shows the winner's trophy of the FIFA Club World Cup prior to the final match against Mexico's Tigres Uanl at the Education City Stadium in Doha, Qatar, Feb. 11, 2021. (Photo by Nikku/Xinhua)

The first edition of the 32-team FIFA Club World Cup will be hosted in the United States from June to July 2025.

FIFA said its new flagship tournament is expected to generate two billion U.S. dollars in revenue, with one billion being distributed to participating clubs and provision for a solidarity mechanism that will be dedicated to club football across the world.

"The FIFA Club World Cup will not only be the pinnacle of club football, but also a vivid demonstration of solidarity that will benefit clubs at large to a scale that no other competition has ever done," said FIFA President Gianni Infantino.

"All revenue generated by the tournament will be distributed to the participating clubs and via club solidarity across the world as FIFA will not keep a single dollar."

FIFA also said that the new FIFA Women's Club World Cup will take place in 2028, and will feature a competitive format with 19 of the world's top clubs involved.

In addition, FIFA announced the bidding process for 2031 and 2035 Women's World Cup, with member associations affiliated to Africa and North America invited to bid for the 2031 edition, while African and European associations are invited to bid for the 2035 tournament.