Carlo Ancelotti’s much-anticipated switch from Real Madrid to the Brazil national team has hit a significant impasse, casting fresh uncertainty over one of the most high-profile coaching transitions in international soccer.

The Brazilian Football Confederation (CBF) had long pursued Ancelotti as its preferred candidate, and reports earlier this year indicated that a verbal agreement had been reached between the two parties. However, according to ESPN, negotiations have recently stalled due to several complications involving Real Madrid and Ancelotti himself.

Foremost among the obstacles is Real Madrid’s reluctance to release the Italian tactician before the end of his current contract, which runs through the summer of 2026. The club reportedly views the timing of his potential exit as disruptive, particularly given their ongoing ambitions in both domestic and European competitions. Furthermore, Madrid are unwilling to negotiate a release without full financial compensation, something the CBF is hesitant to agree to.

Compounding matters, Ancelotti is understood to have developed reservations of his own. As revealed by GOAL, the veteran manager harbors concerns about personal security and instability within Brazilian soccer governance, particularly following the dismissal of CBF president Ednaldo Rodrigues. These worries have reportedly made Ancelotti more cautious about committing to the move, despite his longstanding admiration for Brazilian football.

With Brazil’s 2026 World Cup qualifying campaign already underway and the Copa América fast approaching, the CBF is under pressure to secure a high-caliber coach. As such, they are now reportedly exploring other candidates, including former Flamengo manager Jorge Jesus, currently in charge of Al Hilal in Saudi Arabia (ESPN).

While Ancelotti’s name still carries immense weight in Brazil and the global football landscape, this latest development signals a possible derailment of plans that once seemed inevitable. Unless a breakthrough is found soon, the Selecão may be forced to look elsewhere to steer them through the next phase of their international journey.