Corporate backlash mounts as Adidas, Gap cut ties with Ye following antisemitic remarks

The corporate backlash against Ye, the musician formerly known as Kanye West, is mounting after the clothing company Gap and the German athletic wear company Adidas cut ties with him on Tuesday following recent offensive and antisemitic comments.

"Adidas does not tolerate antisemitism and any other sort of hate speech," the company said Tuesday, in a statement obtained by CNBC. "Ye's recent comments and actions have been unacceptable, hateful and dangerous, and they violate the company’s values of diversity and inclusion, mutual respect and fairness."

The decision by Adidas will end the production of Yeezy-branded merchandise and stop payments to Ye and his companies.

The company said the end of the partnership – which means no more Yeezy co-branded merchandise on shelves – will result in hundreds of millions in net income losses over the short term. 

Ye reportedly said on a podcast earlier this month: "I can say anti-Semitic things, and Adidas can’t drop me. Now what?"

Several hours after Adidas' announcement, Gap said it is "taking immediate steps to remove Yeezy Gap product from our stores," CNN reported.

Gap and Ye agreed last month to end their 10-year partnership, but the company still sold a line of merchandise from the rapper and operated YeezyGap.com, which now redirects to the Gap's main website.

Twitter and Instagram recently blocked Ye over the antisemitic remarks.