Escalting Money spend in College Football

[GT33]

This is just the beginning. A lot of schools, alumni would love to buy a championship. 4 million is pocket change.

I don't see this madness ending until there are rules changes.

If you got me to believe that for $25k or $50k we’d dominate the mutts and have a chance at a National Championship I’d be all in. I’m sure there a thousand fans like me. You have $50M just from us and then you have the rich guys on top of that. We’d probably amass a $250M war chest. I’d defer retirement for a year if I had to if I knew we’d cream those bitches good. Hell, if I needed to work 3-4 yrs extra to make it half a decade slaughtering their punk asses, I’d likely sign up for that as well.

 

[SOWEGA Jacket]

Auburn wanted a top-notch receiver and felt like he was best for their current situation so they made him an offer he could not refuse. Tech, for whatever reason, choose not to participate in the bidding war.

Go Jackets!

It wasn’t for whatever reason. It’s because GT is smarter than Auburn. Auburn paid him as if he is an elite WR. GT knows wha5 his worth actually is. When the number went above that we said good bye. Pay linemen not WR’s or DB’s.

 

[LongforDodd]

watched him in their bowl game and he looked terrible. I figured it would bring down whoever was going to take him. Granted it’s one game but he looked really bad. Missing everything even with plenty of time.

I watched that game also a bit and came away thinking Tulane, although much improved, is not much to worry about with that QB. Is that QB is the one making the dough? If so, aye corumba!!!

 

[MtnWasp]

We'll know when player compensation budgets approach the break-even point when consumer prices start to go up.

Attendance at live sports events is not in demand, so raising ticket prices is not the best source of revenue.

TV contracts are negotiated only infrequently.

What my index would be is that the price of streaming services will be the target.

 

[roadkill]

We'll know when player compensation budgets approach the break-even point when consumer prices start to go up.

Attendance at live sports events is not in demand, so raising ticket prices is not the best source of revenue.

TV contracts are negotiated only infrequently.

What my index would be is that the price of streaming services will be the target.

Subscriber costs for streaming services have already been escalating as the business transitions from customer acquisition mode to profitability mode. Are content costs for streamers increasing due to player compensation budgets? I don’t see how that would be the case in the short term, but perhaps I’m missing something.

Revenue sharing/in-house NIL is expected before next season. There is supposed to be a professionally-run clearinghouse for all NIL deals with the info accessible to all schools. This and the 22% cap should have a dampening effect on some of the current craziness.

If schools use all of the 22% revenue-sharing cap, and many won’t, expect them to make this up in a variety of ways. UTenn. is already adding a form of tax to its ticket prices. Batt is raising our ticket prices and looking at other ways of raising money to make up the revenue shortfall. I expect GT and many other schools will need to cut expenses in some areas as well. By this time next season, the dust will have begun to settle on the new landscape.

 

[Oldgoldandwhite]

All we need to do is tie in all of the big companies in the metro Atlanta area. If not already.

 

[forensicbuzz]

NIL is not sustainable. There is no revenue stream putting money into the NIL. It is all coming from supporters, directly. Unless the $$ for NIL start coming from somewhere other than the contributor’s pocket, repeatedly going back to donors for cash to give players is going to get old and dry up. Revenue sharing should help, until there’s an endowment where the principle is not touched, it’s going to eventually dry out.

 

[MtnWasp]

NIL is not sustainable. There is no revenue stream putting money into the NIL. It is all coming from supporters, directly. Unless the $$ for NIL start coming from somewhere other than the contributor’s pocket, repeatedly going back to donors for cash to give players is going to get old and dry up. Revenue sharing should help, until there’s an endowment where the principle is not touched, it’s going to eventually dry out.

This post confuses me. While there is no obstacle preventing a player from supplementing their compensation packages through NIL deals, players can be compensated directly from athletic administrations based on pay for play contracts. This money can come from athletic budgets which are a product of multiple revenue streams including conference media deals.

For instance, as I understand it, for Gt to hold on to Malik Rutherford, the GTAA can pay him directly out of the GTAA budget and do not have to coordinate compensation packages through NIL deals, though there is no problem with that either.

My view is that all this NIL money being thrown around represents the largess that athletic administrations have had to work with since the big TV deals came along.

 

[MWBATL]

I watched that game also a bit and came away thinking Tulane, although much improved, is not much to worry about with that QB. Is that QB is the one making the dough? If so, aye corumba!!!

No. The guy who played in the bowl game for Tulane was the backup.

 

[alagold]

I watched that game also a bit and came away thinking Tulane, although much improved, is not much to worry about with that QB. Is that QB is the one making the dough? If so, aye corumba!!!

I hear thee guy going to dook did not play in the bowl.

 

[Root4GT]

This post confuses me. While there is no obstacle preventing a player from supplementing their compensation packages through NIL deals, players can be compensated directly from athletic administrations based on pay for play contracts. This money can come from athletic budgets which are a product of multiple revenue streams including conference media deals.

For instance, as I understand it, for Gt to hold on to Malik Rutherford, the GTAA can pay him directly out of the GTAA budget and do not have to coordinate compensation packages through NIL deals, though there is no problem with that either.

My view is that all this NIL money being thrown around represents the largess that athletic administrations have had to work with since the big TV deals came along.

Has the AA’s can pay directly been finalized?

 

[MtnWasp]

Has the AA’s can pay directly been finalized?

I know that many states have legalized direct payment, including Georgia. If there is no rule against it what is to stop it from operating...?

A "system" without many rules promotes a lot of innovation and creativity.

 

[Phatdaddy]

The current model isn't sustainable. It's basically the wild west right now. But I'm sure changes will be coming to both NIL and the portal. There are already talks of caps for next year and pretty much everybody agrees something needs to be done about the portal during bowl games.

If most GT students don't care, why are they selling out the student allotment at BDS? Sure alot of GT alumni don't stay in the ATL; still doesn't mean they can't be fans. That is why they are looking to both reduce capacity at BDS and upgrade the experience. Also, don't forget that GT undergrad enrollment has more than doubled in the last 20 years. If you count grad students, we have more total students than UGA. Sure most of them aren't sports fans, but I'm sure some of them become. That all adds up year after year.

GT's endowment is close to double or more than UGA, Bama, Clemson etc. We have plenty of alumni with deep pockets, just have to convince them to give to the athletics. I'm willing to bet on average, GT alumni have more disposable cash than alot of fanbases given our majority of STEM degrees.

I am living proof of "Sure most of them aren't sports fans, but I'm sure some of them become. That all adds up year after year." I could not care less about GT football (and college football in general) when I was an undergrad at tech. However, I got into college football after I started working due to my co-workers being big college football fans, so now I am a huge GT football fan. I plan on giving to the GT NIL fund, and I would have attended games in person had I lived in Atlanta. I believe there are others like me.

 

[SOWEGA Jacket]

NIL is not sustainable. There is no revenue stream putting money into the NIL. It is all coming from supporters, directly. Unless the $$ for NIL start coming from somewhere other than the contributor’s pocket, repeatedly going back to donors for cash to give players is going to get old and dry up. Revenue sharing should help, until there’s an endowment where the principle is not touched, it’s going to eventually dry out.

Agreed. The market will self correct when a lot of these players don’t produce to their deal. But, it is fun watching this stuff. I still remember the freaks out over Ewers getting a million from Ohio St while he never took a snap.

 

[gte447f]

This post confuses me. While there is no obstacle preventing a player from supplementing their compensation packages through NIL deals, players can be compensated directly from athletic administrations based on pay for play contracts. This money can come from athletic budgets which are a product of multiple revenue streams including conference media deals.

For instance, as I understand it, for Gt to hold on to Malik Rutherford, the GTAA can pay him directly out of the GTAA budget and do not have to coordinate compensation packages through NIL deals, though there is no problem with that either.

My view is that all this NIL money being thrown around represents the largess that athletic administrations have had to work with since the big TV deals came along.

I think @forensicbuzz is right. As far as I know, “pay for play” is still technically not allowed, and schools cannot pay players. All the nil money comes from donors. It is not from universities, athletic association budgets, or revenue sharing. Not yet at least.

I could be wrong about this. I dunno.

 

[forensicbuzz]

This post confuses me. While there is no obstacle preventing a player from supplementing their compensation packages through NIL deals, players can be compensated directly from athletic administrations based on pay for play contracts. This money can come from athletic budgets which are a product of multiple revenue streams including conference media deals.

For instance, as I understand it, for Gt to hold on to Malik Rutherford, the GTAA can pay him directly out of the GTAA budget and do not have to coordinate compensation packages through NIL deals, though there is no problem with that either.

My view is that all this NIL money being thrown around represents the largess that athletic administrations have had to work with since the big TV deals came along.

I'm not sure what you don't understand. NIL is not school provided. It isn't tax deductible. It doesn't have a replenishable supply of money other than people giving non-tax-deductible funds. These funds are ONLY provided by people willing to give their OWN MONEY to players to play for a team they support. That money is not inexhaustible. So, eventually, that supply is going to run out. Unless there is a fund that creates NIL payments from the returns on a large principle, it won't last.

Right now, the GTAA (or any athletic association) cannot provide anything to any student athlete other than what is currently allowed by the NCAA. Your confusion indicates that you don't understand how NIL works. PLAYERS CANNOT BE DIRECTLY COMPENSATED BY ATHETIC ASSOCIATIONS. That may change in the future, but it certainly doesn't exist now.

 

[IM79]

I'm not sure what you don't understand. NIL is not school provided. It isn't tax deductible. It doesn't have a replenishable supply of money other than people giving non-tax-deductible funds. These funds are ONLY provided by people willing to give their OWN MONEY to players to play for a team they support. That money is not inexhaustible. So, eventually, that supply is going to run out. Unless there is a fund that creates NIL payments from the returns on a large principle, it won't last.

Right now, the GTAA (or any athletic association) cannot provide anything to any student athlete other than what is currently allowed by the NCAA. Your confusion indicates that you don't understand how NIL works. PLAYERS CANNOT BE DIRECTLY COMPENSATED BY ATHETIC ASSOCIATIONS. That may change in the future, but it certainly doesn't exist now.

Question 1: What does the House vs. NCAA settlement include?
Answer 1: The settlement (if finally approved) includes two pieces pertinent to current and former student-athletes. First, the damages, which total $2.576 billion and will be paid over a 10-year period. Second, increased benefits being provided to student-athletes in the future. The settlement allows institutions to increase scholarships and to pay student-athletes for the use of their Name, Image and Likeness (NIL) during their enrollment at the institution.

The information below details the next steps in the settlement process:

• The claims period will begin on October 18, 2024 and close on January 31, 2025
• Student-athletes wishing to participate in the settlement should file a claim by January 31, 2025.
• Any individual who desires to opt-out of the settlement class must do so by January 31, 2025
• Any individual may object to the settlement provided such objection is filed no later than January 31, 2025.
• The motion for final approval and response to objections must be filed by March 3, 2025.
• The hearing on final approval of the settlement is currently scheduled for April 7, 2025.

House vs. NCAA Settlement

House vs. NCAA Settlement

utahutes.com

When will players start to be paid?​

If all goes according to plan, college athletes will be getting paid by their schools by this time next year.

The settlement still needs to be approved by a judge, and current college athletes will have several months to learn what it means for them and decide if they want to object to any of the terms.

The tentative schedule looks like this:

Early October: Athletes begin to receive details about how the settlement will impact them.
Mid-January: Deadline for athletes to submit any objections or opt out.
Mid-March: Judge Claudia Wilken makes final ruling on the settlement.
Summer 2025: Schools begin to sign deals with athletes.

How much will schools pay their players?​

At the start, schools will be able to spend a maximum of $23.1 million in additional money, according to projections shared in the settlement terms. That is in addition to the tuition, stipends and other benefits schools already provide players every year.

Answering the 10 biggest questions about the NCAA antitrust settlement

There's a much clearer sense of how athletes will be getting paid in the future now. What does this settlement mean for players, collectives and the NCAA? Let's break it down.

www.espn.com

 

[AugustaSwarm]

I think a lot of our fans underestimate Tech's ability to compete in this financial battle. As long as there are no guidelines or regulations on how much you can pay players, schools will continue to find ways to buy who they think they need to be successful. I think Singleton is a perfect example of this. Auburn wanted a top-notch receiver and felt like he was best for their current situation so they made him an offer he could not refuse. Tech, for whatever reason, choose not to participate in the bidding war.

There are enough wealthy alumni who are willing to open their bank accounts to help their alma mater win on the football field. That is true at Tech just as it is true at most every other school. I think there is a year or two window where these athletes have the chance to really win the lottery, before someone puts rules and regulations in place that limit the pay for play situation. So now is the time to strike while the opportunity presents itself. I think you will see a lot of movement among the higher rated talent in college football this year and next year
Eventually, some ruling body will seize control of this and set some limits. Until then, it's going to be every man for himself, pretty much.

Go Jackets!

My best friend from high school (a dwag, but a nice guy) is an attorney that works for a college player representation agency. He literally says exactly what you just said. Currently, it's a wide open free for all.

He left a NBA/NFL firm to jump into the NIL arena knowing full well that it will change significantly in the coming years. But the money is there now and it's flowing freely. They make big money commissions off these deals and according to him, there are no guardrails.

 

[forensicbuzz]

Question 1: What does the House vs. NCAA settlement include?
Answer 1: The settlement (if finally approved) includes two pieces pertinent to current and former student-athletes. First, the damages, which total $2.576 billion and will be paid over a 10-year period. Second, increased benefits being provided to student-athletes in the future. The settlement allows institutions to increase scholarships and to pay student-athletes for the use of their Name, Image and Likeness (NIL) during their enrollment at the institution.

The information below details the next steps in the settlement process:

• The claims period will begin on October 18, 2024 and close on January 31, 2025
• Student-athletes wishing to participate in the settlement should file a claim by January 31, 2025.
• Any individual who desires to opt-out of the settlement class must do so by January 31, 2025
• Any individual may object to the settlement provided such objection is filed no later than January 31, 2025.
• The motion for final approval and response to objections must be filed by March 3, 2025.
• The hearing on final approval of the settlement is currently scheduled for April 7, 2025.

House vs. NCAA Settlement

House vs. NCAA Settlement

utahutes.com

When will players start to be paid?​

If all goes according to plan, college athletes will be getting paid by their schools by this time next year.

The settlement still needs to be approved by a judge, and current college athletes will have several months to learn what it means for them and decide if they want to object to any of the terms.

The tentative schedule looks like this:

Early October: Athletes begin to receive details about how the settlement will impact them.
Mid-January: Deadline for athletes to submit any objections or opt out.
Mid-March: Judge Claudia Wilken makes final ruling on the settlement.
Summer 2025: Schools begin to sign deals with athletes.

How much will schools pay their players?​

At the start, schools will be able to spend a maximum of $23.1 million in additional money, according to projections shared in the settlement terms. That is in addition to the tuition, stipends and other benefits schools already provide players every year.

Answering the 10 biggest questions about the NCAA antitrust settlement

There's a much clearer sense of how athletes will be getting paid in the future now. What does this settlement mean for players, collectives and the NCAA? Let's break it down.

www.espn.com

That's not relevant to right now, which is the discussion at this point. So, I'm not sure what you're even bringing something up that isn't relevant.

 

[IM79]

That's not relevant to right now, which is the discussion at this point. So, I'm not sure what you're even bringing something up that isn't relevant.

I would say the settlement allowing the paying of athletes starting in the summer of 2025 is pretty relevant . That is relevant to every player that will be on next year s roster. This season is basically over. The football program better have a good plan in place by now.

That’s my opinion. Not trying to change your opinion or argue with you. Just putting next years rules out there for everyone to refer to.