....so there is a few numbers being thrown around like $20 million or $22 million a year. Here's what I've gathered so far.
The numbers I've seen suggest the following:
Up to 22% of gross revenues produced by a programs AD
2023 Michigan generated approx. $230 million
22%of $230 million is about $50 million
What I've read in my limited research is the cap will be $30 million a year to start.
The top 30 programs generate enough revenue to meet the $30 million cap threshold that's been kicked around.
This is where things get a little iffy. It's not a matter of producing enough revenue to meet the cap but whether a program will or can truly afford the $30 million cap.
2023 Michigan was 4th in revenue producing behind only osu..texas...and Bama.
2024 should produce even more revenue because of new TV contracts....increased ticket prices...alcohol sales....and merchandise sales.
Questions that still need to be answered:
1. How does title IX play into this? My thought is it may not. With it looking like the NCAA my not survive all this with football and basketball becoming their own entities. Just my thoughts nothing more.
2. How does the money get paidout. Let's suppose it is truly left up to the universities and they have to pay non revenue producing sports something even though outside of football basketball and maybe hockey all other sports lose money. 8 could see a scenario where maybe $5000 to $10000 a year for those sports but as previously stated it ciuld be nothing.
3. Do donations to the AD count as revenue? I think they do. Just like with season ticket donations. With that premise Michigan should have no problems coming with the requisite $30 million from the big donors who will benefit from from continued tax write offs.
4. How does this effect NIL? I still think there will be a need but not to the level it is now.
5. Unions are contracts are right around the corner. 3 year minimums could be 4 years with an option for a 5th. This will be interesting.
6. Are walkons now treated like UDFAs. Do they get paid? Like practice squad players. Can they be released without a pay out?
7. I think contracts will cut down on the portal. Probably back to grad transfers and some players being "released" as a mutual agreement with university. Contracts will eliminate tampering/poaching from other programs.
Many more thoughts bouncing around in my head.
Also for the purpose of this thread the discussion needs to be focused on what is and what might be. Not whether you think this all sucks and how you hate college football. This new way is here to stay. No different than the portal and NIL.
GO BLUE
The numbers I've seen suggest the following:
Up to 22% of gross revenues produced by a programs AD
2023 Michigan generated approx. $230 million
22%of $230 million is about $50 million
What I've read in my limited research is the cap will be $30 million a year to start.
The top 30 programs generate enough revenue to meet the $30 million cap threshold that's been kicked around.
This is where things get a little iffy. It's not a matter of producing enough revenue to meet the cap but whether a program will or can truly afford the $30 million cap.
2023 Michigan was 4th in revenue producing behind only osu..texas...and Bama.
2024 should produce even more revenue because of new TV contracts....increased ticket prices...alcohol sales....and merchandise sales.
Questions that still need to be answered:
1. How does title IX play into this? My thought is it may not. With it looking like the NCAA my not survive all this with football and basketball becoming their own entities. Just my thoughts nothing more.
2. How does the money get paidout. Let's suppose it is truly left up to the universities and they have to pay non revenue producing sports something even though outside of football basketball and maybe hockey all other sports lose money. 8 could see a scenario where maybe $5000 to $10000 a year for those sports but as previously stated it ciuld be nothing.
3. Do donations to the AD count as revenue? I think they do. Just like with season ticket donations. With that premise Michigan should have no problems coming with the requisite $30 million from the big donors who will benefit from from continued tax write offs.
4. How does this effect NIL? I still think there will be a need but not to the level it is now.
5. Unions are contracts are right around the corner. 3 year minimums could be 4 years with an option for a 5th. This will be interesting.
6. Are walkons now treated like UDFAs. Do they get paid? Like practice squad players. Can they be released without a pay out?
7. I think contracts will cut down on the portal. Probably back to grad transfers and some players being "released" as a mutual agreement with university. Contracts will eliminate tampering/poaching from other programs.
Many more thoughts bouncing around in my head.
Also for the purpose of this thread the discussion needs to be focused on what is and what might be. Not whether you think this all sucks and how you hate college football. This new way is here to stay. No different than the portal and NIL.
GO BLUE
