OT: Big 10 TV Deal; $51 mill per school payout

[Stern]

Big Ten TV revenue distribution reaches an insane $51 million per school

Goes to show you how much money there is in this if you built a TV network at the right time and did it the right way. I know the ACC TV deal when it launches in a year or so will start off with far smaller payout than this per school but if they build it right and do it right in time the payouts should be significant.

 

[Whitey23]

ACC is screwed. That’s almost double what they reported for 2016.

www.newsobserver.com/sports/article211935469.html

 

[dasher]

ACC is screwed. That’s almost double what they reported for 2016.

www.newsobserver.com/sports/article211935469.html

How is the ACC screwed? They don't have to get 51 million per school to be very successful.

 

[Orijinal]

How much more will each ACC school get when the TV network is launched?

 

[DoctorBombay]

ACC is screwed. That’s almost double what they reported for 2016.

www.newsobserver.com/sports/article211935469.html

Geez, overreact much? This isn’t exactly new news, & the ACCN was put together just so the ACC could reap the benefits & hopefully stay in the same neighborhood in earnings. We’ll be fine..

 

[TexanMark]

That $51M is looking forward and relies on projections...the B1G plays with their numbers. The ACC looked back to 16-17. In 2-3 years I think the difference will be about $10-12M per team. The three unknown factors, can the ACC grab a better bowl deal involving the big bowls? Will B1G get more money in few years when a portion of their TV rights come up?
How will the B1G Network evolve as folks continue to drop cable?

Finally, the B1G will always earn more as long as Football is worth 80-85% of the contract. They have bigger fan bases. The equalizer is the
ACC has access to better recruits and a larger population base.

 

[gbo]

Geez, overreact much? This isn’t exactly new news, & the ACCN was put together just so the ACC could reap the benefits & hopefully stay in the same neighborhood in earnings. We’ll be fine..

True but it doesn't change the fact that the ACC was late to the game...per usual. Not to mention the ACCN is coming at a time when more and more people are dropping cable. It is concerning to say the least.

 

[sutomcat]

That $51M is looking forward and relies on projections...the B1G plays with their numbers. The ACC looked back to 16-17. In 2-3 years I think the difference will be about $10-12M per team. The three unknown factors, can the ACC grab a better bowl deal involving the big bowls? Will B1G get more money in few years when a portion of their TV rights come up?
How will the B1G Network evolve as folks continue to drop cable?

Finally, the B1G will always earn more as long as Football is worth 80-85% of the contract. They have bigger fan bases. The equalizer is the
ACC has access to better recruits and a larger population base.

According to Awful Announcing, even the most conservative estimates have ACC network bringing in at least $10 million in revenue per school per year.

Like Mark says, a bunch of bowl agreements are about to expire. Once they were last negotiated, the ACC was in a really weak position. Things have changed radically since then. The ACC is going to get a lot more money than they did that last go around. I would be concerned about the new round of bowl negotiations if I were the Pac 12 or the Big 12.

 

[Orijinal]

According to Awful Announcing, even the most conservative estimates have ACC network bringing in at least $10 million in revenue per school per year.

Like Mark says, a bunch of bowl agreements are about to expire. Once they were last negotiated, the ACC was in a really weak position. Things have changed radically since then. The ACC is going to get a lot more money than they did that last go around. I would be concerned about the new round of bowl negotiations if I were the Pac 12 or the Big 12.

Please tell me you meant to say $10 million more per school

 

[orangecuse]

Please tell me you meant to say $10 million more per school

I'll be the smart ass. Of course he meant that! Teams already are getting in the $20 mil/year range without the network.

 

[sutomcat]

Yes, $10 million more per school per year. Estimates range all over the place. I have seen anywhere from $8 million to $15 million. It should be a major jump.

 

[DoctorBombay]

True but it doesn't change the fact that the ACC was late to the game...per usual. Not to mention the ACCN is coming at a time when more and more people are dropping cable. It is concerning to say the least.

Fair enough, but I’ll give Greensboro credit for reacting quickly and decisively, adding a GOR extension to 2036, locking up ND, & inking the deal w/ the WWL.
Again, Swofford was caught flat footed but recovered to save the league- unlike the Big XII and/or PAC 12 which are the likely candidates to fold. The ACC could’ve easily been in their position, but at least we’re good for the foreseeable future.

 

[nzm136]

That $51M is looking forward and relies on projections...the B1G plays with their numbers. The ACC looked back to 16-17. In 2-3 years I think the difference will be about $10-12M per team. The three unknown factors, can the ACC grab a better bowl deal involving the big bowls? Will B1G get more money in few years when a portion of their TV rights come up?
How will the B1G Network evolve as folks continue to drop cable?

Finally, the B1G will always earn more as long as Football is worth 80-85% of the contract. They have bigger fan bases. The equalizer is the
ACC has access to better recruits and a larger population base.

This thread is highly misleading. It’s NOT $51 MM of TV revenue. It’s $51 MM of revenue, including bowl payouts, attendance tax distributions, TV revenues, ticket sales, and so on.

People are also comparing historic years w/ future years/projections.

Net-net, to your point, the B1G will be ahead of the ACC for the foreseeable future, but A) the gap isn’t very anywhere close to as big as people are making it seem, and B) it will significantly shrink in the near future.

Everyone - The sky isn’t falling. Don’t drink ACC Kool Aid, but don’t fall prey to the B1G’s PR machine.

 

[HtownOrange]

Just a reminder that in addition to the points made above, the B1G shares gate revenue, which is added into the figure, the B1G has already re-negotiated the TV deal and is getting more hoops money (which every other P5 deal will reflect once re-negotiated, none more so than the ACC!) and that the B1G has been rumored/projected hit higher numbers than they have actually hit.

Are all deals equal? No.
Are all deals inclusive of the same elements? No.
Will the ACC survive? Yes.

The hoops side has been underpaid for decades, the B1G essentially received their bump already. The other conferences should expect at proportional increases. In reality, there is still room for more football money, too. TV is not stupid, they will hoard profits until forced to pay the providers a fair share. The conferences are still getting their collective feet we learning what they are really worth.

 

[CuseLegacy]

https://www.bizjournals.com/atlanta...evision-to-buy-raycom-for-3-6b-shuffle-c.html


In addition to TV stations, Gray will acquire several other Raycom businesses, including Raycom Sports. The marketing, production, and events management and distribution company owns the ACC Network.

 

[RandygoCuse]

That $51M is looking forward and relies on projections...the B1G plays with their numbers. The ACC looked back to 16-17. In 2-3 years I think the difference will be about $10-12M per team. The three unknown factors, can the ACC grab a better bowl deal involving the big bowls? Will B1G get more money in few years when a portion of their TV rights come up?
How will the B1G Network evolve as folks continue to drop cable?

Finally, the B1G will always earn more as long as Football is worth 80-85% of the contract. They have bigger fan bases. The equalizer is the
ACC has access to better recruits and a larger population base.

I get the population base, but how do we have access to better recruits? Not doubting you, I don't know as much about football recruiting.

 

[MSOrange]

I get the population base, but how do we have access to better recruits? Not doubting you, I don't know as much about football recruiting.

I'm thinking he is referring to Florida and Georgia in particular.

 

[TexanMark]

I get the population base, but how do we have access to better recruits? Not doubting you, I don't know as much about football recruiting.

We play in Florida, SC and NC... parents like to travel to closer games

 

[RandygoCuse]

We play in Florida, SC and NC... parents like to travel to closer games

thanks - I looked at state rankings and was surprised how much higher these states are ranked compared to Ohio, PA, and Michigan

 

[nzm136]

I'm thinking he is referring to Florida and Georgia in particular.

Virginia and the Carolinas aren’t bad, either.

I don’t think that UMD’s proximity adds the same kind of credibility that the ACC enjoys in VA.

 

[nzm136]

thanks - I looked at state rankings and was surprised how much higher these states are ranked compared to Ohio, PA, and Michigan

And FWIW, PA is overlapped, especially in the most talent-rich area of the state.

 

[MaxwellCuse]

$51 million!! I guess this means the Rutgers AD has half a chance to be solvent in forty or fifty years.

 

[gbo]

https://www.bizjournals.com/atlanta...evision-to-buy-raycom-for-3-6b-shuffle-c.html


In addition to TV stations, Gray will acquire several other Raycom businesses, including Raycom Sports. The marketing, production, and events management and distribution company owns the ACC Network.

Is this good or bad for the ACC in your opinion? I have no idea.

 

[MaxwellCuse]

Is this good or bad for the ACC in your opinion? I have no idea.

As long as Gray doesn't hire a Swofford progeny I can't see the downside.

 

[gbo]

As long as Gray doesn't hire a Swofford progeny I can't see the downside.

Doesn't Swofford's son still work for Raycom? Would he be retained by Gray?