history of college football week 13

how does the NCAA get funding?

the men and women's tournament funds the individual athletic departments and conferences

(just in case) but also marketing and media rights, sponsorships,

what goes into athletic departments?

Tuition + fees

what biggest thing does the Big 10 have?

TV contracts

what are TV contracts between?

networks and conferences. they make deals

examples of TV contracts

EPSN deal with SEC, FOX deal with Big Ten.

ex: Michigan vs Ohio State is aired on FOX bc both are Big 10

most money ≠ championships because...

it has nothing to do with the culture of the program

what do TV contracts produce?

money

how does the money circulation work with conferences?

Money given to conferences with the contracts pay the conferences

what's a private equity?

Private equity is a firm the Big 10 had a deal with. Equity gave 10 big money in exchange over partial control over the future of the conference

Big 10 is...

national; Big 10 has more teams and money, footprint and markets

SEC is...

regional; it's footprint is mid to south

what are Big 10 conferences doing at the moment?

engaging with a private equity firm to borrow 2.4 billion dollars

what happens if the Big 10 makes a deal with that private equity?

each school will get an immediate hundred million but in exchange, the private equity firm gets a percentage of big 10 revenue the next 10 years

have any schools made a deal with that private equity?

some schools have agreed to the deal because of success and think money will solve their problems

what went on in 1951?

1951, college football wasn't allowed to be televised unless you had a Westinghouse TV

• so that led to us watching football on TV now

what's Big 10?

1) major media markets in NYC, Chicago, Los Angeles

2) bigger bc these schools are bigger than ones in SEC. that means larger alumni and enrollment base

how much revenue do stadiums get?

in the millions. e

x: Big 10 is 7.7M the highest

what's the multiplier effect?

say UT has a home game and ppl are coming in but there's a bar closer so ppl go to that bar that's already packed with extra ppl. The bar and other areas in the city make more money since so many ppl are coming in to watch. Note: not just convenience

how far do fans go regarding games?

ppl go crazy over things like suites and VIP Championship Experience and luxury boxes and brag about that amount of money while they can't afford it. They wanna make it look look like they got all this money for suites and things like that but they don't. It's all about appearance and building identity around this

what's Big 10 trying to do with a private investor?

create a pension fund in exchange for a stake in Big 10 Enterprises

what are subsidies?

financial aid and land grants from the government

an ethical issue of donations to athletic departments

the donors can make rash moves. Ex: one donor likes an anti-holocaust post. If controversial issues happen, the donor is kicked

why do ppl give a lot of money to colleges, even if they can't afford things?

they can't afford a pro team. but colleges can control college teams. I got this amount of bucks I can give to say TX

what are NIL collectives and how do they work?

it's a separate entity of the university (no oversight) and "college" donations form boosters and business to help facilitate MIL deals as. so it's separate while it collects money for TX athletes while not being part of TX

how do NIL dynamics work?

their party deals supplementing school revenue sharing, regulatory oversight of agreements over 600$

House v NCAA lawsuit

when athletes sued the NCAA. College athletes should get paid and many athletes lost revenue for not being paid in the past.

So say im a TX BQ back in 2018 so it was illegal to pay me, I would've made lot if it was legal.

the athletes were suing for lost revenue they would've had

Ruled that they can make money and colleges pay athletes directly. 2.1 billion settlement

what else did the House v NCAA lawsuit result in?

trasnsfer portal reforms where students could transfer as many times as they want before penalty. back then they'd have to sit out a year, thus losing a year, and it had immediate ineligibility for athletes meeting academic standards like required hours

what else did the House v NCAA lawsuit result in?

adjusting fundraising and scholarships, innovative solutions to remain competitive

2 sources of athlete revenue

1) school and TV contract

2) collectives (private money)

community impacts of college football

1) Gave a sense of belonging, particularly for introverts

2) introduce traditions

3) school pride and school spirit

4) shared memories

what do departments spend most on?

facilities, scholarships, travel

reasons why some think paying athletes isn't ideal

1) money may harm students

2) diminishes love of the game

3) deemphasize academic purpose

4) secondary sports struggle

5) rich schools monopolize talent

6) the financial benefit is marginal

7) setting salaries can be messy

8) anaemic requirements are substandard

9) other program users are reduced

10) free market capitalism

another argument against paying athletes

we got these kids out the ghetto, should be thankful to get here bc we're providing them an opportunity and they're getting an education, so no need to worry about getting paid

what happens to those who leave before senior year?

they don't truly graduate