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Big 12 Notes – Spring Practices
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March 6th
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Which two Big 12 teams are best set up to dominate for the next decade?
From CBS Sports … Welcome to Marcello’s Mailbag, where college football is always at the top of the pile. This is a safe space to share opinions and ask questions without fear or ridicule. No question is dumb, though you may believe there are dumb answers. Luckily, I’m willing to look like a jester, but more often than not, I’ll fill your mind with the information you need to understand the most magical sport in the world.
If you had to pick two Big 12 teams best set up to dominate the conference for the next decade, who would they be?
I don’t believe a single team or two will dominate the Big 12 over the next several years. Parity will define this conference, which has quickly become the most exciting in the sport. Close games and random upsets injected some much-needed excitement into the season, and the unpredictability led to the emergence of newbie Arizona State.
I have long said that Oklahoma State and TCU are best equipped to capitalize in this new era because of their world-class facilities and booster support. Yet the Cowboys faceplanted last season, and Mike Gundy had to rework his contract to remain the head coach.
I’ll say this: Texas Tech is my best bet to emerge as a contender, though I’m still counting on parity in the league. The Red Raiders’ facilities are fantastic, and a billionaire booster leads the NIL collective, which helped land the nation’s No. 3 portal class.
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March 4th
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Does ACC settlement put an expiration date (2030?) on the conference?
From CBS Sports … Tuesday’s news that the ACC and member schools Clemson and Florida State dropped their lawsuits against each other was both anticipated and yet one of the more dramatic reversals in recent memory.
There was a time not long ago that it felt like a matter of when, not if, Florida State and Clemson would leave the ACC. The public legal battle between the conference and its two schools had cast a pall over everything the ACC did, forcing commissioner Jim Phillips to address it at seemingly every major conference event.
Florida State, Clemson and the rest of the ACC schools voting Tuesday to end the four lawsuits and introduce a new revenue distribution system is only one piece of the puzzle, however.
There are a lot of potential ramifications of this decision, both for the conference in the short term as well as future realignment.
What does this mean for the ACC now?
In the short term, at least, this is a win for all involved. The ACC no longer has to deal with the negative headlines of two of its premier brands suing it, with one even accusing it of pushing the conference to its brink. The lawsuits threatened to expose sensitive information and, even more impactful, could have led to easy exits for multiple ACC schools if Florida State and Clemson had won the crux of their arguments.
For the schools, the revamped revenue distribution will put greater emphasis on television ratings. Florida State athletic director Michael Alford introduced a similar concept two years ago, and if FSU and Clemson receive a bigger cut moving forward, as expected, it can help placate the concerns driving the lawsuits which were that the conference’s annual payout was falling way behind that of the Big Ten and SEC. It could lead to a reported extra $15 million annually for the conference’s top schools, a not insignificant amount especially in light of the expected $20 million revenue share which should begin this summer as a result of the House v. NCAA settlement.
For smaller ACC schools, it’ll be a financial hit at an unfortunate time, but the unequal revenue sharing should provide stability for at least a few years. No one wants to end up like the Pac-12 did.
In exchange for dropping their lawsuits, the ACC agreed to put a number on how much it’d cost to leave the conference — $165 million to start, according to Clemson’s board presentation — with that number descending to $75 million in 2030. If, for instance, the Big Ten would like to add Florida State and Clemson ahead of its next TV deal, the two schools should now know exactly what it would cost to leave the ACC. That brings clarity and yet also future concern.
This move could be the glue that keeps the ACC together for a long time. Or it could be a short-term fix to buy everyone some more time and build out additional contingency plans should schools leave the conference. Time will tell.
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March 3rd
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FSU; Clemson settle lawsuits with ACC
From ESPN … Florida State and Clemson will vote Tuesday on an agreement that would ultimately result in the settlement of four ongoing lawsuits between the schools and the ACC and a new revenue-distribution strategy that would solidify the conference’s membership for the near future, sources told ESPN on Monday.
The ACC Board of Directors is scheduled to hold a call Tuesday to go over the settlement terms. In addition, Florida State has called a board meeting to present the terms at noon ET Tuesday, and Clemson plans to do the same. All three boards must agree to the settlement for it to move forward, but sources throughout the league expect a deal to be reached.
According to sources, the settlement includes two key objectives: Establishing a new revenue-distribution model based on viewership and a change in the financial penalties for exiting the league’s grant of rights prior to its conclusion in June 2036.
This new revenue-distribution model — or “brand initiative” — is based on a five-year rolling average of TV ratings, though some logistics of this formula remain tricky, including how to properly average games on the unrated ACC Network or other subscription channels. The brand initiative will be funded through a split in the league’s TV revenue, with 40% distributed evenly among the 14 longstanding members and 60% going toward the brand initiative and distributed based on TV ratings.
Top earners are expected to net an additional $15 million or more, according to sources, while some schools will see a net deduction in annual payout of up to about $7 million annually, an acceptable loss, according to several administrators at schools likely to be impacted, in exchange for some near-term stability.
The brand initiative is expected to begin for the upcoming fiscal year.
… Continue reading story here …
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February 28th
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Big 12 in line to sign a capital partner?
From SportsBusinessJournal … Big 12 presidents and athletic directors Thursday “reviewed bids from three finalists in the league’s pursuit of a capital partner,” according to sources. Firms are “proposing to infuse millions to schools.” RedBird Capital has “emerged as the leader.” A decision is “expected in the coming weeks” (X, 2/27).
This is “a *capital* proposal, not equity.” A report last summer about the Big 12’s pursuit of a private equity deal with CVC Capital Partners was “premature.” That deal “never reached the final stage because of hangups.” Sources said that CVC is “not part of the group of finalists” (X, 2/27).
The Big 12 has been “aggressive in its push for independent funding for schools in the league.” The “eventual venture capital partnership is projected to infuse millions of dollars for schools in the league” (SI, 2/27).
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