(04-10-2019 08:29 PM)Fighting Muskie Wrote: The Other 8 deserve better than this.
the other 8 have complete control of the conference if they choose to they chose not to
it was already reported that Fox was offering in the high teens for the game
https://www.sportsbusinessdaily.com/Jour...ig-12.aspx
and reported that the Big 12 wanted more and that past games paid about $25 million (one would assume ESPN is paying that amount for the there they already have as well)
what the link for this thread states is that the Big 12 now will be averaging about $22 million per year over their 13 year deal
https://www.sportsbusinessdaily.com/Dail...ig-12.aspx
When this agreement is added to the current media-rights deal that still has six years to run, the conference will average $22M per year
the deal when it was new was $13 years for $2.6 billion or $200 million a year for a $20 million per year average (with that scaling though not scaling linear)
the deal was for 13 years ending in 2024-25 so it started on 2012-13
in 2018-19 (this year)(if the deal scaled linear) the Big 12 would be hitting the $20 million a year mark and from there things would grow
so (again if linear) the Big 12 would have started at $14 million, hit $20 million in the mid years and finished out at $26 in the last year, but really some years have larger and smaller increases, but it averages about $1 million per year per team
with this new deal the way the announcement reads if ESPN is paying $40 million and there are 6 years left and this deal added to their current deal will make the Big 12 average $22 million per year well
10 teams, 13 years, $200 million a year on average or an average of $20 million per year per team for a total of $2.6 billion
now it is 10 teams, 13 years, with an average of $22 million per team for a total of $220 million per year on average or a total of $2.86 billion
or a difference of $260 million.....well if the deal is said to be $40 million for 6 years that is $240 million or just shy of the money needed to get the big 12 to average $22 million over their 13 year deal
so you have $240 million in new money.....now it was reported that Fox offered int he high teens (we will call that $19 million to make this the least beneficial to the Big 12 as possible) so that means the Big 12 turned down $19 million X 3 or $57 million
so you take $57 million away from that $240 and you get $183 million in "new money" or about $3.05 million per team per year
we do not know if this payment replaces the ESPN deal for the three games they already own @ about $25 million a year or not, but to make this less favorable for the Big 12 lets say it does
so you chop off another $75 million from the "new money" so $183 - $75 = $108 million or $10.8 million per team over 6 years or $1.8 million per year per team in new money over 6 years
this does replace the "3rd tier" for the teams, but OU and Texas at this point (not sure what happens with KU as they had multiple deals including with ESPN), but most of those Big 12 3rd tier deals were not lasting until 2024-25 they were for shorter periods of time
so what "those 8 teams" are getting if you want to break down the numbers is they are getting $25 million per year for the three CCGs that Fox turned down and they are getting $1.8 million per year for their 3rd tier to be placed on ESPN+
which most people on this forum argued that all but OU and Texas (and sometimes KU) were getting pretty much nothing for anyway, but that Jon Wilner (the PAC 12 writer) has said most teams were getting $1 to $2 million for).....most of those deals were with Fox regionals and those channels are not in the postion to be making any deals on anything right now so "those 8 teams" may well have been looking at no 3rd tier rights at least for some of them
so doing the numbers like that "those 8 teams" are getting about the same for their 3rd tier deals as before and they are able to have the CCG on ESPN or ABC and get $25 million for it
if you go back to the valuation of the CCG from Fox at "the high teens" as the above link stated then "those 8 teams" are getting a better deal because you can say they are getting more for their 3rd tier
now if this deal is strictly for the three CCGs that ESPN is buying that Foc turned down and it does not include the three remaining CCGs that ESPN already owns then this deal becomes a very good deal for "those 8 teams"
but we will probably never really know unless someone like Wilner reports it that actually does the work to get real numbers and do the math.....we can also look at the growth of future Big 12 payouts that were set to hit about $20 million for just TV money (exclusive of any football playoff or Sugar or other bowl money) and see if there is a meaningful bump especially relative to prior years, but we will not know that for a couple of years
but even if you are going with "those 8 teams" getting $1.8 million a year for their 3rd tier that is not a terrible deal for them considering the disposition fo the Fox regionals now and considering a valuation of the three former Fox CCGs at $25 million
or since the AAC talk crept in......."those 8 teams" are getting $1.8 million a year for some content to be on ESPN+ while the AAC will be getting $7 million for everything.....so "those 8 teams" in the Big 12 are getting over 25% of the money for ESPN+ content that the AAC teams are getting for everything.....that almost makes "those 8 teams" P5+ because they are getting P5 money and then G5 money for 3rd tier content on ESPN+