Realignment Megathread (All The Moves)
- Thread starter ISUcyclones11
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As someone in the middle of a PE takeover at work, PE and college sports absolutely deserve each other.
Why not mix two absolute cesspools to create some kind of mutant...
Why not mix two absolute cesspools to create some kind of mutant...
This is another aspect of realignment you’re ignorant on.
Nah it’s a side of PE you are ignorant on my man. If you think the current state isn’t good PE will make everything so much worse, it always does
I said it 200 pages ago, but not all PE is evil. Just like people b!tching about corporations, some are bad for sure, but not all. We are now technically owned by PE, its a family deal, they are very hands off and have been supportive.
If I had to guess, I would guess 25% of PE is flat out crooks, half is money-grubbing aholes, and 25% is positive. From my experiences working to sell our business.
Who the PE folks the B1G are talking to, I have no idea. They could well be the worst kinds of people.
BUT-
the only real positive I can see from PE involvement would be if they came in and were the driving force for a Super League encompassing ALL the P4 and maybe even some/all of the G5. Otherwise, you are basically getting cash now in exchange for some of your future revenues. It's JG Wentworth. I would think just regular borrowing would be MUCH cheaper, especially against contractual revenue streams from TV.
If I had to guess, I would guess 25% of PE is flat out crooks, half is money-grubbing aholes, and 25% is positive. From my experiences working to sell our business.
Who the PE folks the B1G are talking to, I have no idea. They could well be the worst kinds of people.
BUT-
the only real positive I can see from PE involvement would be if they came in and were the driving force for a Super League encompassing ALL the P4 and maybe even some/all of the G5. Otherwise, you are basically getting cash now in exchange for some of your future revenues. It's JG Wentworth. I would think just regular borrowing would be MUCH cheaper, especially against contractual revenue streams from TV.
PE is a last ditch effort for failing businesses to give execs a golden parachute and squeeze out any remaining value while the PE firm scraps it down and sells it for parts while carving out tax benefits on the way down.
It’s like handing over a business to the mafia.
College Sports have other levers to pull, but state governments need to get on the ball asap.
It’s like handing over a business to the mafia.
College Sports have other levers to pull, but state governments need to get on the ball asap.
That’s the thing, college athletics is currently being dictated in essence by ROI to shareholders and institutional investors, primarily those of Fox and Disney
They’re free to use and abuse college athletics as they need to in order to improve annual metrics and increase their share price. There isn’t concern for long term benefit of the underlying asset (college athletics)
We basically have the same as investors buying control of asset, absorbing its inherent value for their quick ROI, with any future damages someone else’s problem
It’s not a perfect solution, but might as well move to an actual PE investment that’s formalized. Which gives college athletics a much better chance to have a say in this relationship
Might as well see if the positives that can come from a singular well capitalized entity paying for the changes needed to realize more future profits, even if that means that investor gets those profits. Might as well see if actual management and ownership can lead to things like cost control rather than arms race spending
Some PE have been really good for their portco's. Blackstone has been a very good partner for many of my clients and my clients say this all the time. Yes, there are evils and bad actors, but the blanket statement that ALL PE are bad and PE is ALWAYS evil just isn't true.
You’ve been wrong on nearly everything in realignment, and even on most things in regards to the plans and viewed in the BIG.
You have at least an information disadvantage on this, but likely more. In particular on PE/BIG topic, which is where my information originates
That' a little harsh. Spartan has brought a lot of interesting perspective to this board. And though we don't always agree, he no doubt offers a different perspective.
So, let's consider this. SEC and B1G poached the most profitable teams from the B12 and P12, effectively killing the P12 in the name of $$$. It can't be far fetched that some numbers guru with some serious PE partners has put together some model which, upon the TV contracts expiration, builds a new league with all the most TV profitable/marketable teams. And that guru also has serious contacts within the TV partners, already working the what if model. It's not totally unfeasible to think there's enough money to take the OSU/MU/PennSt/Or/USC/Wis/etc out from under the rug of their weaker draws and the same from the SEC and B12, forming one hell of a conference, if the long term money is there. Heck, we've already diluted the loyalty in other sports within even the B12 by taking teams in other sports from all over the nation. That's just saying conferences specialize in certain sports. So, why not a football specialty conference. Is that likely? No. But, if you're playing chess here, this better be a checkmate you want to avoid.
I would rather see Campbell go after ESPN/Fox as well in addition to Sankey/Pettiti but those two network puppets are a start:
Why not go after University Presidents?
- Don't they hire the Commissioner & can fire them as well.
- Don't Presidents sign-off on media rights and GOR contracts.
- Doesn't their university's sport expert (AD) report directly to the President.
The Commissioners are hired to be the face of the president's decisions. This criticism is part of that responsibility, imo.
Yeah, the Presidents did sign off on the existing TV contracts but ESPN and Fox have been the primary drivers of the ongoing brand consolidation and realignment and they stand, by far, with the most to lose from a SBA amendment which is what this is all about now.
Not sure why you focus so much on ESPN & FOX as the problem. They are for-profit companies whose goal is to make money for their shareholders. Plus two-thirds of the Big10's media money comes from NBC & CBS.
The way for ESPN's dominance to lessen isn't regulation but a willingness for other media companies to spend. And in the case of companies like Amazon, Apple, Netflix to demonstrate to AD's and University Presidents their fanbases will watch games on subscription based platforms.
IMO it's just a matter of time from a customer viewing platform preference change and current TV contracts expiring. So unless the ACC implodes in the next couple years- the status quo will exist until early 2030's when the current Big 10 & Big12 contracts expire. And then mid-2030's when SEC & ACC deals expire.
This is where you miss the boat.
ESPN and Fox monopolize the top CFB brands and ESPN monopolizes the CFP, both to ESPN's and Fox's extreme financial benefit. That is why they oppose the SBA amendment and use their Sankey and Pettiti puppets in doing so. And this is why they refused to air Campbell's newest ad.
The only way that duopoly is broken up is with the SBA amendment and rational 7x10 geographic realignment where the top brands are spread out across multiple conferences and CFP access is provided to multiple media companies. That is the best and only way to incentivize other media companies to bid on CFB and optimize those bids. Exactly how the NFL does it.
I'm not missing the boat, just not agreeing with what your selling.
Adjusting the Sport Broadcasting Act is probably a good idea to allow College Sports to negotiate a single media rights deal. But I'd be surprised if legislation language would REQUIRE the Big 10 or SEC to consolidate media negotiations with Big12, ACC and G5 conferences.
Also, what makes you think colleges would spend this new found revenue on Olympic sports? History has shown over the last 25 years that new TV revenue is spent on the sports that TV viewers watch.
And lastly, if protecting Olympic Sports is what's important to Presidents, AD's and Cody Campbell- they have that ability today. The could create caps on spending for football, men's basketball, etc.
It just takes a group of Presidents to say "Homey ain't Playing that Game"! The solution is budget sanity, not more money in college sport.
