Realignment Megathread (All The Moves)

Clonehomer

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Apr 11, 2006
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Long term, unbundling via cord cutting was never going to result in cost savings for too many people

DTC may result in a little savings by removing the profit of the middleman, but the production side will be able to capture most of it
It in theory, if you took the YTTV lineup and removed all channels not contractually tied to ESPN, Fox, and Discovery you should be able to drop some cost, right?

Keep the bundle, but tailor it to what a group of customers want rather than try to cater to everyone with one package.
 

FinalFourCy

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Mar 5, 2017
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It in theory, if you took the YTTV lineup and removed all channels not contractually tied to ESPN, Fox, and Discovery you should be able to drop some cost, right?

Keep the bundle, but tailor it to what a group of customers want rather than try to cater to everyone with one package.

I think that’s unlikely to be the steady state result for several reasons

At a very high level, production costs and desire for profit targets will have to be passed on to the consumer. Removing the middleman will help some, but the biggest benefit of the recent cord cutting is how many new entrants making it a more competitive market.

Imo, one issue is analogous to gym memberships. A moderate priced gym that offers everything seems like you’re paying for stuff you don’t want. But since it’s able to serve so many people, it collects a lot in a fat tax from the many people that sign up but never use the gym. The hardcore gym patrons can get a good deal, even if only using the basic equipment. If one goes to a gym that is more targeted to a specific demographic, one may only pay for what they want to use, but it’s membership base is smaller, and rates tend to be as high despite less offerings

Who knows, but for prices to go down we’ll at least need consolidation of DTC providers, but those providers will gravitate to bundling imo
 
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FinalFourCy

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Flugar implying early this week could be interesting with respect to ACC

We’re getting closer realignment season
 

Kinch

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Sep 19, 2021
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Takeaways:
Mizzou took in nearly $170 million in revenues and still had $15 million deficit.
The university gave the athletic department $40 million over the past few years.
Doesn’t include a $250 million stadium renovation.
Mizzou isn’t the only SEC school to rely on university revenues to fund its athletic department.
The more success of its football team, the lower the margins.
 

Kinch

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Missouri university gave its athletic department $40 million, of which $15 million is considered an “internal loan.”
 

Die4Cy

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Takeaways:
Mizzou took in nearly $170 million in revenues and still had $15 million deficit.
The university gave the athletic department $40 million over the past few years.
Doesn’t include a $250 million stadium renovation.
Mizzou isn’t the only SEC school to rely on university revenues to fund its athletic department.
The more success of its football team, the lower the margins.
I bet if you surveyed most P2 schools, this is closer to reality than the shrewd management we've come to expect from JP over the past 20 years.
 

FinalFourCy

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I bet if you surveyed most P2 schools, this is closer to reality than the shrewd management we've come to expect from JP over the past 20 years.
If you surveyed the history of college athletics, schools spending on athletics is the norm. Most of the top brands became that, in part due to institutional support

$40 million today is roughly $2.5 million 100 years ago. That’s more than what one would have seen then, but the ROI is arguably bigger now too
 

CascadeClone

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Oct 24, 2009
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I bet if you surveyed most P2 schools, this is closer to reality than the shrewd management we've come to expect from JP over the past 20 years.
Imagine where we would be with someone who just spends as much as they can and doesn't have any business sense or long term vision.

JP was a home run hire.
 
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FinalFourCy

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Imagine where we would be with someone who just spends as much as they can and doesn't have any business sense or long term vision.

JP was a home run hire.

We’d be near the bottom of revenue in the P5 and at risk of being left out if the Big 12 doesn’t survive?

JP has kept the trains running on time.
 
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FriendlySpartan

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Seems to me someone needs to be fired.
Agreed, looked into the article and they are paying 60mil per year on coaches and support staff and they are freeking Rutgers! No worries if you’re making bank but with that deficit that’s just wild.

Still 8th in spending in the big ten which is kinda wild and I don’t think takes into account all the pac teams
 
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FriendlySpartan

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How!?! They spent 178 million while only having 108 available? How? Doesn’t the bank start to shut off the credit card? JFC. Fire the AD. Fire the school president. Fire the BOR. Fire everyone.
So taking a deeper dive it’s not quite that bad when the schools operating budget is 5.6 billion per year. 30 mil of that 70 million overspend is planned from the university and other 14 is planned for athletic facilities. So really only around a 25mil overspend.

Still wild that they are spending 60mil on coaches and support staff but they obv don’t care as it’s a drop in the bucket to the university’s overall expenses. Although it’s still Rutgers so not sure how much that spend is really enhancing students experience…