(10-31-2022 12:44 AM)bear2be2 Wrote: (10-30-2022 09:50 PM)TodgeRodge Wrote: (10-30-2022 08:24 PM)BigHouston Wrote: I don’t like the 6 year tv deal… Was hoping for a 10 year tv deal instead.
Although I am pleased Big12 decided to remain with ESP and Fox
10 years is a horrible idea especially considering the Big 12 did not take their product to market and instead basically signed an extension of their current deal with a very slight bump from the end of the prior deal
A "very slight bump" from an TV rights deal that included Texas and Oklahoma. That's not an insignificant detail.
And frankly, the bump isn't particularly slight. $22 million to $31.5 million is a pretty significant increase, particularly once you factor in the value lost with OUT and what many were projecting the league without those two brands to make.
you are not looking at the numbers correctly
to look at the numbers you need to look at the value of the Big 12 right now and in the final year of the current contract you do not look at the average of the prior contract
the current contract will pay between $26 and $27 million or so in the final year because it scales from start to end and a 16 year contract would meet the average in about year 7 ($20 million) and then scale from there about a million a year or so (I think the Big 12 was a bit back loaded and had years with smaller and larger increases depending on Sugar Bowl payouts)
so the Big 12 is not jumping from a contract average of $20 million the Big 12 is jumping from a final year payout of $26 to $27 million
plus the new contract will also scale so with 6 years and an average of $31.6 million you are looking at a first year payout of probably in the range of $29 million or so and if the Big 12 is smart they will also back load this contract so that when it ends they can point and say "we just finished a contract that paid $36 million in the final year we need to go up from there"
in addition with reduced payouts to new members that allows existing members to have payouts that look larger in the first few years to again give an appearance of a larger bump than there really is
so as stated prior with the Big 12 ending a contract that pays $26 to $27 million in the final year and entering into one that will probably pay about $29 million there is no massive increase for the current members of the Big 12 it is simply a continuation of the current scale of the prior contract with a very slight bump
not the worst contract on earth, but hardly a home run
and with those numbers in mind and that reality it would have been a disaster for the Big 12 to go 10 years especially form some pretend "stability"