Pac-12 Sports Finances Discussed | Breaking Down Conference Revenue, Memphis' Influence
In this week's edition of The Hotline, veteran college sports journalist Jon Wilner delves into the financial pressure facing the Pac-12 Conference as it considers expanding its football membership from eight to nine by 2026.
The potential expansion is influenced by several factors, primarily the valuation of the Pac-12's new media deal, which is projected to be between $70 million and $100 million annually. With the total revenue divided among the member schools, expanding to nine could potentially decrease the per-school payout. However, expansion might also attract more lucrative media deals, boosting the conference's market presence and revenue potential.
The upcoming media deal is expected to pay schools between $4 million and $10 million per year, and if revenue increases with expansion, the per-school payout could remain stable or even increase. Maintaining FBS status, which requires at least eight members, is another key factor, as expansion ensures stability and potentially enhances the conference's bargaining power in future negotiations.
The process of expansion might involve additional costs such as travel expenses, league fees, and potentially higher media rights fees to accommodate more teams. However, the benefits could outweigh these costs, with the potential for increased appeal to media partners and compliance with FBS requirements.
As always, you can reach Jon Wilner on the social media platform X: @WilnerHotline. Share your thoughts on the Pac-12's expansion plans and other college sports topics.
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The Pac-12 Hotline is published weekly by the Bay Area News Group. Stay tuned for more insightful articles next week.
The potential expansion of the Pac-12 Conference could decrease the per-school payout due to increased members, but it might also attract more lucrative media deals, thereby enhancing the conference's revenue potential in sports. Additionally, the future media deal is projected to pay schools between $4 million and $10 million per year, and if revenue increases with expansion, the per-school payout could remain stable or even increase.
