Big Ten, Big Dollars

JonDMiller

Publisher/Founder
A report in the St Louis Post Dispatch says that each Big Ten school is going to receive $22 million from the Big Ten, and nearly $8 million of those dollars come from the Big Ten Network.

$7.9 million to be exact, which is 21% increase over the $6.5 million that each school received last year.

This, from the item: By comparison, the Southeastern Conference distributed an average of $18.3 million to each of its member schools for 2010-11. The Big 12 divvied $145 million among its members for an average of a little more than $12 million.

The article focuses on what Illinois is going to receive, but since the Big Ten shares league revenues equally, it works to apply to Iowa. $16.6 million of the $22 million comes from TV money, which means $8.2 million comes from the league's deal with ESPN/ABC.

It's safe to assume that next year, the Big Ten Network will contribute more money to Big Ten schools than will the ESPN/ABC deal...plus, schools are going to get a bump in TV money from FOX due to the Big Ten Championship game airing on their network.

This is leading to a very interesting negotiating scenario in a few years, when the ESPN/ABC contract with the Big Ten expires. That is set for 2016, and all sides will be at the negotiating table before then.

ESPN recently sued Ohio State to gain access to its records related to the scandal that has hit the Buckeyes. That raised a few eyebrows, as the sides are 'dance partners'. Could it be an indication that the Big Ten has sent a message to the the Disney Corp that they are going to keep all of their college football inventory starting in 2017? Some of it?

It's safe to say that if the two sides renegotiated a deal with a similar number of games to the old deal, the price of poker is going to be out of this world given the recent deals done by the Pac-10 and Big 12.

I have said this before and will say it again; it's good to be in the Big Ten as it relates to these kinds of finances. Sure, Texas has its own network, but Texas A&M is none too happy about what they Longhorns are receiving and are kicking around the idea of leaving the league for the SEC, depending on what you believe as of late.

Ohio State could probably do a similar deal, as could Michigan. But the Big Ten has always been about all for one and one for all financially, and that mindset made for an easier time forming their own network, which is the most successful launch of a cable network in cable television history.
 


Something else no one ever mentions is the fact that the B1G members are bringing in this kind of $, while still paying back Fox for the start up of the BTN. I imagine they are paying them back much faster than was anticipated. When that cost is re-paid, the numbers from the BTN are going to grow exponentially.

As for the first & second tier rights that will be up for grabs in 2016, Jim Delany is gonna get a blank check. Those rights will triple at a MINIMUM.

I think a conservative estimate of TV revenues for each B1G member by 2020 is $40M/yr.
 


Paying back Fox? You sure of that? My impression was that it was a 50/50 split,with Fox putting up the money and the Big Ten providing the programming. Is the Big Ten buying Fox's 50%?

For what it is worth, the Score is reporting that the total payout would be 22.7 million/school. Hey, 700k is worth mentioning,right?

I remember a year and half ago when Business World had an article on BTN and said by 2012 they estimated the total value of the network would be 2-3 billion,which conservatively would make it worth 100 million/school with the Big Tens 50%. Not bad for zero out of pocket investment. Delany is worth his exhorbiant salary..I guess.
 




Just wait until the new Big 12 deal, this will seem like chump change.

Just getting that out of the way for any of our resident trolls.
 






ESPN is not going to like being on the short end of the bargaining stick and they only have themselves to blame for it.
If the BTN figures out how to gear their programming to the bread and butter sports, by the time 2016 rolls around, ESPN may not want to pay the kind of money the B10 will require.
Serves them right.
 


The BTN should replay entire seasons each summer. Week of June 1st start playing week one games of say the 1990 season. Replay those games all week. Then the next week of June move on to week two, etc. 12 weeks later it's time for football season.

I would absolutely tune in a few nights a week to catch some of those.

Now, film quality is a problem for some of those old games
 


The BTN should replay entire seasons each summer. Week of June 1st start playing week one games of say the 1990 season. Replay those games all week. Then the next week of June move on to week two, etc. 12 weeks later it's time for football season.

I would absolutely tune in a few nights a week to catch some of those.

Now, film quality is a problem for some of those old games

I would also put together a day long recruiting special, to run after football signing day, in Feb. Detailing every signee, of every program. Including high light videos of each prospect.
Rotate the commentators, so that each program that is being discussed will have a former coach or player in the discussion.
That would get the attention of future recruits, all across the country. Not to mention us football junkies.
 


The BTN should replay entire seasons each summer. Week of June 1st start playing week one games of say the 1990 season. Replay those games all week. Then the next week of June move on to week two, etc. 12 weeks later it's time for football season.

I would absolutely tune in a few nights a week to catch some of those.

Now, film quality is a problem for some of those old games

How many people besides huge sports fans are going to watch that though?
 








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