BleedGopher
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per Joe:
When Mark Coyle finished his first stint at the University of Minnesota, leaving to become associate athletic director at Kentucky in 2005, the Gophers were collecting $10.7 million each year in Big Ten revenue.
That was two years before the Big Ten Network launched, revamping the college sports television landscape. By the time Coyle returned to take the Gophers’ AD job last year, Minnesota’s share of Big Ten revenue had spiked to $36.3 million.
By next year, that number will skyrocket again, to $51.1 million, according to University of Michigan projections, as reported by the Detroit News.
But after inheriting a budget deficit at Minnesota and making an expensive football coaching change — from Tracy Claeys to P.J. Fleck last winter — Coyle needs the added Big Ten revenue to balance the books.
A former AD at Boise State and Syracuse, Coyle preaches caution, knowing the college sports landscape could shift again, as droves of consumers move away from cable TV.
“I think everyone’s mindful of what’s happened across the country with cord-cutting,” Coyle said. “I think we’re foolish if we don’t think there will be an impact on us, so how do we prepare for that?”
The latest Big Ten windfall arrives as the conference begins new media rights deals with Fox and ESPN. Commissioner Jim Delany made a calculated gamble, agreeing to six-year contracts this time around. The SEC and ACC, for comparison, have deals that run through 2033-34 and 2035-36, respectively.
What happens to Big Ten media revenue after 2023 is anybody’s guess. ESPN reportedly has lost 12 million subscribers over the past six years, costing $1.2 billion in annual revenue, and recently made high-profile layoffs.
“Eventually, you have to wonder, will this money be coming in to conferences like the Big Ten forever?” said Dave Ridpath, an associate professor at Ohio University and oft-cited expert on college sports business. “Considering what’s recently happened at ESPN, I still think there’s a bubble, but when that bubble bursts, who knows?”
http://www.startribune.com/major-re...thletics-faces-an-uncertain-future/433362643/
Go Gophers!!
When Mark Coyle finished his first stint at the University of Minnesota, leaving to become associate athletic director at Kentucky in 2005, the Gophers were collecting $10.7 million each year in Big Ten revenue.
That was two years before the Big Ten Network launched, revamping the college sports television landscape. By the time Coyle returned to take the Gophers’ AD job last year, Minnesota’s share of Big Ten revenue had spiked to $36.3 million.
By next year, that number will skyrocket again, to $51.1 million, according to University of Michigan projections, as reported by the Detroit News.
But after inheriting a budget deficit at Minnesota and making an expensive football coaching change — from Tracy Claeys to P.J. Fleck last winter — Coyle needs the added Big Ten revenue to balance the books.
A former AD at Boise State and Syracuse, Coyle preaches caution, knowing the college sports landscape could shift again, as droves of consumers move away from cable TV.
“I think everyone’s mindful of what’s happened across the country with cord-cutting,” Coyle said. “I think we’re foolish if we don’t think there will be an impact on us, so how do we prepare for that?”
The latest Big Ten windfall arrives as the conference begins new media rights deals with Fox and ESPN. Commissioner Jim Delany made a calculated gamble, agreeing to six-year contracts this time around. The SEC and ACC, for comparison, have deals that run through 2033-34 and 2035-36, respectively.
What happens to Big Ten media revenue after 2023 is anybody’s guess. ESPN reportedly has lost 12 million subscribers over the past six years, costing $1.2 billion in annual revenue, and recently made high-profile layoffs.
“Eventually, you have to wonder, will this money be coming in to conferences like the Big Ten forever?” said Dave Ridpath, an associate professor at Ohio University and oft-cited expert on college sports business. “Considering what’s recently happened at ESPN, I still think there’s a bubble, but when that bubble bursts, who knows?”
http://www.startribune.com/major-re...thletics-faces-an-uncertain-future/433362643/
Go Gophers!!
