The next major move in the conference realignment merry-go-round could be Cal, Stanford and SMU joining the ACC after all. According to ESPN's Pete Thamel,…
bleacherreport.com
"The next major move in the conference realignment merry-go-round could be Cal, Stanford and SMU joining the ACC after all.
According to ESPN's
Pete Thamel, the conference is giving 'serious consideration' to adding the three programs after 'a small group of ACC presidents met Wednesday morning to discuss financial models that would come with the additions.'
Notably, such models would apparently mean 'significant financial concessions' from any school that is added."
SMU reportedly showed a willingness to take no broadcast media revenue for its first seven seasons in the ACC. Stanford and Cal, meanwhile, would both receive the same share of reduced media revenue from the league’s television contract with ESPN and its affiliates."
"
Most importantly, there is expected to be a pool of money created from the additions of the three schools, and conference presidents are discussing how this would be split. Florida State called for an updated revenue split earlier this month when the school was pondering leaving the ACC."
"SMU, Stanford and Cal, potential Atlantic Coast Conference expansion candidates, have agreed to revenue distribution models that could make them more appealing to ACC schools,
according to multiple reports Wednesday.
SMU would be willing to forgo its television revenue distribution from the conference for seven years, Yahoo Sports has reported,
while Stanford and Cal would reduce theirs for multiple years, starting at about 30%.
Talks with conference officials and school leaders will continue over the next several days, according to Yahoo, with a final decision expected next week."
"To leave the AAC,
SMU would have to pay an early termination fee, the amount of which is unknown. The AAC’s media contract runs until 2031.
Cincinnati, UCF and Houston are each paying $18 million to depart the conference this year, though a person familiar with the AAC’s thinking told
The News that the number would likely be higher for SMU.
The reason: those schools gave two years’ notice, while SMU, in this scenario, would be giving only one.
SMU leaders believe joining a Power Five conference could help recruiting efforts in talent-rich North Texas and boost the school’s revenue outside of the conference’s annual media distribution, which TCU experienced when it moved to the Big 12.
The Mustangs aren’t letting the prospect of a hefty exit fee, or the loss of years of television revenue, deter them from the elusive goal of joining a Power Five."
Talk of adding Cal, Stanford and SMU to the ACC is ongoing. Here's the latest on expansion talks and what they might mean for Clemson football.
www.greenvilleonline.com
"In short: money. New financial models indicate that the ACC would earn an additional $72 million in annual revenue from its television deal with ESPN if it added the three schools thanks to a "pro-rata clause requiring the network to increase the value of the deal by one Tier 1 share for every new member," according to Yahoo Sports. A Tier 1 share is reportedly worth about $24 million.
Prior to these expansion talks,
Florida State and Clemson have voiced their displeasure with the amount they receive from annual TV distribution and
advocated for an unequal revenue sharing model in which schools would be rewarded with a bigger payout for athletic performance and/or TV ratings.
The ACC announced an incentive-based distribution model in May, but that applies to the money the conference gets from member schools' performance in "revenue-generating postseason competition" — the College Football Playoff and NCAA men's basketball tournament.
But TV revenue is a much bigger portion of the conference's revenue than postseason payouts. In other words, a school like Clemson can earn a larger piece of the postseason pie if it continues to make the playoff, but a bigger slice of that is still smaller than a piece of the much bigger pie on which Clemson and others would like to fill up: TV revenue."
"Here's the math Yahoo Sports presented. Cal and Stanford have agreed to each take $7-10 million of the $24 million Tier 1 shares they would each bring in. After about $1-2 million per school to offset the teams' travel costs, the ACC is left with at least $30 million in revenue to re-distribute to members."
"If that $30 million were divided evenly among the other 15 ACC schools (including Notre Dame), it would be about $2 million per year tacked on to each school's annual payout. That's not moving the needle much when you consider the estimated $10-15 million gap between the annual payouts of the ACC and the Big Ten and SEC.
Hence the desire for unequal distribution. To get the holdout schools to agree to adding new members, the ACC would likely have to introduce an incentive-based model largely based on football performance, Yahoo Sports reported."
It’s Monday, and we are back at it. We are fresh off Week 0 games and have a full slate of games coming this weekend! Through it all, the content keeps going. Check out our original coverage and...
www.mwcconnection.com
In the latest conference realignment news, both the Mountain West and American conference commissioners made their presentations to Oregon State and Washington State in hopes of landing the two schools who have been left out of conference realignment thus far. Gloria Nevarez made an in-person pitch to Washington State last Thursday and plans to do the same with Oregon State soon. Mike Aresco will do the same virtually. The schools will be taking a massive pay cut, and while the American can offer a few million more per year, is it worth the added travel costs? That seems unlikely.
However, the latest report is they don’t expect to make a decision until after Labor Day as they try to determine what conference revenues remain, and probably holding out hope that Stanford and Cal don’t go to the ACC and the PAC can still be rebuilt."
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www.on3.com
"ACC conference realignment was supposed to take a step forward on Monday night, with the school presidents meeting to discuss voting in three new members. However, a non-football-related subject has reportedly postponed the meeting.
According to Nicole Auerbach of The Athletic, a shooting on
North Carolina‘s campus means the ACC will not meet on Monday. Obviously a situation way bigger than anything ACC presidents will discuss, there can be another date to potentially vote
Cal,
Stanford, and
SMU into the conference.
'Tonight’s ACC meeting has been postponed following the on-campus shooting at UNC today, per source,' Auerbach
said via Twitter."