House v. NCAA settlement winners and losers: Athletes take monumental step, non-revenue sports at risk

The House v. NCAA settlement signifies a line in the sand. Not since 1984’s NCAA v. Board of Regents of the University of Oklahoma have we seen a court ruling fundamentally alter the landscape of college athletics in this manner. 

Not only does the settlement distribute roughly $2.8 billion in NIL backpay, but it also establishes a framework for future athlete revenue-sharing. Details still need to be sorted out, but it’s a landmark step toward getting players in on the financial windfall they generate.

While the NCAA is responsible for roughly 40% of the settlement, much of the burden will fall on its member universities. The power conference schools are poised to contribute roughly 24% of the bill, leaving the often cash-strapped schools that comprise the remainder of Division I to cover the remaining 36% of the total settlement.

It’s a historic moment in college sports that will generate multiple layers of fallout over the months and years to come. For now, here’s an early look at the winners and losers from the House v. NCAA case.

Winner: The players

At long last, the players will get a cut of the billions of dollars flooding into the NCAA, conferences and individual schools. While the advent of NIL compensation was a step in this direction, those payments come largely through third-party collectives funded by big-money boosters and average fans. Now, the athletic departments themselves are finally on the hook financially for the labor that fuels their products and underpins their budgets. While the $2.8 billion owed in backpay is eye-popping, that figure will be dwarfed by the amount paid out to athletes in the coming years as part of the revenue-sharing framework established by the case.

Loser: The NCAA

For decades the NCAA fought…

Source link : https://www.cbssports.com/college-football/news/house-v-ncaa-settlement-winners-and-losers-athletes-take-monumental-step-non-revenue-sports-at-risk/

Author : David Cobb

Publish date : 2024-05-24 12:56:13

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