The SEC and Big Ten are at the center of developing a player revenue-sharing plan that would redefine college athletics for the future, CBS Sports has learned.
The unrefined proposal – currently going by the name “Modern Model” – would not only share revenue with players, but perhaps also help solve the problem. House v. NCAA suit that goes to trial in January 2025. The antitrust lawsuit is a class-action complaint alleging that the NCAA and power conferences conspired to suppress athlete compensation.
The process continues to be main obstacle for programs in planning the future of college athletics. The settlement money alone could cost universities between $15 million and $20 million. Athletic directors have been frustrated trying to figure out how to rearrange their budgets or otherwise account for a payment of this amount.
ESPN reported Monday night that the Power Four conferences are in “deep discussions” about a revenue-sharing plan. It is unclear where these revenues would come from or how they would be distributed.
Sources told CBS Sports that the revenue-sharing idea arose from ongoing negotiations between Power Four administrators. In February, the SEC and Big Ten announced a joint advisory group to address the future of college athletics.
Home The plaintiffs’ attorney, Jeffrey Kessler, had no comment when contacted about the plan or the prospect of a settlement in the lawsuit.
“It’s something that [schools] I hope they can take Kessler up and say, ‘Here’s something we propose as a future model. Will you consider this as the future part of your case?’” explained a source familiar with the negotiations.
O Home The suit claims that college athletes are entitled to a share of television revenue as well as money from their likenesses appearing in video games of the past.
As this is an antitrust case, the compensation requested could be tripled. If the case goes to a jury and the NCAA loses, the association could be on the hook for at least $4.2 billion.
USA today cited a sports economics expert for the plaintiffs who said 7,000 current and former athletes would be entitled to that money.
“It’s the case that could end the NCAA,” sports attorney Mit Winter told CBS Sports.
Since at least July 2021, major college sports have remained neutral as NIL emerged as a largely uncontrolled way to compensate players. Additionally, several lawsuits and court rulings have gone against the NCAA. The landmark Alston v. the decision essentially stripped the NCAA of its ability to even oversee compensation.
The association faces at least three other major antitrust lawsuits.
The SEC and Big Ten have increasingly taken control of the sport not only as key stakeholders but also as leaders, period. This was further evidenced by their recent demand to receive 58% of the College Football Playoff media revenue rights starting in 2026. The conferences’ teams have combined to capture 29 of the 40 CFP spots in the playoff’s first 10 years.