The legendary Alabama coach joined his new ESPN colleagues to discuss the future of college sports amidst industry-shifting changes such as revenue sharing.
With a record seven national championships, Nick Saban is the greatest head coach in college football history. So when he talks about collegiate athletics, you listen.
During a panel at ESPN’s media day at the company’s Bristol, CT, headquarters with Laura Rutledge and Jason Kelce, my ears perked up when the recently retired Alabama legend and current ESPN analyst began discussing the state of college sports as it enters a new era. The kickoff of this year’s fall season marks key changes as they relate to a revenue-sharing model for athletes, a free agency model for players, and the expansion of the College Football Playoff.
“I don’t think where we are right now is very sustainable,” Saban said. However, he was quick to note that he believes good people are trying to steer things in the right direction. Having just watched the Olympics, the 72-year-old continued, many of the American athletes were developed in college, underscoring the importance of maintaining opportunities for male and female non-revenue athletes.
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After years of litigation across three separate class action antitrust lawsuits, the NCAA reached a landmark settlement valued at a combined $2.8 billion in May that would bring a new profit and revenue-sharing model to college sports as soon as 2025. Saban expressed concern about how the funds will be distributed as the multi-billion dollar settlement gets sorted out. That includes whether Title IX will factor in and whether sports that don’t make money will be able to stay afloat once the new model is implemented and inevitably revised.
While just an estimate for the time being, Division I schools will soon be allowed to distribute up to 22% of revenue to athletes, which is capped at $21 million per school to start but would rise to $33 million per year over 10 years.
“Collectives raising money to pay players with pay-for-play and free agency twice a year? It’s not a sustainable model,” he said. “I have great passion for college athletics and college football, and I think it’s better than it’s ever been. The 12-team playoff, expanded conferences, all these things are really, really positive. But I don’t know that internally — we’re going with 21 or 22 sports at Alabama — if that’s going to be sustainable.”
In addition to his new role on the College GameDay desk, Saban co-owns a Mercedes dealership in Alabama and has a stake in a company called Dream Motor Group, which owns numerous Mercedes dealerships across the South. He likened a potential path for college sports to his car business if certain parts of the operation were struggling.
“If we’re making money in sales and parts and service are losing money, eventually what we’re going to do with parts and service? Shut it down and just sell cars,” Saban said. “Well, if these people aren’t making money and we don’t have enough money to go around, what are we going to do with sports? You’re going to cut expenses. You can’t really increase the revenue that much more, so all these things are really important factors in terms of where we go.”
Revenue sharing is only one variable demonstrating an outsized impact on college programs and their potential for success. He also reflected on the impact of national broadcasts on a school’s competitiveness in recruiting, citing the power of his ESPN colleagues and College GameDay as one such example. The traveling pregame show brings out fans by the thousands each week and offers a local look at the culture of college football.
While Saban admitted he doesn’t have all the answers as to how to ensure equity in college sports, he’s trying to help as best he can behind the scenes with the people trying to figure out how college sports navigate this tremendously changing landscape.
“It’s so important to me that this has success in the future and we continue to create opportunities for young people,” he concluded.
And if Nick Saban is concerned about the industry’s future, that should set off alarm bells for everyone with a stake, interest, or passion in and around college sports.
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