ESPN/ABC extended its media contract with the CFP through the 2031 season for an average annual payout of $1.3 billion. In an effort to reduce costs, ESPN reached a deal with TNT Sports to sublicense two first round playoff games this season and next season and then add two quarterfinal games for the 2026, 2027, and 2028 seasons. This is similar to the approach CBS employed with the NCAA Men’s Basketball Tournament to partner with TNT, TBS and TruTV as a broadcast syndicate of one of the most popular sporting events in the United States. In the new CFP format, first round games are played on campus, and the winners advance to play the top seeds at traditional bowl sites. The semifinals will also be played within the traditional bowl structure.
There has been talk of private equity investment in college sports to further monetize assets and infuse schools with money in a changing landscape with revenue sharing with athletes on the horizon as part of the NCAA vs. House settlement. CNBC released a list of the top 10 program valuations.
The average revenue multiple for top 10 college athletic programs is 4.6x compared to the NFL average of 9x.
