FSU and Clemson expected to settle with ACC, move has potential to close revenue gap

It appears Atlantic Coast Conference Commissioner Jim Phillips has done it. According to ESPN's Andrea Adelson and David Hale, Clemson and Florida State are likely to settle all four lawsuits on Tuesday and remain in the conference for the foreseeable future.

The move, which was reported first by ESPN (and is understandably involved as it has a stake in the media rights of the ACC), shared that the agreement will include a revenue-sharing system that will favor teams that bring more viewership (brand initiative) and more individual (success initiatives).

Adelson and Hale wrote this:

"This new revenue-distribution model -- or 'brand initiative' -- is based on a five-year rolling average of TV ratings, though some logistics of this formula remain tricky, including how to properly average games on the unrated ACC Network or other subscription channels. The brand initiative will be funded through a split in the league's TV revenue, with 40% distributed evenly among the 14 longstanding members and 60% going toward the brand initiative and distributed based on TV ratings."
Andrea Adelson, David Hale - ESPN

The "brand initiative" is expected to favor schools such as Florida State and Clemson, which have consistently averaged the highest TV ratings in the last 15 years. Leaders in viewership could bring upwards of $15 million, while the "success initiatives" could "close the gap" with the SEC and Big Ten schools that Florida State and Clemson have longed for.

To close the gap between the premier conferences would require CFP runs and successful viewership numbers from ACC schools. The conference's brands in the lower tiers of viewership and success are expected to lose $7 million, according to ESPN.

Interestingly enough, the agreement would also entail an amendment to lower the exit fees should an institution decide to leave before the end of the 2036 grant of rights contract.

In June, I said this would be a Herculean effort similar to Abraham Lincoln's or George Washington's strife to keep the Union together.

Okay, perhaps it isn't that serious. But the scenarios are strikingly alike. Without unity (Clemson and Florida State), it was very possible that the ACC would fall apart and fail to retain Power Four status or relevancy.

However, there are still a ton of unanswered questions. For instance, why did this take so long?

Why wasn’t this done in the first place? FSU said for months before the litigation that a change in the revenue distribution model was needed if the Seminoles were to stay in the conference.

My guess? Optics.

It's just a theory, but I think it's possible Florida State wanted to publicly pressure the conference into getting what it wanted sooner rather than later because FSU didn't get what it wanted behind closed doors. When cries in the media from FSU representatives couldn't move the needle, the university had to show it wasn't bluffing and was willing to take this matter to court.

What I do find the most intriguing about this news is the amendment to the grant of rights exit fees. As I wrote in September, the prospect of changing the grant of rights stipulations resembles a ceasefire rather than a peace treaty, a continuing resolution rather than the proper appropriations bills. Why would the exit fees need to be lowered if FSU and Clemson and possibly other schools weren't still considering a move to another conference?

Therefore, FSU and Clemson likely said something along the lines of "lower the exit fees or the litigation continues." If the ACC felt they were in good legal standing, they would've likely continued the legal battle. Maybe they were in good legal standing but figured the optics weren't worth it.

Overall, this agreement likely does not get Clemson and FSU to a number they feel would be consistently competitive with the SEC and Big Ten despite the change in the revenue distribution, but it gives them an opportunity to do so, which wasn't feasible before these changes. It's a win for Florida State and Clemson, but there is still not a long-term solution in place.

It does give the ACC more time to come up with a long-term solution, and that is good for everyone involved.

All three parties (ACC, FSU, Clemson) will need to unanimously sign off on the agreement on Tuesday.

Stick with NoleGameday for more FREE coverage of Florida State Football throughout the offseason

Follow NoleGameday on and Twitter, Facebook, Instagram, and TikTok

More Florida State News

• Former LSU standout gives major props to ex-FSU DE Jared Verse at NFL Combine

• FSU defensive tackle goes viral during NFL Combine 40-yard dash

• Former FSU Kicker Ryan Fitzgerald showcases accuracy at 2025 NFL Combine

• Best photos of former FSU stars Azareye'h Thomas, Joshua Farmer, and Ryan Fitzgerald at 2025 NFL Combine