REPORT: Michigan questions proposed Big Ten private capital deal

Earlier this month, ESPN's Pete Thamel and Dan Wetzel reported that the Big Ten is in discussions about a private capital deal "that would infuse at least $2 billion into the league and its schools." The discussions, according to the report, include a 10-year extension of the league's grant of rights until 2046.

However, according to a recent report from Wetzel, the deal is receiving some heavy pushback, including from the University of Michigan. In his report, Wetzel wrote that trustees from Michigan and USC held a meeting about the plan that led to unified questions.

Wetzel reported that the two schools shared their skepticism during the call and agreed that the deal doesn't address soaring costs in athletics "that has made the need for cash so imperative for athletic departments." Just providing short-term money, sources told ESPN, does not resolve that issue.

In addition, Wetzel reported that both schools noted pending federal legislation that makes predicting the future of college athletics difficult to gauge, as well as a general apprehension at selling equity in a university asset (the conference media rights).

Wetzel reported both Michigan and USC believe there are alternative funding options that can provide superior terms and would like to slow down to explore and process those options.

Sep 6, 2025; Norman, Oklahoma, USA; Warde Manuel, Michigan Donald R. Shepherd Director of Athletics on the field prior to a game against the Oklahoma Sooners at Gaylord Family-Oklahoma Memorial Stadium. Mandatory Credit: Kevin Jairaj-Imagn Images | Kevin Jairaj-Imagn Images

It is unclear on how much influence the trustees from Michigan and USC hold in this instance, according to Wetzel's report, meaning despite the opposition, a deal still might be worked out.

The framework of the deal, according to the ESPN report, would send in the range of at least $100 million at minimum to each of the Big Ten's 18 schools. In exchange, Big Ten Enterprises would hold all leaguewide television rights and sponsorship contracts through 2046.

Wetzel added that shares of ownership in Big Ten Enterprises would fall to each of the league's schools, the conference and the capital group—an investment fund that's tied to the University of California pension system.

According to the report, a conference-wide call with league presidents and athletic directors on the deal was tentatively planned for Thursday, but more work might need to be done before then in attempts to win Michigan and USC over.

Being both Michigan and USC have interim presidents, Wetzel reported with that being the case, their boards of trustees might carry more influence than normal.

Dec 4, 2024; Los Angeles, California, USA; Southern California Trojans president Carol Folt (left) and athletic director Jennifer Cohen attend the basketball game between the Southern California Trojans and the Oregon Ducks at Galen Center. Mandatory Credit: Kirby Lee-Imagn Images | Kirby Lee-Imagn Images