Big Ten's potential $2.4 billion deal reported to 'dramatically' benefit college football powerhouse

Ohio State is seemingly on top of the world, with a top-ranked football team in a thriving league. But with the Big Ten's new media rights deal under consideration, the Buckeyes might also be on top financially. It's a complicated deal, but one that seemingly enriches the Buckeyes in particular.
Here's a quick look under the hood of how that new plan would work, who's got problems, why the Buckeyes like it, and what it might all mean for college sports.

What's this all about?

There's two things in play on this deal-- media rights continue to soar and soar in value and in the modern era of college football, everything is in constant flux. The proposed deal involves UC Investments paying $2.4 billion up front to the members of the Big Ten and in exchange taking a share of a new company, Big Ten Enterprises, that would control the league's media and sponsorship rights. So that's the value, but the consistency lies in the fact that agreeing to this deal would tie the Big Ten teams (currently in a deal with FOX through 2036) together through at least 2046.

Who gets paid?

Well, that's where it gets interesting. Everybody gets paid-- but not equally. The league's 18 teams are divided into tiers in regard to the initial $2.4 billion and future revenue distribution. The league's top tier is Ohio State, Michigan, and Penn State. OSU is reported to see about $190 million up front. The next tier is Oregon and USC and they would get around $145 million up front, with the remaining 13 Big Ten schools collecting $100-$110 million.

Who doesn't like it? And why? And what could happen?

That's kind of the funny part. USC has apparently had issues with the plan as does... Michigan. Could Michigan still be harboring a grudge against the Big Ten as a result of SignalGate? Sure. Is Michigan less storm-tossed in the seas of constant change than most teams? Definitely. Does Michigan have some questions? Most certainly.

The bottom line is this-- even if Michigan and USC won't sign on, it won't stop things. The deal can go ahead, although at less than $2.4 million, as Michigan is considered second to Ohio State in highest media rights value in the conference. As the Big Ten teams are all tied to FOX through 2036, there would presumably be time for Michigan and USC to still opt in. Or could one or both teams be conference hopping? It's not impossible.

So what's the selling point for Ohio State (and the other schools)?

On3's Ross Dellinger has noted that the Buckeyes "stand to benefit dramatically" from this deal. Yes, Ohio State gets a massive up front cash influx ($190 million) to help run what is likely one of the most costly athletic programs in the nation. The Buckeyes also lock in one of those three top spots in further distributions and solidify their league in years ahead.

For the teams getting a smaller cut of pie, it's about the fact that they'll be able to count on pie through almost 2050 and their own nine-figure payouts on buying in. This is a bold step-- other conference revenue splits have been on an equal basis, but at some point, it probably is silly to pretend that, say, Rutgers brings as much clout to the league as Ohio State-- or should be paid equally.