3 Observations on Jaguars' Massive Extension For Trevor Lawrence

The Jacksonville Jaguars handed out the largest contract in franchise history on Thursday, signing quarterback Trevor Lawrence to a top of the market deal.

The Jaguars agreed to terms with the former No. 1 pick on Thursday evening, agreeing to a five-year deal worth $275 million with $200 million in guarantees and $142 million fully guaranteed.

Lawrence's deal will pay him an average of $55 million a season, which ties him with Cincinnati Bengals quarterback Joe Burrow as the highest-paid player on an annual basis in the NFL.

So, what do we make of the Jaguars' massive deal? We break it down below.

Jaguars were smart to pay Lawrence before other quarterbacks

Simply put, the Jaguars did the most responsible thing they could have done on Thursday. It was always a question if when the Jaguars would pay Lawrence, not if. The Jaguars didn't need to see anymore. He has shown enough since he was drafted to show he is a quarterback you can win because of. And once you are sure that a quarterback is truly "the guy", then there is no real point in dragging your feet and waiting to cash out.

There was never a scenario where the Jaguars weren't going to pay Lawrence. Whether it happened in 2024 or 2025 didn't matter much in the grand scheme of things, which means the only true factor was cost. If you are going to pay your quarterback, why not do it when it is cheaper? And that is exactly what the Jaguars did, avoiding the possibility of seeing quarterback contracts leap to $60 million next offseason.

Add in the fact that at least three other quarterbacks are set to be paid in the next 12 months in Jordan Love, Dak Prescott and Tua Tagovailoa, and the Jaguars were right to get this deal done first. Now, the next quarterback contracts will use Lawrence as a baseline as opposed to the Jaguars having to chase other deals.

Why this deal signals a shift for the Jaguars as a franchise

The 2024 offseason will go down as one of the most important in franchise history for obvious reasons. Aside from the proposed Stadium of the Future plans, the Jaguars have handed out the two biggest contracts in franchise history this offseason to Lawrence and pass-rusher Josh Allen. While it seems like an obvious point and goal to develop and pay home-grown talent, the Jaguars have been arguably the worst team in the NFL at exactly that over the past two decades. Now, that should change, especially with the way Lawrence's deal will make the team operate financially.

For far too long, the Jaguars were building their franchise in free agency. Before Allen, most of the highest-paid players in franchise history were free agent band-aid solutions such as Malik Jackson, Nick Foles and others. While not every free agent was a bust, few stuck around long enough to make a long-term impact.

When running down the list of the most talented players the Jaguars have drafted in that same span -- Jalen Ramsey, Yannick Ngakoue, Jawaan Taylor, Allen Robinson -- the Jaguars failed to make the same investments. The Jaguars have been built by outsiders for too long. With Allen and Lawrence now under the contract, the Jaguars are making a long-awaited shift.

Jaguars finally have long-term stability at quarterback

For the first time since the Mark Brunell days -- and, arguably, the first time in franchise history, the Jaguars have their long-term answer at quarterback. The Jaguars have had a historical run of below-average quarterbacks in a quarterback-driven league since their golden era, with busts such as Foles, Blaine Gabbert and Blake Bortles and other below-average options such as Gardner Minshew and Chad Henne. Now, the Jaguars finally have a quarterback who is at least worthy of proposing a top of the market deal to.

The Jaguars have been a franchise without a franchise passer for most of their history, but earning the No. 1 pick in the 2021 NFL Draft changed that. With Lawrence's deal now locking him in Jacksonville through 2030, the Jaguars' cycle of half measures and hope at the quarterback position has finally come to a close for the foreseeable future.