UT & OU to the SEC Early? New Big 12 Developments Could Make it Happen
The Big 12 announcement that it is opening up its media rights negotiations early may be just the ticket for Texas and OU to move to the SEC prior to 2025.
The Big 12 announcement that it is opening up its media rights negotiations early may be just the ticket for Texas and OU to move to the SEC prior to 2025.
Texas and OU have both signed over their media rights to the Big 12 in order for the conference to negotiate a television deal. That “grant of rights” does not expire until June 30, 2025. This is why both UT and OU have stated publicly that they will move to the SEC in 2025.
However, the grant of rights agreement has a clause that states:
5. Amendment of the Telecast Rights Agreements. The Board, after consultation with each of the Member Institutions, must approve any amendment, modification, extension, renewal or replacement of any Telecast Rights Agreement in accordance with the Conference’s Bylaws (the “Bylaws”); provided, that the Conference shall not enter into any amendment, modification, extension, renewal or replacement of any Telecast Rights Agreement that grants rights to any Telecast Partner that are more favorable to the Telecast Partner, or imposes obligations or conditions on any Member Institution that are more restrictive to such Member Institution, than those set forth in the Telecast Rights Agreements as in effect on the Effective Date (as defined below) without prior written consent of all Member Institutions that are then members of the Conference.
In other words, if I’m reading this correct (and I’m a journalist and not a lawyer), the Big 12 can not implement a new media rights deal without the consent of all members.
It is important to note that even if the Big 12’s grant of rights does expire, there is still an exit fee to leave the Big 12. This could be the leverage UT and OU need in order to either pay a reduced exit fee or have it waived all together.
Dennis Dodds, a college football write for CBS sports, says there are active negotiations to allow UT and OU to leave the Big 12 early.
"It's definitely a piece of this puzzle, this OU-Texas separation," said a source familiar with discussions. "Those conversations are definitely happening and are making accessible progress."
WHAT’S IN IT FOR THE BIG 12?
The Big 12 isn't making this move, and potentially losing out on money from UT and OU if there isn't something in it for them.
Ed Desser, a media rights consultant and former president of NBA TV, says the decision by the Big 12 to strike a new deal early makes sense, even if it means losing out on UT and OU early. The move will allow the Big 12 to solidify its standing within the college football landscape, while also being able to leverage ESPN for more money.
“I think you've got a bunch of schools that are out there saying, ‘we need to plan for the future,’” Desser said. “There has been a reset in the price of college sports and ESPN didn't get any of the Big 10. So now, if you're ESPN, you have to get one or both of the remaining conferences.”
In addition to stabilizing the Big 12, the media deal could also pave the way for future expansion.
“You have a substantially changed lineup of schools for the Big 12, you want an accurate read on what the marketplace is going to bear,” said Lee Burke, a media rights consultant who does work a variety of NFL, MLB and college teams, including OU. “If the Big 12 is going to make any moves in terms of adding any schools it's going to get a accurate read as to how they will impact its overall media deals.”
The Pac-12 is also negotiating with ESPN for a new media rights deal and now both conferences will be competing head to head to see which is the more valuable in the college football landscape.
“The reality is you have to have television and you have to have revenues in order to attract schools and you need certainty for doing that,” Burke said. “I think this provides the Big 12 with certainty and with information as to what they will have to offer both its current members and potential new members.”
Arizona, Arizona State, Colorado and Utah – the four corners schools - have been rumored to be potential Big 12 expansion candidates.
In a perfect world, those schools would likely opt to stay put in their current conference, even without USC and UCLA. But college football is not a perfect world anymore.
Big Ten Commissioner Kevin Warren told Bryant Gumbel on HBO’s Real Sports that he could see his conference expanding from 16 members to 20. The most obvious candidates, outside of Notre Dame, are the Pac-12 schools that have been left behind. Oregon, Washington, Stanford, Cal all make sense for both football and as travel partner schools for Olympic sports.
If you’re the president of one of the four corners schools, it would be negligence not to at least explore options beyond the Pac-12 in case your current conference implodes.
Nobody wants to be Oregon State in the conference realignment game.
Join the discussion about the latest developments on the 40 Acres message board.