Sports Court #35 | Audible

The fastest 3 minutes in name, image and likeness

Thank you for your continued support of this newsletter. Please share with anyone who would be interested in this content.

Follow Sports Court on Instagram, TikTok, Twitter, and YouTube for more NIL content!

Today’s Case

College Football Players Association organizing boycott of 2024 EA Sports video game

EA Sports Logo (Photo Credit: EA Sports)

Last month, EA Sports announced players would be paid for their NIL to be used in the college football video game, which is slated to return in 2024. EA has contracted OneTeam Partners to facilitate college athletes’ likeness. A source told On3 the cash pool for athletes was in the $5 million neighborhood, which would pay out to $500 per player.

However, Justin Falcinelli, vice president of the College Football Players Association (CFPA), feels this amount is not acceptable, and the organization is urging athletes to boycott the game, with the hope EA will reconsider its payout to athletes.

Falcinelli: “All current players should boycott this deal. It is an opt-in deal, and they should not opt into it. It is just a ridiculously low amount of money. It is a simple cash grab to just try to get you (athletes) for the lowest amount possible. And it’s OneTeam Partners and all these organizations that don’t really represent the players’ best interest.”

The Verdict:

  • Players as a group have more leverage than individual athletes, but perhaps not as much as they think

    • This comes down to group licensing, and a school’s licensing rights is ultimately more important (and more valuable) than an athlete’s licensing rights.

    • For most athletes (90%+) $500 is a good deal - and it’s one they should seriously consider taking. Holding out for a little more money, albeit commendable, might not be worth the hassle, and could ultimately cost the athlete a relatively easy payday.

      • An alternative would be providing players either A) a $500 one-time payout, or B) a revenue share/royalties on each game sold, with each athlete deciding for themselves which path to take.

  • Star players can negotiate for a better deal

    • There are probably only 7-10 players that have true leverage and can opt out of the $500 payout and negotiate a better NIL deal for themselves due to the fact their value to the game is greater than $500.

      • This could be social media posts promoting the game, TV ads, other promotional materials, etc.

      • If $500 is ultimately the final payout amount, then the cover athlete should receive an additional payout on top of the $500.

  • People are going to purchase the game regardless of whether players are compensated for their NIL or not

    • This is mostly for the student-athletes’ benefits (and rightfully so), but thinking a large number of fans won’t be bothered if their favorite player isn’t in the game.

      • Additionally, with the last EA CFB game coming out 10 years ago, sales for this game should be massive, given how much gaming has improved over the past decade.

I’ll be moderating an NIL panel at Hashtag Sports in New York City next week

One of my favorite sports conferences to attend, the discussion with MOGL and NBC Sports Group will focus on “The Empowered Era: NIL for All Athletes.” Click here for more info and hope to see you there!

Question of the Day

Did you attend NIL Summit in Atlanta last weekend?

  • Yes

  • No

Vote on the Sports Court Instagram Story and comment below.

Thank You for reading today’s newsletter

I discuss insights and news related to name, image and likeness in 3 minutes or less every Monday, Wednesday and Friday at 12p ET/9a PT.

Please share with anyone who might be interested in this content.

Court is adjourned. Go be great!!

Reply

or to participate.