On July 1, 2021, the California Senate passed Bill 206 to make California the first state out of 39 to allow college athletes to profit from their Name, Image, and Likeness. As many other states soon followed suit, the bill changed the paths taken by hundreds of thousands of athletes in the United States on their next step in college athletics. According to the National Collegiate Scouting Association, a college athletic recruiting platform designed to help student-athletes find the right college for them, NIL deals allow athletes in college to earn money for promoting brands. In the past, student-athletes “right of publicity” was taken advantage of, as these athletes often never saw a dime of the money earned by brands they may have been required to wear. Even after decades and over $1.7 billion put into giving collegiate athletes the money they deserve from NIL deals, it is still one of the most nationally discussed debates in college sports. The two biggest reasons for the debate involve status and wealth between universities and differentiating amateur and professional athletes. Colleges such as the University of Oregon target a massive number of high school and transferring college athletes partially because of the $23 million” NIL valuation they have from sponsors such as Nike. According to Sports Illustrated. Oregon also has and will continue to receive more than $100 million from Nike’s CEO Phil Knight strictly for the athletic teams and facilities. It is almost impossible for poorer programs such as Ohio State with a 20 million NIL valuation to compete with money from major athletic programs like Oregon when trying to offer players scholarships. In addition to hurting smaller athletic programs, NIL deals are closing the gap between professional and college wages. Shedeur Sanders, the starting quarterback for Colorado University at Boulder, has rapidly gained popularity through his style of play but also his successful social media presence. Although the average college athlete earns between $1,000 to $10,000 from NIL deals, the college athletes who garner the most attention and success can earn professional-level money, like Shaduer Sanders who has made up to $3.8 million in NIL deals, more than the $2.8 million average salary of a kicker in the NFL. Social media only worsens the problem, as the more fame star players bring in, the more people want to watch them, and the more companies will pay them in NIL deals. But as NIL payments increase, rich colleges will be regularly paying more than professional teams, which would harm the NFL because it will draw more viewership towards college athletics and away from the NFL. To protect the competition of the NFL, NIL must either be closely monitored or capped.
NIL deals disadvantage lower-income athletic programs but shrink wage disparity between professional and collegiate athletics
September 24, 2024
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