Title: ACC Considers Adding West Coast Schools as Realignment and TV Revenue Drive Decision-Making
Subtitle: Stanford, Cal, and SMU’s potential inclusion may reshape the ACC landscape
Date: [Current Date]
In a surprising turn of events, the Atlantic Coast Conference (ACC) is contemplating the addition of two schools from the Pacific time zone. The move comes as a result of the chaotic world of college sports, where TV revenue often outweighs common sense and the greater good of athletes.
The ACC’s interest in California universities, Stanford and Cal, has been fueled by the recent implosion of the Pac-12 conference. The conference model, once hailed as a pillar of stability, has now been referred to as “a complete disaster” by Notre Dame athletic director Jack Swarbrick. Amidst the realignment chaos, the unthinkable idea of having Stanford, Cal, and SMU join the ACC has now become a potential reality.
The driving force behind this unlikely alliance is a marriage of mutual desperation. Stanford and Cal, currently struggling to avoid significant financial losses and a decline in competitiveness, are willing to start with a reduced share of the ACC’s revenue. Similarly, SMU, longing for Power 5 status, has reportedly found boosters willing to forego TV revenue for the first seven years. This proposition presents a lifeline for these schools, as even a fraction of the ACC’s distribution would surpass what they could expect in conferences like the AAC or Mountain West.
The ACC, faced with its own crisis of falling behind other major conferences’ expected payouts come 2025, sees this move as an opportunity to address the revenue gap. With a current average distribution of nearly $40 million per school, the ACC’s deal with ESPN runs until 2036, leaving it at a disadvantage compared to the impending lucratively contracted deals of the Big Ten and SEC. The addition of Stanford, Cal, and SMU could potentially bring an influx of money and help bridge this gap.
The ACC’s current TV revenue stands at an impressive $443 million, or approximately $29.5 million per school, and is expected to rise incrementally each year. If Stanford and Cal are willing to accept a smaller initial share (30%) and SMU foregoes any revenue, the conference could be left with an extra $74 million to distribute among existing members. This additional funding, coupled with the potential gain in ACC Network subscriber fees in San Francisco and Dallas, presents a compelling case for schools to support the inclusion of the west coast universities.
The distribution of the newfound funds is proposed to be performance-based, rewarding schools that excel on the field or generate high Nielsen ratings—or both. Adding to this potential windfall is the expected College Football Playoff money that will come the ACC’s way once the 12-team format is implemented.
However, this complex solution is a testament to the self-inflicted crisis facing the ACC. Winning at a level that matches Florida State’s self-importance and keeping Clemson satisfied may be the key to utilizing new funds to address the conference’s competitive future.
For Stanford and Cal, the stakes are even higher. Their athletic identities and elite-level Olympic sports programs, which have achieved great success in recent years, depend heavily on Power 5 affiliation. Dropping down to a Group of 5 conference could severely impact their ability to financially support these programs and attract top national recruits. This raises concerns among coaches from existing ACC schools who fear increased competition from potential newcomers.
In a strange twist of fate, if the ACC adds Stanford and Cal, 10 out of the 12 Pac-12 schools will be spread across three Power 5 conferences. This realignment reflects the influence exerted by major media companies like ESPN and Fox in shaping college athletics, where TV revenue becomes the driving force behind decisions.
As negotiations continue and the ACC evaluates this unexpected opportunity, the conference may find itself reshaping its future landscape with the addition of these west coast schools. It remains to be seen whether this unlikely alliance will provide the ACC with the competitive edge it seeks in the ever-evolving landscape of college sports.
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