1 00:00:01,000 --> 00:00:03,600 Speaker 1: This is Bloomberg Business of Sports. 2 00:00:03,760 --> 00:00:07,520 Speaker 2: Sports is business, and whenever you are procuring talent, you 3 00:00:07,720 --> 00:00:09,840 Speaker 2: must start with the criterion. 4 00:00:09,360 --> 00:00:12,200 Speaker 3: Being owners of this league and wanting our league to 5 00:00:12,240 --> 00:00:13,440 Speaker 3: be the best in the world. 6 00:00:13,520 --> 00:00:14,600 Speaker 4: How do we make it better? 7 00:00:14,640 --> 00:00:16,680 Speaker 5: The valuations are getting so high at the list of 8 00:00:16,680 --> 00:00:19,040 Speaker 5: people who could purchase a team was getting really short. 9 00:00:19,079 --> 00:00:20,960 Speaker 6: We have eight strategic investment areas. 10 00:00:20,960 --> 00:00:22,919 Speaker 5: When you look at the world of sports, the NBA's 11 00:00:22,920 --> 00:00:25,160 Speaker 5: already in two hundred and ten countries around the world. 12 00:00:25,280 --> 00:00:28,440 Speaker 6: NFL is an amazing thing for the sports betting industry. 13 00:00:28,560 --> 00:00:30,800 Speaker 2: We have the World's upcoming in twenty twenty six in 14 00:00:30,840 --> 00:00:31,560 Speaker 2: North America. 15 00:00:31,720 --> 00:00:33,240 Speaker 3: Hey, if I get a million dollars, We're going to 16 00:00:33,320 --> 00:00:34,520 Speaker 3: a school testing. 17 00:00:34,640 --> 00:00:35,120 Speaker 4: How be you there? 18 00:00:35,120 --> 00:00:38,040 Speaker 1: Bloomberg Business of Sports from Bloomberg Radio. 19 00:00:39,280 --> 00:00:41,240 Speaker 6: This is the Bloomberg Business of Sports show, where we 20 00:00:41,280 --> 00:00:43,320 Speaker 6: explore the big money issues in the world of sports. 21 00:00:43,440 --> 00:00:45,519 Speaker 3: I'm Scarlett Foo and I'm Demian Satsaw. 22 00:00:45,600 --> 00:00:48,320 Speaker 6: Michael Barr will join us later in the program. Coming up, 23 00:00:48,360 --> 00:00:50,640 Speaker 6: we'll talk college football with the former head coach of 24 00:00:50,640 --> 00:00:54,200 Speaker 6: Coastal Carolina and former TV and Miritrade chairman, Joe Mowglia. 25 00:00:54,600 --> 00:00:55,800 Speaker 4: This is a matter of money. 26 00:00:55,960 --> 00:00:59,640 Speaker 5: The conferences do the wrong TV negotiations, they're responsible for 27 00:00:59,680 --> 00:01:01,520 Speaker 5: the wrong revenue. They don't need the answer to play. 28 00:01:01,600 --> 00:01:03,040 Speaker 5: And plus, if you go back two and a half 29 00:01:03,120 --> 00:01:06,120 Speaker 5: years or so when they were announcing nil. To me, 30 00:01:06,240 --> 00:01:08,520 Speaker 5: that's the most significant thing to happen in the history 31 00:01:08,520 --> 00:01:12,480 Speaker 5: of college sports. The NCAA literally abdicated the responsibility. 32 00:01:12,520 --> 00:01:16,000 Speaker 3: We'll also talk sports memorabilia and the basebook card that's 33 00:01:16,040 --> 00:01:17,959 Speaker 3: sold for over seven million dollars. 34 00:01:18,120 --> 00:01:20,000 Speaker 7: The rookie cards are always going to be among the 35 00:01:20,000 --> 00:01:23,840 Speaker 7: most desirable. I mean, people like to see the early, 36 00:01:24,240 --> 00:01:27,120 Speaker 7: first collectable for a player. That's what drew people to 37 00:01:27,160 --> 00:01:28,080 Speaker 7: the Babe Ruth card. 38 00:01:28,400 --> 00:01:30,640 Speaker 6: All that coming up on the Bloomberg Business of Sports. 39 00:01:30,680 --> 00:01:34,240 Speaker 6: But first, Damian, we could see the very first billion 40 00:01:34,319 --> 00:01:35,479 Speaker 6: dollar NBA star. 41 00:01:35,680 --> 00:01:37,959 Speaker 3: That's right, Scarlett. There's been plenty of guys who have 42 00:01:38,000 --> 00:01:40,919 Speaker 3: earned a lot of money, but San Antonio Spurs rookie 43 00:01:40,959 --> 00:01:44,120 Speaker 3: star Victor Webban Yama has a chance to become the 44 00:01:44,160 --> 00:01:47,280 Speaker 3: first player to earn over a billion solely from his 45 00:01:47,440 --> 00:01:48,280 Speaker 3: NBA earnings. 46 00:01:48,480 --> 00:01:51,760 Speaker 6: Remember that is not including endorsements and other deals. So 47 00:01:51,880 --> 00:01:53,960 Speaker 6: to take us through the numbers, we welcome back our 48 00:01:53,960 --> 00:01:57,480 Speaker 6: friend of the show, Bloomberg US sports business reporter Randall Williams, 49 00:01:57,640 --> 00:02:01,680 Speaker 6: whose story on this is featured as a Bloomberg Big Take, Randall, 50 00:02:01,720 --> 00:02:02,560 Speaker 6: great to see you again. 51 00:02:02,800 --> 00:02:04,600 Speaker 8: Yes, Happy New Year to you both. 52 00:02:04,880 --> 00:02:07,160 Speaker 6: So tell us a little bit more about this rookie sensation. 53 00:02:07,320 --> 00:02:09,240 Speaker 6: He's a French basketball player, right. 54 00:02:09,200 --> 00:02:12,799 Speaker 8: Yes, he is. He's from Paris. He stands seven foot 55 00:02:12,800 --> 00:02:15,320 Speaker 8: four inches tall. He is the tallest person I've ever 56 00:02:15,320 --> 00:02:17,919 Speaker 8: stood next to. He's a ridiculous specimen. 57 00:02:17,960 --> 00:02:18,560 Speaker 3: And he's got game. 58 00:02:18,639 --> 00:02:18,760 Speaker 1: Man. 59 00:02:18,840 --> 00:02:21,000 Speaker 3: I mean, he's got game at the outside, which is unprecedented, 60 00:02:21,080 --> 00:02:23,160 Speaker 3: righting me, seven foot four. I mean, granted, the Spurs 61 00:02:23,200 --> 00:02:25,560 Speaker 3: record needs something to be desired this year at Randall, 62 00:02:25,560 --> 00:02:27,919 Speaker 3: as you know, but I mean walk our audience through 63 00:02:28,320 --> 00:02:31,320 Speaker 3: the contracts this young gentleman will need to sign to 64 00:02:31,400 --> 00:02:33,040 Speaker 3: get to that one billion dollar threshold. 65 00:02:33,160 --> 00:02:35,720 Speaker 8: Sure, so I think it's it's pretty much guaranteed, is 66 00:02:35,800 --> 00:02:38,000 Speaker 8: you know, as long as he doesn't get in trouble 67 00:02:38,200 --> 00:02:41,480 Speaker 8: or hurt, God forbid a catastrophic injury happens, he's going 68 00:02:41,480 --> 00:02:44,399 Speaker 8: to get a rookie extension. We've seen the precedent sent 69 00:02:44,520 --> 00:02:47,120 Speaker 8: by someone like Zion Williamson, who got injured early on 70 00:02:47,160 --> 00:02:49,799 Speaker 8: in his career, but the Pelicans still gave him a contract. 71 00:02:49,840 --> 00:02:51,760 Speaker 8: The same can be set for d'w all embiid. That 72 00:02:51,880 --> 00:02:54,400 Speaker 8: contract is definitely going to be over three hundred million dollars, 73 00:02:54,400 --> 00:02:57,520 Speaker 8: So he's going to have three hundred million by the 74 00:02:57,600 --> 00:02:58,880 Speaker 8: age of twenty eight. 75 00:02:58,919 --> 00:03:00,919 Speaker 3: Well is that three hundred million for like five years? 76 00:03:01,000 --> 00:03:01,120 Speaker 2: Right? 77 00:03:01,240 --> 00:03:03,920 Speaker 8: Yes, right, yes, it'll be a rookie extension deal, the 78 00:03:03,919 --> 00:03:06,560 Speaker 8: same thing that Tyre's Heliberton just signed. And the reason 79 00:03:06,600 --> 00:03:08,640 Speaker 8: that these this money keeps going up is because the 80 00:03:08,720 --> 00:03:11,080 Speaker 8: media contracts are going to continue to grow. As we 81 00:03:11,120 --> 00:03:14,040 Speaker 8: all know, the NBA is about to start media negotiations. 82 00:03:14,040 --> 00:03:15,920 Speaker 8: They're looking to add a couple of new partners and 83 00:03:15,960 --> 00:03:17,720 Speaker 8: the range of the media deal is going to be 84 00:03:17,720 --> 00:03:21,119 Speaker 8: between seventy and eighty billion dollars, which means it's going 85 00:03:21,160 --> 00:03:23,000 Speaker 8: to bring the cap up again. Now, Mark Cuban has 86 00:03:23,000 --> 00:03:25,600 Speaker 8: said he's worried about the media deal after that, but 87 00:03:25,840 --> 00:03:28,440 Speaker 8: who knows where it ends up. As long as things 88 00:03:28,440 --> 00:03:31,240 Speaker 8: continue to grow and if they keep bringing in international stars, 89 00:03:31,639 --> 00:03:35,240 Speaker 8: then the media business will grow and so the supermax 90 00:03:35,280 --> 00:03:37,800 Speaker 8: after that will be over five hundred million dollars. 91 00:03:37,640 --> 00:03:39,920 Speaker 3: So that'll be a what year approximately, I think twenty 92 00:03:40,120 --> 00:03:42,960 Speaker 3: thirty early twenty thirty is probably yes, Okay, so twenty 93 00:03:43,040 --> 00:03:45,760 Speaker 3: thirty one, twenty thirty two, five hundred million then on 94 00:03:45,760 --> 00:03:48,120 Speaker 3: top of the three hundred plus million, right, yeah, I 95 00:03:48,120 --> 00:03:51,120 Speaker 3: mean you're almost there because he could do a second supermax. 96 00:03:50,680 --> 00:03:53,080 Speaker 8: Yes, yes, and Steph Curry has a second supermax. I 97 00:03:53,160 --> 00:03:54,720 Speaker 8: want to say his is around two hundred and twenty 98 00:03:54,760 --> 00:03:55,800 Speaker 8: eight or something like that. 99 00:03:55,800 --> 00:03:57,400 Speaker 3: That will be in what year that would be in 100 00:03:57,400 --> 00:03:58,120 Speaker 3: like twenty. 101 00:03:57,920 --> 00:03:59,960 Speaker 8: Thirty, twenty thirty six or twenty thirty seven. 102 00:04:00,120 --> 00:04:00,560 Speaker 3: Wow. 103 00:04:00,640 --> 00:04:03,680 Speaker 8: And so the crazy thing about it, if these are 104 00:04:03,680 --> 00:04:05,440 Speaker 8: bloomberg estimates, there's. 105 00:04:05,040 --> 00:04:07,160 Speaker 3: Not what the NBA or NBPA said. 106 00:04:07,720 --> 00:04:10,120 Speaker 8: If the cap continues to rise at its current rate, 107 00:04:10,160 --> 00:04:12,880 Speaker 8: that number would be a five year, seven hundred sixty, 108 00:04:13,080 --> 00:04:17,040 Speaker 8: seven hundred and sixty million dollars billion dollars then exactly crazy. 109 00:04:17,040 --> 00:04:19,440 Speaker 6: So he would be the first player to reach that level, 110 00:04:19,440 --> 00:04:21,479 Speaker 6: but certainly not the last because it just opens the 111 00:04:21,520 --> 00:04:24,360 Speaker 6: door up to others doing the same. What is it 112 00:04:24,440 --> 00:04:27,040 Speaker 6: about Wemby, as his friends referred to him as, that 113 00:04:27,080 --> 00:04:30,360 Speaker 6: makes him so special, that makes him so distinctive. 114 00:04:29,960 --> 00:04:32,200 Speaker 8: When you look at someone like Kevin Durant, for example, 115 00:04:32,279 --> 00:04:35,599 Speaker 8: Kevin Durant everyone says when he misses a shot, it's 116 00:04:35,640 --> 00:04:37,560 Speaker 8: just because he made a mistake. It's not because your 117 00:04:37,600 --> 00:04:40,880 Speaker 8: defense did anything. Well, imagine Kevin Durant five inches taller 118 00:04:41,400 --> 00:04:44,479 Speaker 8: and with the I don't think they're on the same 119 00:04:44,560 --> 00:04:47,200 Speaker 8: level skill yet, but they have similar characteristics. At the 120 00:04:47,240 --> 00:04:50,279 Speaker 8: same time, Wemby's wingspan is eight foot. He leads the 121 00:04:50,360 --> 00:04:52,919 Speaker 8: NBA in blocks right now. So if he's leading the 122 00:04:53,000 --> 00:04:55,680 Speaker 8: NBA and blocks right now, imagine what he's going to 123 00:04:55,680 --> 00:04:57,560 Speaker 8: be doing at twenty five or twenty six. And that's 124 00:04:57,560 --> 00:04:59,760 Speaker 8: what the Spurs are betting on. Sure, like the Spurs 125 00:04:59,760 --> 00:05:02,080 Speaker 8: are not very good this year, but they're not betting 126 00:05:02,120 --> 00:05:04,359 Speaker 8: on being a championship squad. I mean, Lebron is a 127 00:05:04,360 --> 00:05:06,640 Speaker 8: onceon generation prospect where he came in and changed the 128 00:05:06,680 --> 00:05:09,400 Speaker 8: course of every franchise he's touched. No one came in 129 00:05:09,480 --> 00:05:11,479 Speaker 8: and said that was going to be the case with Wenby. 130 00:05:11,520 --> 00:05:13,719 Speaker 8: They just said, look at this guy, he's an alien. 131 00:05:14,040 --> 00:05:17,400 Speaker 8: And I think when you are as big and as 132 00:05:17,480 --> 00:05:19,760 Speaker 8: long as he is, that the Spurs are going to 133 00:05:19,800 --> 00:05:20,960 Speaker 8: want to pay him a lot of money and keep 134 00:05:21,000 --> 00:05:22,919 Speaker 8: him San Antonio for at least in the next couple decades. 135 00:05:23,000 --> 00:05:25,560 Speaker 3: So Randall. Let's compare this. Let's compare this to for example, 136 00:05:25,680 --> 00:05:28,920 Speaker 3: baseball cho Todi ten years, seven hundred million dollars, right, 137 00:05:28,960 --> 00:05:29,560 Speaker 3: I mean, now. 138 00:05:29,520 --> 00:05:31,120 Speaker 6: Joe Harry little of that up front, of course, and 139 00:05:31,160 --> 00:05:31,400 Speaker 6: he's not. 140 00:05:31,360 --> 00:05:33,440 Speaker 3: Twenty years old. Let's be let's be clear, right, right, 141 00:05:33,480 --> 00:05:35,080 Speaker 3: I mean we're talking Wenby's twenty years old now, so 142 00:05:35,080 --> 00:05:36,359 Speaker 3: he's gonna have more time to kind of get to 143 00:05:36,360 --> 00:05:38,800 Speaker 3: that one billion dollar threshold. But I mean, walk me through. 144 00:05:38,839 --> 00:05:41,880 Speaker 3: Is there any sport other than basketball in your mind 145 00:05:41,920 --> 00:05:44,560 Speaker 3: that can get a player to one billion in earnings 146 00:05:44,560 --> 00:05:46,119 Speaker 3: on the field or court for that matter. 147 00:05:46,320 --> 00:05:49,039 Speaker 8: Baseball can do it, and the NFL can do it 148 00:05:49,080 --> 00:05:51,000 Speaker 8: as well, but it's going to take longer for the NFL. 149 00:05:51,040 --> 00:05:53,719 Speaker 8: I mean, you look at Mahomes' contract, it's four hundred 150 00:05:53,720 --> 00:05:56,200 Speaker 8: and fifty million dollars. But even even you know, let's 151 00:05:56,200 --> 00:05:59,440 Speaker 8: set in Mahomes aside. Let's use Lamar Jackson. Okay, Lamar Jackson, 152 00:05:59,480 --> 00:06:02,159 Speaker 8: I believe is twenty seven years old. He's going to 153 00:06:02,200 --> 00:06:04,839 Speaker 8: get another two hundred and fifty million dollars after this, 154 00:06:05,080 --> 00:06:06,800 Speaker 8: maybe more, probably more than that, but I think it's 155 00:06:06,800 --> 00:06:08,800 Speaker 8: going to be two hundred and fifty million when he's 156 00:06:08,839 --> 00:06:11,320 Speaker 8: thirty five. If he's still playing at the same level, 157 00:06:11,560 --> 00:06:13,880 Speaker 8: he could get more money. And it all depends on 158 00:06:14,240 --> 00:06:16,600 Speaker 8: how does the business and sports grow in the next 159 00:06:16,640 --> 00:06:20,520 Speaker 8: ten years the media exactly, And so I think the 160 00:06:20,560 --> 00:06:23,080 Speaker 8: Big three all have a chance to do it, Baseball 161 00:06:23,120 --> 00:06:26,560 Speaker 8: being the most likely upfront, just because there's no salary cap. 162 00:06:26,640 --> 00:06:29,920 Speaker 8: If you have another generational prospect come through. Let's say 163 00:06:29,960 --> 00:06:31,560 Speaker 8: they play for the Yankees. You mean to tell me 164 00:06:31,600 --> 00:06:34,760 Speaker 8: the Yankees will not write a twelve year billion dollar contract. 165 00:06:34,760 --> 00:06:37,840 Speaker 6: You're just waiting to exactly. So the thing with, of course, 166 00:06:37,839 --> 00:06:40,320 Speaker 6: the NBA, is that your playing career is longer too 167 00:06:40,440 --> 00:06:43,520 Speaker 6: than in the NFL or to some extent, the MLB. 168 00:06:43,600 --> 00:06:45,000 Speaker 6: If you're throwing really hard. 169 00:06:45,040 --> 00:06:48,400 Speaker 8: If you survive that long, I'll say. And the beauty 170 00:06:48,440 --> 00:06:51,240 Speaker 8: of an NBA contract is that a it's fully guaranteed 171 00:06:51,279 --> 00:06:54,640 Speaker 8: and b they are shorter. So an NFL contract you 172 00:06:54,640 --> 00:06:56,600 Speaker 8: can have four or five six and sometimes you can 173 00:06:56,640 --> 00:06:59,520 Speaker 8: have ten year deals, but the NBA max is five. 174 00:06:59,760 --> 00:07:02,040 Speaker 8: So if you make it past your rookie extension and 175 00:07:02,080 --> 00:07:04,800 Speaker 8: you enter the league like Wenby at nineteen years old, 176 00:07:04,880 --> 00:07:07,440 Speaker 8: you finish your You finish your first contract at twenty 177 00:07:07,440 --> 00:07:10,120 Speaker 8: three now you're guaranteed three hundred if you meet the 178 00:07:10,400 --> 00:07:13,960 Speaker 8: proper qualifications to get that three hundred million dollars, and 179 00:07:14,040 --> 00:07:16,200 Speaker 8: all you have to do is be first team All Defense. 180 00:07:16,360 --> 00:07:18,200 Speaker 8: And I just said he's leading the NBA and block 181 00:07:18,320 --> 00:07:20,520 Speaker 8: So he has an eight foot wings band. He's leading 182 00:07:20,520 --> 00:07:22,440 Speaker 8: the NBA and blocks at nineteen years old. If he 183 00:07:22,520 --> 00:07:24,600 Speaker 8: continues to do that, I mean, how can you not 184 00:07:24,720 --> 00:07:27,480 Speaker 8: put the leader in blocks on the first team All defense. 185 00:07:27,800 --> 00:07:29,200 Speaker 8: I think that happens for many years to come. 186 00:07:29,200 --> 00:07:30,760 Speaker 3: Well, Rand, let's think about it this way, right, I'll 187 00:07:30,760 --> 00:07:32,920 Speaker 3: give you another one. I mean, Michael Jordan when he played, 188 00:07:32,920 --> 00:07:35,200 Speaker 3: only made what ninety three million? I think something like that, 189 00:07:35,360 --> 00:07:37,120 Speaker 3: and that was years ago, right, But he made most 190 00:07:37,160 --> 00:07:39,960 Speaker 3: of his money off the court, right, an endorsement deals 191 00:07:40,000 --> 00:07:44,360 Speaker 3: with Nike and Haynes and whatever. What do you think, Gross, Now, 192 00:07:44,480 --> 00:07:48,120 Speaker 3: Gross Wemby's gonna make with you now, lump in all 193 00:07:48,200 --> 00:07:50,520 Speaker 3: of the off court endorsement deals. He actually spoke to him, right, 194 00:07:50,560 --> 00:07:52,640 Speaker 3: I mean he's getting involved in some you know, some 195 00:07:52,680 --> 00:07:54,360 Speaker 3: different drank power, and I mean, talk to us a 196 00:07:54,360 --> 00:07:55,440 Speaker 3: little bit about what he's had. 197 00:07:55,600 --> 00:07:58,960 Speaker 8: I can say he's had over two dozen endorsement offers. 198 00:07:59,000 --> 00:08:01,680 Speaker 3: He's gonna have a shit for sure. Yeah, accepted too 199 00:08:03,440 --> 00:08:04,200 Speaker 3: in Barcode. 200 00:08:04,240 --> 00:08:07,320 Speaker 8: Barcode is a plant based drink founded by Kyle Kusman 201 00:08:07,360 --> 00:08:11,520 Speaker 8: a guy named Bark Malik, and the funny and crazy 202 00:08:11,560 --> 00:08:15,120 Speaker 8: story about how they got connected is one of Barcode's 203 00:08:15,120 --> 00:08:18,520 Speaker 8: investors is from Paris, and so Barr as they call him, 204 00:08:18,760 --> 00:08:20,280 Speaker 8: was like, hey, you know, let's let's I want to 205 00:08:20,280 --> 00:08:23,200 Speaker 8: try to connect with Wenby. When bar flies over to Paris, 206 00:08:23,240 --> 00:08:26,440 Speaker 8: he meets Wenby's mother, who is a massage therapist and 207 00:08:26,440 --> 00:08:28,520 Speaker 8: I want to say, a nutritionist, okay, And so she 208 00:08:28,840 --> 00:08:31,800 Speaker 8: looks at the drink and sees all these different ingredients 209 00:08:31,840 --> 00:08:33,800 Speaker 8: and is like, I like this, and Wenby liked it, 210 00:08:33,880 --> 00:08:36,320 Speaker 8: and so he invested in a brand. I'm pretty sure 211 00:08:36,320 --> 00:08:38,640 Speaker 8: he's gonna have his own flavor coming out, and you know, 212 00:08:38,679 --> 00:08:40,679 Speaker 8: we'll see where it goes. It's very reminiscent of a 213 00:08:40,760 --> 00:08:43,240 Speaker 8: Kobe and body armor thing. But again, Kobe did this 214 00:08:43,920 --> 00:08:46,400 Speaker 8: way longer when he had six million dollars to invest 215 00:08:46,400 --> 00:08:49,040 Speaker 8: in body armor. Wenby's doing this as a rookie right now, 216 00:08:49,080 --> 00:08:49,959 Speaker 8: and we'll see how it grows. 217 00:08:49,960 --> 00:08:51,480 Speaker 3: Well, Randon, I got to ask you another question. You 218 00:08:51,520 --> 00:08:54,040 Speaker 3: mentioned Paris, The Olympics are coming to Paris, right, and 219 00:08:54,080 --> 00:08:56,400 Speaker 3: they're coming to Paris, France. I mean, Wenby is going 220 00:08:56,480 --> 00:08:58,480 Speaker 3: to be in the middle of it, right in the 221 00:08:58,480 --> 00:08:59,080 Speaker 3: middle of this. 222 00:08:59,120 --> 00:09:02,480 Speaker 8: It's is the biggest basketball showcase. This year's Olympics will 223 00:09:02,520 --> 00:09:04,439 Speaker 8: be the biggest basketball showcase the world has ever since. 224 00:09:04,520 --> 00:09:06,360 Speaker 3: I mean, Carly, you know, I was just in Paris 225 00:09:06,360 --> 00:09:08,600 Speaker 3: over break and I got to tell you it was everywhere. 226 00:09:08,679 --> 00:09:11,480 Speaker 3: I mean, the Olympics are going to be huge there 227 00:09:11,760 --> 00:09:14,080 Speaker 3: and it didn't even really occur to me that Wemby 228 00:09:14,200 --> 00:09:15,679 Speaker 3: is going to be right there. He's going to be 229 00:09:15,679 --> 00:09:17,200 Speaker 3: the focus of its all. It's going to be amazing. 230 00:09:17,320 --> 00:09:19,080 Speaker 6: Yeah, I mean, the league is counting on him as 231 00:09:19,080 --> 00:09:23,400 Speaker 6: an ambassador for the stort, you know, to the global audience. 232 00:09:23,080 --> 00:09:24,439 Speaker 3: In a deal with the NBA is going to be 233 00:09:24,520 --> 00:09:27,120 Speaker 3: negotiating new TV rights, right, So it's kind of all 234 00:09:27,200 --> 00:09:29,080 Speaker 3: lining up pretty perfectly, right, Rightann for sure. 235 00:09:29,120 --> 00:09:30,920 Speaker 8: And you one of the things that happened when Wenby 236 00:09:30,960 --> 00:09:34,120 Speaker 8: was drafted was Adam Silver met with Wenby before the draft. 237 00:09:34,360 --> 00:09:35,559 Speaker 3: Adam Silver doesn't. 238 00:09:35,280 --> 00:09:37,880 Speaker 8: Meet with any number one take and he shakes your 239 00:09:37,880 --> 00:09:41,600 Speaker 8: hand on stage, but having meetings with someone that generally 240 00:09:41,760 --> 00:09:44,800 Speaker 8: doesn't happen, and so they recognized the magnitude that he 241 00:09:44,920 --> 00:09:48,160 Speaker 8: has and really it's just using him as an example 242 00:09:48,200 --> 00:09:50,400 Speaker 8: to other international prospects. It's like, hey, this is what 243 00:09:50,440 --> 00:09:52,800 Speaker 8: can happen, because the last five MVPs have all been 244 00:09:52,840 --> 00:09:56,560 Speaker 8: international players. For instance, if you look at Wemby, he 245 00:09:56,720 --> 00:09:59,839 Speaker 8: just looks unlike anything we've ever seen. When you look 246 00:09:59,840 --> 00:10:04,360 Speaker 8: at Joel Embiid, Joker and Jannis, they all have a 247 00:10:04,400 --> 00:10:06,720 Speaker 8: basketball player type of feel. When you look at Wenby, 248 00:10:06,760 --> 00:10:08,720 Speaker 8: it's like, yeah, he looks like he should be playing basketball. 249 00:10:08,720 --> 00:10:10,400 Speaker 8: But it's like, how did you get to be that 250 00:10:10,440 --> 00:10:11,320 Speaker 8: tall in the first place? 251 00:10:11,400 --> 00:10:13,720 Speaker 6: Is he the tallest player ever ever? 252 00:10:13,920 --> 00:10:14,600 Speaker 1: I'm not sure. 253 00:10:14,840 --> 00:10:16,480 Speaker 3: I think Yaming was pretty well. 254 00:10:16,520 --> 00:10:20,000 Speaker 8: Yahming was seven and there's nothing that anybody Once he 255 00:10:20,040 --> 00:10:23,040 Speaker 8: gets to a level of like confidence and skill, I mean, 256 00:10:23,080 --> 00:10:25,800 Speaker 8: I don't know how you defend someone like that. And 257 00:10:25,840 --> 00:10:27,959 Speaker 8: that's what that's what where the media comes into. 258 00:10:28,080 --> 00:10:29,080 Speaker 3: Like the NBA put. 259 00:10:29,040 --> 00:10:32,280 Speaker 8: Nineteen national games for the Spurs this year. That's more 260 00:10:32,280 --> 00:10:35,320 Speaker 8: than the Brooklyn Nets, and we know how much bigger 261 00:10:35,400 --> 00:10:38,000 Speaker 8: Brooklyn is than San Antonio. So they're betting on like, hey, 262 00:10:38,000 --> 00:10:40,640 Speaker 8: here's this rookie. The team may not always play well, 263 00:10:40,800 --> 00:10:42,560 Speaker 8: but just get a look at this tall guy and 264 00:10:42,559 --> 00:10:43,480 Speaker 8: you know you want to watch. 265 00:10:43,360 --> 00:10:46,240 Speaker 6: Him play right exactly all right. Our thanks to Randall Williams, 266 00:10:46,240 --> 00:10:49,280 Speaker 6: Bloomberg US Sports business reporter, for joining us. Make sure 267 00:10:49,320 --> 00:10:51,440 Speaker 6: to check out his story. M more from the Bloomberg 268 00:10:51,440 --> 00:10:54,080 Speaker 6: Big Take on the Bloomberg terminal and online at Bloomberg 269 00:10:54,080 --> 00:10:57,160 Speaker 6: dot com slash Big Take Up. Next, we talk big 270 00:10:57,200 --> 00:11:00,600 Speaker 6: money sports collectibles with the president of Robert Edward Auctions. 271 00:11:00,640 --> 00:11:03,199 Speaker 6: That is straight ahead on the Bloomberg Business of Sports 272 00:11:03,400 --> 00:11:05,120 Speaker 6: from Bloomberg Radio around the world. 273 00:11:09,880 --> 00:11:13,839 Speaker 1: This is Bloomberg Business of Sports from Bloomberg Radio. 274 00:11:15,080 --> 00:11:17,240 Speaker 6: This is the Bloomberg Business of Sports show where we 275 00:11:17,240 --> 00:11:19,280 Speaker 6: explore the big money issues in the world of sports. 276 00:11:19,360 --> 00:11:22,840 Speaker 6: I'm Scarlett fu here with Damian Sassaur. Seven point two 277 00:11:23,120 --> 00:11:25,640 Speaker 6: million dollars. That is how much a rare Babe Ruth 278 00:11:25,720 --> 00:11:28,600 Speaker 6: Rookie baseball card sold for in auction late last year. 279 00:11:28,679 --> 00:11:31,280 Speaker 3: Yeah, and according to ESPN, that is the third highest 280 00:11:31,360 --> 00:11:33,640 Speaker 3: price ever for a baseball card. 281 00:11:34,040 --> 00:11:36,640 Speaker 6: Robert Edward Auctions made the sale and we got a 282 00:11:36,720 --> 00:11:39,520 Speaker 6: chance to talk with the president of that firm, Brian Dwyer, 283 00:11:39,600 --> 00:11:42,480 Speaker 6: about the sale and more. Along with our colleague Michael Barr, 284 00:11:42,800 --> 00:11:44,480 Speaker 6: let's take a listen to that conversation. 285 00:11:44,679 --> 00:11:46,560 Speaker 7: The rookie cards are always going to be among the 286 00:11:46,559 --> 00:11:50,400 Speaker 7: most desirable. I mean, people like to see the early 287 00:11:50,800 --> 00:11:53,680 Speaker 7: first collectible for a player. That's what drew people to 288 00:11:53,720 --> 00:11:56,600 Speaker 7: the Babe Ruth card, That's what we see people gravitating 289 00:11:56,640 --> 00:12:00,079 Speaker 7: to today with prospecting these up and coming players. A 290 00:12:00,160 --> 00:12:02,880 Speaker 7: lot of different things to collect, but rookies have always 291 00:12:02,880 --> 00:12:03,880 Speaker 7: been at or near the top. 292 00:12:04,160 --> 00:12:07,440 Speaker 6: Absolutely. Can you talk a little bit about how collectibles 293 00:12:07,480 --> 00:12:11,280 Speaker 6: has really shot up in terms of an alternative investment product, 294 00:12:11,400 --> 00:12:14,760 Speaker 6: especially since the pandemic, because that was when people really 295 00:12:14,800 --> 00:12:17,120 Speaker 6: started to have time to go into their addicts and 296 00:12:17,160 --> 00:12:18,880 Speaker 6: I'm looking at Michael Bar here as I'm saying this, 297 00:12:19,559 --> 00:12:21,680 Speaker 6: to look for the cars that they may have collected 298 00:12:21,720 --> 00:12:24,360 Speaker 6: in their youth and decide, you know, maybe it's time 299 00:12:24,400 --> 00:12:26,200 Speaker 6: to see how much they're worth. 300 00:12:26,400 --> 00:12:29,040 Speaker 7: Yeah, I mean the pandemic, without a doubt, was a 301 00:12:29,640 --> 00:12:33,280 Speaker 7: defining moment, of defining event for our industry. You had 302 00:12:33,320 --> 00:12:36,040 Speaker 7: people that had time, You had people that were looking 303 00:12:36,120 --> 00:12:39,440 Speaker 7: for distraction. You had people that had money that they 304 00:12:39,440 --> 00:12:43,000 Speaker 7: were not spending on discretionary things like travel or going 305 00:12:43,040 --> 00:12:47,400 Speaker 7: out to eat. And they gravitated to this part of 306 00:12:47,520 --> 00:12:50,160 Speaker 7: their life that brought them joy many years ago for 307 00:12:50,200 --> 00:12:53,440 Speaker 7: a lot of these people, and there was a sector 308 00:12:54,040 --> 00:12:56,160 Speaker 7: of people that were coming in that were looking at 309 00:12:56,200 --> 00:12:59,200 Speaker 7: it as an investment. What is going on in the market, 310 00:12:59,280 --> 00:13:01,560 Speaker 7: What can we control? What can we not control? You 311 00:13:01,600 --> 00:13:04,640 Speaker 7: know who's pretty safe, bet Babe, Ruth. We know exactly 312 00:13:04,679 --> 00:13:07,920 Speaker 7: what he's done. We know his values baked in and 313 00:13:08,559 --> 00:13:10,400 Speaker 7: they came in, and they came in by droves, and 314 00:13:10,440 --> 00:13:13,080 Speaker 7: they really spent a lot of money. We've seen some 315 00:13:13,120 --> 00:13:15,840 Speaker 7: ebbs and flows, but here we are coming up on 316 00:13:15,960 --> 00:13:18,440 Speaker 7: four years since the start of the pandemic, and the 317 00:13:18,480 --> 00:13:21,120 Speaker 7: market's been very resilient and continue to grow. 318 00:13:21,559 --> 00:13:24,000 Speaker 3: Brian, I remember a few years ago my son was 319 00:13:24,040 --> 00:13:26,760 Speaker 3: on social media and he was watching a bunch of 320 00:13:26,880 --> 00:13:30,440 Speaker 3: kids open old baseball card packs. And I don't know 321 00:13:30,520 --> 00:13:32,560 Speaker 3: about you, and I mean, like, I didn't think that 322 00:13:32,679 --> 00:13:35,959 Speaker 3: was a thing, but apparently that has absolutely blown up. 323 00:13:36,040 --> 00:13:37,880 Speaker 3: Talk to me about that. How has that changed the 324 00:13:37,920 --> 00:13:41,400 Speaker 3: landscape for your business for sports memorabilia and collectibles. I mean, 325 00:13:41,440 --> 00:13:44,720 Speaker 3: apparently it's been a huge boon to the business. 326 00:13:44,840 --> 00:13:45,080 Speaker 1: Yeah. 327 00:13:45,080 --> 00:13:47,960 Speaker 7: So, I mean you say, right there, social media and 328 00:13:48,040 --> 00:13:50,800 Speaker 7: watching people open these things. I mean, it's created a 329 00:13:50,800 --> 00:13:54,600 Speaker 7: community in a way that didn't always exist. For a 330 00:13:54,640 --> 00:13:56,680 Speaker 7: long time, you had to go to card shows and 331 00:13:56,720 --> 00:14:00,720 Speaker 7: you had to travel and leave your home to interface 332 00:14:00,800 --> 00:14:03,360 Speaker 7: with people that liked what you liked or were interested 333 00:14:03,360 --> 00:14:06,479 Speaker 7: in what you were interested in. Now you've got thousands, 334 00:14:06,520 --> 00:14:08,679 Speaker 7: tens of thousands, millions of people who, in the comfort 335 00:14:08,679 --> 00:14:12,400 Speaker 7: of their home, have the accessibility that allows them to 336 00:14:12,480 --> 00:14:17,120 Speaker 7: build this community and spread information and exchange information and 337 00:14:17,440 --> 00:14:19,920 Speaker 7: learn and grow grow this industry. 338 00:14:20,120 --> 00:14:22,920 Speaker 3: Have you ever heard or seen of somebody open up 339 00:14:23,000 --> 00:14:25,880 Speaker 3: a baseball pack like that and find that card that'll 340 00:14:25,920 --> 00:14:28,000 Speaker 3: allow them to live on Michael Barr's private island down 341 00:14:28,040 --> 00:14:31,360 Speaker 3: in the Caribbean. Oh, rookie Damien Sasawur card. 342 00:14:32,200 --> 00:14:34,800 Speaker 7: I'll give you a little bit of personal history. About 343 00:14:34,840 --> 00:14:37,840 Speaker 7: five years ago, I bought into a box opening of 344 00:14:37,840 --> 00:14:41,200 Speaker 7: a nineteen eighty six fleeer basketball box and I was 345 00:14:41,280 --> 00:14:44,160 Speaker 7: lucky enough to receive the pack in which a Michael 346 00:14:44,200 --> 00:14:48,160 Speaker 7: Jordan rookie car Wow and it graded a nine out 347 00:14:48,160 --> 00:14:51,120 Speaker 7: of ten grading an authentication paramount in our industry. 348 00:14:51,320 --> 00:14:52,560 Speaker 3: So that was a big hit for me. 349 00:14:52,960 --> 00:14:55,680 Speaker 7: That was a multiple of my investment, and you know 350 00:14:55,720 --> 00:14:58,960 Speaker 7: that's what draws people the allure of getting that desired card, 351 00:14:58,960 --> 00:15:01,600 Speaker 7: that Chase card, that key rookie, and so we love 352 00:15:01,680 --> 00:15:04,440 Speaker 7: to see people get into the hobby. However, they arrive 353 00:15:04,560 --> 00:15:07,320 Speaker 7: here and we just hope that they stay and learn 354 00:15:07,360 --> 00:15:10,040 Speaker 7: more about all the fun and exciting elements of it. 355 00:15:10,360 --> 00:15:13,560 Speaker 2: In the late eighties early nineties, now here's the problem 356 00:15:13,600 --> 00:15:15,640 Speaker 2: with that. I didn't even open the box. I said, Okay, 357 00:15:15,680 --> 00:15:17,760 Speaker 2: if I don't open this box, this is going to 358 00:15:17,800 --> 00:15:21,320 Speaker 2: be good. The problem is there was pretty much nobody 359 00:15:21,400 --> 00:15:25,600 Speaker 2: could in it, and the market was overwhelmed, and you know, 360 00:15:25,840 --> 00:15:28,760 Speaker 2: Tops and Clear and all those guys realize, you know what, 361 00:15:28,800 --> 00:15:30,280 Speaker 2: we can make a lot of money. We just sell 362 00:15:30,320 --> 00:15:32,680 Speaker 2: it like this. Am I wrong in thinking like that? 363 00:15:32,800 --> 00:15:32,960 Speaker 1: No? 364 00:15:33,040 --> 00:15:35,640 Speaker 7: I mean the nineteen eighties definitely marked a power shift 365 00:15:35,680 --> 00:15:39,640 Speaker 7: where the manufacturers realized that they were frankly leaving money 366 00:15:39,680 --> 00:15:41,640 Speaker 7: on the table. And so if you look at the 367 00:15:41,680 --> 00:15:45,080 Speaker 7: production numbers from the eighties and nineties through the roof, 368 00:15:45,200 --> 00:15:48,280 Speaker 7: and you know, even though packs were the most expensive 369 00:15:48,360 --> 00:15:51,280 Speaker 7: they had ever been at one dollar in nineteen eighty nine, 370 00:15:51,480 --> 00:15:54,160 Speaker 7: people couldn't get enough of them. And so what we've 371 00:15:54,200 --> 00:15:58,200 Speaker 7: seen is as the supply and the glut of product 372 00:15:58,320 --> 00:16:02,120 Speaker 7: really grew. We saw people gravitate back towards vintage, and 373 00:16:02,240 --> 00:16:05,120 Speaker 7: vintage is an area that we specialize here at Robert 374 00:16:05,200 --> 00:16:08,440 Speaker 7: Edward Auctions. Those old cards of which there are not 375 00:16:08,640 --> 00:16:11,560 Speaker 7: many of which they're not making more of. There's a 376 00:16:11,600 --> 00:16:14,680 Speaker 7: special something about those, and that's what we've seen. Long term, 377 00:16:15,120 --> 00:16:18,880 Speaker 7: has the price, history, has the date of what's happening, 378 00:16:18,920 --> 00:16:22,520 Speaker 7: good times and bad, and gives people the confidence to 379 00:16:22,680 --> 00:16:26,320 Speaker 7: look at them as that alternative investment in addition to 380 00:16:26,400 --> 00:16:27,680 Speaker 7: just straight out enjoying them. 381 00:16:27,760 --> 00:16:30,720 Speaker 6: What about the more modern players, the players that are 382 00:16:30,760 --> 00:16:34,800 Speaker 6: in the headlines post nineteen sixties or even today, I'm 383 00:16:34,800 --> 00:16:37,280 Speaker 6: thinking Patrick Mahomes, Shohio Tani. 384 00:16:37,800 --> 00:16:41,280 Speaker 7: Yeah, I mean those guys are dominating the headlines. They're 385 00:16:41,280 --> 00:16:44,040 Speaker 7: dominating their fields and their courts, and in our hobby, 386 00:16:44,080 --> 00:16:46,320 Speaker 7: they're the biggest names going, you know. And I think 387 00:16:46,560 --> 00:16:48,840 Speaker 7: the jury is still out on what long term the 388 00:16:49,480 --> 00:16:52,400 Speaker 7: guys like Otani or Trout or some of the basketball 389 00:16:52,400 --> 00:16:57,359 Speaker 7: players will do value wise, but are drawing in droves 390 00:16:57,400 --> 00:17:01,080 Speaker 7: of droves of young kids who idolize these players. And 391 00:17:01,120 --> 00:17:04,280 Speaker 7: again that's exciting. I don't collect today what I collected 392 00:17:04,280 --> 00:17:06,640 Speaker 7: when I was a kid. So we love to see 393 00:17:06,680 --> 00:17:09,720 Speaker 7: people coming into the hobby from all angles. We love 394 00:17:09,840 --> 00:17:12,119 Speaker 7: that there's new product being made. We love that the 395 00:17:12,160 --> 00:17:15,720 Speaker 7: card companies are getting exciting and adventurous with some of 396 00:17:15,760 --> 00:17:18,399 Speaker 7: the product that they're putting out, and you know, we 397 00:17:18,520 --> 00:17:20,520 Speaker 7: just want people to have fun doing what they do 398 00:17:20,600 --> 00:17:22,080 Speaker 7: and if you can make a little money, then that's 399 00:17:22,080 --> 00:17:22,520 Speaker 7: a bonus. 400 00:17:22,680 --> 00:17:24,800 Speaker 3: So, Brian, let me ask you this. You've got Damien 401 00:17:24,840 --> 00:17:27,720 Speaker 3: sas i was twenty sixteen Bloomberg Rookie card, and then 402 00:17:27,760 --> 00:17:31,920 Speaker 3: you have Damien SaaS Hours twenty sixteen Bloomberg Rookie card, 403 00:17:31,920 --> 00:17:35,240 Speaker 3: but it's signed by Damien SaaS Hour, which one's worth more? 404 00:17:35,320 --> 00:17:37,880 Speaker 7: You know, that's actually a dynamic that shifted as well. 405 00:17:37,920 --> 00:17:40,280 Speaker 7: It used to be blasphemous to put a signature on 406 00:17:40,320 --> 00:17:44,639 Speaker 7: a card, and nowadays we're seeing incredible premiums being paid 407 00:17:44,680 --> 00:17:48,120 Speaker 7: for cards that are signed, either modern cards that come 408 00:17:48,160 --> 00:17:51,080 Speaker 7: out of the packs signed, or vintage cards that are 409 00:17:51,080 --> 00:17:54,159 Speaker 7: signed by the players and maybe noted with some career 410 00:17:54,200 --> 00:17:57,360 Speaker 7: statistics or or you know, Rookie of the Year highlights, 411 00:17:57,359 --> 00:18:01,280 Speaker 7: et cetera. So there's been a bit, big, big bump 412 00:18:01,400 --> 00:18:05,520 Speaker 7: in price and interest for signed cards compared to what 413 00:18:05,680 --> 00:18:07,560 Speaker 7: we were seeing even five or ten years ago. 414 00:18:07,680 --> 00:18:10,920 Speaker 6: What about jerseys that are signed or baseball bats that 415 00:18:11,000 --> 00:18:13,600 Speaker 6: are signed. I know that people collect them, they're worth 416 00:18:13,600 --> 00:18:16,000 Speaker 6: a lot, they put them behind glass cases, but is 417 00:18:16,040 --> 00:18:18,720 Speaker 6: there a market for actually trading these items? 418 00:18:18,920 --> 00:18:19,120 Speaker 4: Yeah? 419 00:18:19,160 --> 00:18:21,560 Speaker 7: I mean game used memorabilia is a sector of our 420 00:18:21,600 --> 00:18:24,399 Speaker 7: market that's really taken off in the last several years 421 00:18:24,640 --> 00:18:28,360 Speaker 7: as we saw this incredible escalation and pricing around cards 422 00:18:28,359 --> 00:18:31,159 Speaker 7: of all types. We saw people look and say, you 423 00:18:31,200 --> 00:18:33,800 Speaker 7: know what for for not much different of a price, 424 00:18:33,840 --> 00:18:36,240 Speaker 7: I can actually get something that this player used or wore. 425 00:18:36,880 --> 00:18:39,560 Speaker 7: And so with the modern guys, we're having a signed 426 00:18:39,640 --> 00:18:42,760 Speaker 7: bat or jersey is available. I think that many collectors 427 00:18:42,760 --> 00:18:46,280 Speaker 7: would prefer that. But you know, we last this past 428 00:18:46,280 --> 00:18:49,040 Speaker 7: summer sold a Babe Ruth baseball bat for one point 429 00:18:49,080 --> 00:18:52,040 Speaker 7: three two million dollars. So it doesn't have to be signed, 430 00:18:52,080 --> 00:18:54,600 Speaker 7: but if it's available, collectors won't won't turn away. 431 00:18:54,680 --> 00:18:57,560 Speaker 2: This is the story that always breaks me up, not 432 00:18:57,920 --> 00:19:00,840 Speaker 2: just those cards that are you know, rookie cards and 433 00:19:00,880 --> 00:19:03,359 Speaker 2: this and that, but the Blooper card and I always 434 00:19:03,400 --> 00:19:08,280 Speaker 2: think of the Bill Ripkin card. I can't repeat what's 435 00:19:08,359 --> 00:19:12,479 Speaker 2: on the end of his bat, but that card is 436 00:19:12,640 --> 00:19:15,879 Speaker 2: worth something and you know what I'm talking about. 437 00:19:16,040 --> 00:19:17,800 Speaker 7: I do, I do, and I've never been bleeped in 438 00:19:17,840 --> 00:19:21,159 Speaker 7: an interview, and I won't start now. But it's a 439 00:19:21,200 --> 00:19:23,960 Speaker 7: great card. And yeah, to your point, people like these 440 00:19:24,080 --> 00:19:27,800 Speaker 7: error cards. They like the eccentric cards, and they like 441 00:19:27,880 --> 00:19:30,680 Speaker 7: the things that are unusual. And going back even into 442 00:19:30,720 --> 00:19:33,920 Speaker 7: the nineteenth century, there's instances of cards that weren't supposed 443 00:19:33,920 --> 00:19:37,720 Speaker 7: to get out there and they did, and collectors pay 444 00:19:37,760 --> 00:19:40,920 Speaker 7: a big premium and that's exciting. And that goes back 445 00:19:40,960 --> 00:19:42,760 Speaker 7: to the ubiquity of social media. I mean, there are 446 00:19:42,760 --> 00:19:46,639 Speaker 7: people that are opening up boxes today, discovering errors that 447 00:19:46,680 --> 00:19:50,000 Speaker 7: people don't know about. They're sharing them and they're creating interest. 448 00:19:50,080 --> 00:19:53,120 Speaker 7: And I'd be remiss if I didn't say nineteen ten, 449 00:19:53,200 --> 00:19:55,160 Speaker 7: we sold one of the most famous error cards ever. 450 00:19:55,200 --> 00:19:57,679 Speaker 7: There's only ten of them known. The printer changed the 451 00:19:57,680 --> 00:20:00,160 Speaker 7: plate on the Joe Doyle card had the wrong team. 452 00:20:00,520 --> 00:20:02,560 Speaker 7: Only ten of them got out of the factory. We 453 00:20:02,600 --> 00:20:04,960 Speaker 7: got one point three two million dollars for one. So 454 00:20:05,200 --> 00:20:07,480 Speaker 7: maybe we'll be talking about Billy Ripkin being a million 455 00:20:07,520 --> 00:20:08,480 Speaker 7: dollar card here soon. 456 00:20:09,240 --> 00:20:12,800 Speaker 3: Our thanks to Robert Edward Auctions president Brian Dwire for 457 00:20:12,880 --> 00:20:16,080 Speaker 3: joining us up Next, we bring in former Coastal Carolina 458 00:20:16,160 --> 00:20:20,560 Speaker 3: head coach and former Tdmeor Trade chairman Joe Moglia. You're 459 00:20:20,560 --> 00:20:23,800 Speaker 3: listening to the Bloomberg Business of Sports from Bloomberg Radio 460 00:20:24,080 --> 00:20:25,000 Speaker 3: around the world. 461 00:20:29,640 --> 00:20:33,560 Speaker 1: This is Bloomberg Business of Sports from Bloomberg Radio. 462 00:20:34,920 --> 00:20:36,879 Speaker 6: This is the Bloomberg Business of Sports show where we 463 00:20:36,920 --> 00:20:38,960 Speaker 6: explore the big money issues in the world of sports. 464 00:20:39,119 --> 00:20:41,840 Speaker 6: I'm Scarlett fu here with Damian Sasaur. Michael Barr will 465 00:20:41,840 --> 00:20:42,720 Speaker 6: be back next week. 466 00:20:42,880 --> 00:20:45,680 Speaker 3: With the College footballs Championship Game coming up on Monday, 467 00:20:45,960 --> 00:20:47,560 Speaker 3: we wanted to take a look at the state of 468 00:20:47,600 --> 00:20:47,920 Speaker 3: the game. 469 00:20:48,200 --> 00:20:52,440 Speaker 6: The NCAA itself is in flux with conference alignments shifting 470 00:20:52,560 --> 00:20:54,400 Speaker 6: and the emergence of NIL. 471 00:20:54,640 --> 00:20:56,919 Speaker 3: To talk us through some of the big headlines is 472 00:20:57,080 --> 00:21:00,879 Speaker 3: former head football coach at Coastal Carolina and former chairman 473 00:21:00,920 --> 00:21:05,520 Speaker 3: and CEO of TDM Error Trade Joe Moglia. Joe, Welcome 474 00:21:05,560 --> 00:21:06,960 Speaker 3: to the Bloomberg Business of Sports. 475 00:21:07,280 --> 00:21:09,639 Speaker 5: Damian Scarlott, thank you very much for having me back on. 476 00:21:09,920 --> 00:21:11,719 Speaker 5: I've enjoyed it every time we have done this. 477 00:21:11,960 --> 00:21:14,119 Speaker 6: We love to hear that, Joe, and thank you for 478 00:21:14,160 --> 00:21:17,240 Speaker 6: coming on. Happy New Year to you. You recently wrote 479 00:21:17,240 --> 00:21:20,399 Speaker 6: an op ed for Sportico on this idea of players' 480 00:21:20,480 --> 00:21:24,959 Speaker 6: unions in college. So walk us through the thinking here 481 00:21:25,040 --> 00:21:28,040 Speaker 6: and whether we're close to that idea or not. 482 00:21:28,240 --> 00:21:30,440 Speaker 5: There isn't any question, especially as far as the Power 483 00:21:30,480 --> 00:21:32,919 Speaker 5: five goes, that this is a matter of money. The 484 00:21:33,119 --> 00:21:36,639 Speaker 5: conferences do their own TV negotiations. They're responsible for the 485 00:21:36,640 --> 00:21:38,800 Speaker 5: wrong revenues. They don't need the nc DOUBLEA. And plus 486 00:21:38,880 --> 00:21:40,280 Speaker 5: if you go back two and a half years or 487 00:21:40,280 --> 00:21:43,280 Speaker 5: so when they were announcing nil, to me, that's the 488 00:21:43,320 --> 00:21:46,160 Speaker 5: most significant thing to happen in the history of college sports. 489 00:21:46,320 --> 00:21:50,320 Speaker 5: The NCAA literally abdicated the responsibility. I thought that was 490 00:21:50,680 --> 00:21:53,879 Speaker 5: first mind boggling, and secondly, I think that's maybe the 491 00:21:53,880 --> 00:21:56,520 Speaker 5: worst example of leadership I've ever seen in my lifetime. 492 00:21:56,960 --> 00:21:59,800 Speaker 5: The organization is supposed to protect the student athletes, protect 493 00:21:59,840 --> 00:22:02,639 Speaker 5: how athletic do all those things, biggest thing going on. 494 00:22:02,680 --> 00:22:03,200 Speaker 4: They're gone. 495 00:22:03,400 --> 00:22:06,560 Speaker 5: Okay, So the money is so significant, and I think 496 00:22:06,600 --> 00:22:10,160 Speaker 5: the impact that the NCAA can really truly have other 497 00:22:10,240 --> 00:22:12,760 Speaker 5: than being an enforcer Power five and not going to 498 00:22:12,760 --> 00:22:14,680 Speaker 5: do anything that they don't want to do no matter 499 00:22:14,680 --> 00:22:18,080 Speaker 5: what the NCAA is saying, etc. So therefore it's really 500 00:22:18,080 --> 00:22:21,280 Speaker 5: been run by the agents and the attorneys, and there 501 00:22:21,359 --> 00:22:23,720 Speaker 5: was talk I think it was. I think it was 502 00:22:23,760 --> 00:22:26,560 Speaker 5: at Dartmouth recently. I think a few years ago was 503 00:22:26,600 --> 00:22:30,479 Speaker 5: Northwestern about literally unionized. That's Dartmouth and Northwestern. As the 504 00:22:30,520 --> 00:22:34,000 Speaker 5: money is getting more significant, I can easily imagine players 505 00:22:34,040 --> 00:22:37,040 Speaker 5: getting together. They know what the money is, they know 506 00:22:37,080 --> 00:22:38,639 Speaker 5: what the money's like, they know what other people are 507 00:22:38,640 --> 00:22:40,720 Speaker 5: getting paid, and say, you know, if we don't get 508 00:22:40,720 --> 00:22:42,119 Speaker 5: this much of a bonus, so we don't do this 509 00:22:42,200 --> 00:22:43,720 Speaker 5: and this, we're not playing in a bowl game or 510 00:22:43,720 --> 00:22:45,080 Speaker 5: we're not playing in a championship game. 511 00:22:45,400 --> 00:22:47,280 Speaker 4: Now you say, well, that never happened. 512 00:22:47,440 --> 00:22:47,720 Speaker 1: You know what. 513 00:22:48,560 --> 00:22:51,160 Speaker 5: Look at how many guys on the team at Florida 514 00:22:51,160 --> 00:22:54,359 Speaker 5: State didn't play in the game. So I can easily 515 00:22:54,440 --> 00:22:59,080 Speaker 5: see from a business perspective that the people that are influential, 516 00:22:59,160 --> 00:23:03,720 Speaker 5: the agents the way you not the NCUBA, able to 517 00:23:03,800 --> 00:23:05,879 Speaker 5: bring the athletes together because frankly, it is in the 518 00:23:05,880 --> 00:23:08,880 Speaker 5: best financial interest. Nine out of ten athletes are going 519 00:23:08,920 --> 00:23:11,800 Speaker 5: to behave in a way that's in the best financial interest. 520 00:23:11,960 --> 00:23:14,439 Speaker 3: Joe, for our audience, you have to explain what is 521 00:23:14,480 --> 00:23:16,520 Speaker 3: the role of a player's union. You know, what do 522 00:23:16,560 --> 00:23:18,640 Speaker 3: they do? I mean they obviously it's like a contract 523 00:23:18,640 --> 00:23:20,439 Speaker 3: on a minimum wage for players to play out. But 524 00:23:20,480 --> 00:23:21,320 Speaker 3: what else do they do? 525 00:23:21,520 --> 00:23:24,480 Speaker 5: Well, I think their job, you know, the basic job 526 00:23:24,640 --> 00:23:27,840 Speaker 5: is to protect the players, so with regards to benefits, 527 00:23:27,920 --> 00:23:31,280 Speaker 5: with regards to medical protection after you stop playing, with 528 00:23:31,320 --> 00:23:35,960 Speaker 5: regards to making sure that free agency is actually allowed 529 00:23:35,960 --> 00:23:38,919 Speaker 5: and your courage to happen. So they're supposed to operate 530 00:23:38,960 --> 00:23:41,639 Speaker 5: on the best interest to the players. So for example, if. 531 00:23:41,840 --> 00:23:43,600 Speaker 3: What about laying claim to ten percent of. 532 00:23:43,560 --> 00:23:47,440 Speaker 5: The TV rights, I think that's going to happen. Yeah, again, 533 00:23:47,560 --> 00:23:51,800 Speaker 5: there's nobody able to stop this. Nobody what you could 534 00:23:51,840 --> 00:23:53,640 Speaker 5: have done when it was announced a couple of years ago. 535 00:23:53,920 --> 00:23:56,159 Speaker 5: You could have had structure around, You could have guidance, 536 00:23:56,240 --> 00:23:58,560 Speaker 5: you could have rules, you have something that everybody would 537 00:23:58,600 --> 00:23:59,760 Speaker 5: kind of cordate around. 538 00:24:00,040 --> 00:24:00,919 Speaker 4: There was nobody. 539 00:24:01,520 --> 00:24:04,120 Speaker 5: Remember, I don't expect you to remember having been there, 540 00:24:04,160 --> 00:24:07,240 Speaker 5: but you know about forty years ago and SMU had 541 00:24:07,240 --> 00:24:10,119 Speaker 5: some recruiting violations and they got the death penalty for 542 00:24:10,160 --> 00:24:11,080 Speaker 5: three years. 543 00:24:10,800 --> 00:24:12,600 Speaker 4: Like they weren't able to have Scottlish. I remember. 544 00:24:13,280 --> 00:24:15,960 Speaker 5: Okay, do you think about what Reggie Reggie Bush in 545 00:24:16,000 --> 00:24:18,119 Speaker 5: two thousand and five, you know he was getting some 546 00:24:18,160 --> 00:24:19,720 Speaker 5: money was doing all those things, and I'm not saying 547 00:24:19,760 --> 00:24:22,399 Speaker 5: what he did was right, because those were the rules. 548 00:24:22,480 --> 00:24:25,600 Speaker 5: They break the rules. Everything that Reggie Bush did totally 549 00:24:25,640 --> 00:24:28,600 Speaker 5: legal today. Everything that sm You did totally legal today. 550 00:24:28,640 --> 00:24:32,199 Speaker 5: I mean, it wasn't even a conversation about what's supposed 551 00:24:32,240 --> 00:24:34,320 Speaker 5: to happen. So at least we had the transfer rule 552 00:24:34,320 --> 00:24:36,199 Speaker 5: that if you were going to transfer, okay, but you 553 00:24:36,240 --> 00:24:37,679 Speaker 5: got to sit out of ye. So if I'm going 554 00:24:37,720 --> 00:24:39,119 Speaker 5: to give you money, I got to recognize you're not 555 00:24:39,119 --> 00:24:40,359 Speaker 5: going to do anything for a year. If I'm going 556 00:24:40,400 --> 00:24:41,960 Speaker 5: to leave, hey, i got to renize I'm going. 557 00:24:41,840 --> 00:24:43,919 Speaker 4: To sit out a year. Nancy double A was nowhere 558 00:24:43,920 --> 00:24:46,000 Speaker 4: to be found, but they get rid of the transfer rule. 559 00:24:46,160 --> 00:24:48,439 Speaker 4: That will happen three weeks ago. The transfer rule was 560 00:24:48,600 --> 00:24:50,920 Speaker 4: you can leave period anytime you want to play. 561 00:24:50,960 --> 00:24:53,200 Speaker 5: Now, I'm sure there's more detail around that. And then 562 00:24:53,359 --> 00:24:56,320 Speaker 5: three weeks ago because it was there was a couple 563 00:24:56,359 --> 00:24:58,240 Speaker 5: of things going on with regards to the courts, and 564 00:24:58,280 --> 00:25:01,280 Speaker 5: there wisdom the ants double A okay, where to get 565 00:25:01,320 --> 00:25:03,600 Speaker 5: rid of the second time. So if the transfer once 566 00:25:03,680 --> 00:25:05,639 Speaker 5: you play right away, transfer second time you got to 567 00:25:05,640 --> 00:25:08,080 Speaker 5: sit out of Yet that's god, I mean, it's the 568 00:25:08,119 --> 00:25:09,000 Speaker 5: wild wild West. 569 00:25:09,160 --> 00:25:10,879 Speaker 6: It is the wild wild West, and they're making it 570 00:25:10,960 --> 00:25:14,480 Speaker 6: up as they go along. Here. What would players' unions 571 00:25:14,640 --> 00:25:17,440 Speaker 6: do to the economics of coaching because a lot of 572 00:25:17,480 --> 00:25:20,800 Speaker 6: these coaches are the big stars within the school and 573 00:25:20,840 --> 00:25:22,200 Speaker 6: within for their community. 574 00:25:22,480 --> 00:25:24,960 Speaker 5: Yeah, you know what I think when we talk about players' union, 575 00:25:25,040 --> 00:25:28,760 Speaker 5: and I should stink that through more thoughtfully, Scarlett. The 576 00:25:28,800 --> 00:25:32,679 Speaker 5: players don't have that type of stuff, so them coming together. 577 00:25:32,760 --> 00:25:35,399 Speaker 5: They're the players you got, you know, a gazillion of 578 00:25:35,400 --> 00:25:38,080 Speaker 5: them playing every game. As far as the coaches go, 579 00:25:38,200 --> 00:25:40,880 Speaker 5: the coaches, at least nine at ten of them have agents. 580 00:25:40,920 --> 00:25:43,280 Speaker 5: All the big ones have agents. And the type of 581 00:25:43,320 --> 00:25:46,560 Speaker 5: coaches coaching contracts that they're getting you are very very significant. 582 00:25:46,800 --> 00:25:49,160 Speaker 5: I don't think, not that they wouldn't, but I don't 583 00:25:49,200 --> 00:25:52,880 Speaker 5: know if the coaches feel they need unionization. I think 584 00:25:52,880 --> 00:25:55,080 Speaker 5: they're pretty comfortable happy where it is now. I think 585 00:25:55,119 --> 00:25:56,119 Speaker 5: what we need to look at. 586 00:25:56,000 --> 00:25:57,840 Speaker 6: How did they deal the unionized workforce? 587 00:25:57,880 --> 00:25:58,120 Speaker 3: Though? 588 00:25:58,200 --> 00:26:02,800 Speaker 5: Well, the NFL with a unionized workforce. And if you're 589 00:26:02,840 --> 00:26:03,880 Speaker 5: the coach, you're still the coach. 590 00:26:03,960 --> 00:26:04,120 Speaker 4: Now. 591 00:26:04,119 --> 00:26:06,439 Speaker 5: You recognize there are always rules and guidelines around you. 592 00:26:06,440 --> 00:26:09,000 Speaker 5: Where they come from the NCAA, the NFL, whatever it is. 593 00:26:09,400 --> 00:26:11,720 Speaker 5: But these are still your players, and if they're going 594 00:26:11,800 --> 00:26:13,919 Speaker 5: to perform, you're the one that decides whether or not 595 00:26:13,920 --> 00:26:16,240 Speaker 5: they could play. You're still in control of them. I 596 00:26:16,240 --> 00:26:17,800 Speaker 5: don't mean control in a bad way as far as 597 00:26:17,880 --> 00:26:20,360 Speaker 5: the actual football goes. So if you think the guys 598 00:26:20,400 --> 00:26:22,080 Speaker 5: are probably you don't play it. Yeah, but Joe, I 599 00:26:22,119 --> 00:26:23,280 Speaker 5: just want to guys not play it. 600 00:26:23,880 --> 00:26:24,840 Speaker 3: Let me just take you through this. 601 00:26:25,000 --> 00:26:27,640 Speaker 4: This happens to commands the biggest salary. I'm sorry, I. 602 00:26:27,600 --> 00:26:29,520 Speaker 3: Was gonna say, let me take you through this hypothetical, Joe. 603 00:26:29,560 --> 00:26:30,879 Speaker 3: I mean, the truth of the matter is this is 604 00:26:30,960 --> 00:26:33,280 Speaker 3: very different than the NFL because in the NFL, once 605 00:26:33,320 --> 00:26:35,439 Speaker 3: you're on a team, you've signed a contract and you 606 00:26:35,480 --> 00:26:37,520 Speaker 3: work for that team. You can't just transfer out next 607 00:26:37,640 --> 00:26:39,720 Speaker 3: year and play for another team. Right, So there are 608 00:26:40,280 --> 00:26:41,880 Speaker 3: and cons to it. And if you have. 609 00:26:43,359 --> 00:26:45,280 Speaker 4: Demie, so I understand you took it about the player 610 00:26:45,359 --> 00:26:45,720 Speaker 4: or the coach. 611 00:26:45,760 --> 00:26:48,080 Speaker 3: Now from the player's perspective, my question for you is, 612 00:26:48,440 --> 00:26:50,120 Speaker 3: you know, what does that look like. I mean for 613 00:26:50,240 --> 00:26:53,280 Speaker 3: you to unionize as players, right, and you know, to 614 00:26:53,359 --> 00:26:56,360 Speaker 3: try and negotiate, say a minimum wage, you know, as 615 00:26:56,440 --> 00:26:59,080 Speaker 3: for your rookie contract for any university, there has to 616 00:26:59,080 --> 00:27:01,520 Speaker 3: be a little bit of give there from the university's perspective, Right, 617 00:27:01,520 --> 00:27:03,080 Speaker 3: we're going to pay you a salary. We expect you 618 00:27:03,119 --> 00:27:05,000 Speaker 3: to be here next year. You know what I'm saying. 619 00:27:05,119 --> 00:27:07,160 Speaker 3: We can't just expect to pay you for one year's 620 00:27:07,160 --> 00:27:09,040 Speaker 3: service and then you run off and become a free 621 00:27:09,040 --> 00:27:10,320 Speaker 3: agent and go to the next best thing. 622 00:27:10,440 --> 00:27:11,760 Speaker 4: I totally agree. 623 00:27:11,960 --> 00:27:13,480 Speaker 3: So do you think this is a way to lock 624 00:27:13,600 --> 00:27:17,680 Speaker 3: players into their specific universities, which, as you rightly point 625 00:27:17,720 --> 00:27:20,280 Speaker 3: out in that Florida State Georgia game, is something that 626 00:27:20,400 --> 00:27:22,120 Speaker 3: seems we desperately need here. 627 00:27:22,280 --> 00:27:22,639 Speaker 4: I agree. 628 00:27:22,680 --> 00:27:26,080 Speaker 5: In fact, I actually think that because college athletics does 629 00:27:26,160 --> 00:27:29,240 Speaker 5: has no clue what they're doing from a serious financial respect. 630 00:27:29,359 --> 00:27:31,960 Speaker 4: It's embarrassed. That's why you have these I agree. 631 00:27:32,000 --> 00:27:33,640 Speaker 3: The Orange Bowl was a complete embarrassment for years. 632 00:27:33,680 --> 00:27:34,760 Speaker 4: Get seventy five million dollars. 633 00:27:34,800 --> 00:27:37,240 Speaker 3: I agree with you. The Orange Bowl was a complete embarrassment. 634 00:27:37,280 --> 00:27:40,080 Speaker 3: Imagine the sponsor for that event, you know, and all 635 00:27:40,080 --> 00:27:41,720 Speaker 3: of a sudden, that's what they got, That's what they 636 00:27:41,760 --> 00:27:43,560 Speaker 3: paid for. I mean, there's real money on the line here. 637 00:27:43,640 --> 00:27:48,520 Speaker 5: Joe oh No, I agree. I believe, especially with the coaches, 638 00:27:48,600 --> 00:27:51,000 Speaker 5: I can easily see it with regard to players that 639 00:27:51,160 --> 00:27:54,359 Speaker 5: college Power five at least at least that should model, 640 00:27:55,000 --> 00:27:57,440 Speaker 5: should use the NFL as their model, and that would 641 00:27:57,440 --> 00:27:59,520 Speaker 5: accomplish some of the things that you're talking about now, 642 00:27:59,560 --> 00:28:01,919 Speaker 5: And that would be a good thing because there's no guidelines. 643 00:28:02,080 --> 00:28:05,000 Speaker 5: If the NFL was doing what college football is doing, 644 00:28:05,320 --> 00:28:06,280 Speaker 5: they'd be out of business. 645 00:28:06,640 --> 00:28:09,880 Speaker 6: So going forward, I mean, how does Charlie Baker proceed 646 00:28:10,080 --> 00:28:14,520 Speaker 6: because he's made the proposal here of perhaps paying the players, 647 00:28:14,840 --> 00:28:18,920 Speaker 6: but as you mentioned, doing that would open up Pandora's box. Essentially, 648 00:28:19,160 --> 00:28:22,480 Speaker 6: if you're a Charlie breaker, what would be your first step? 649 00:28:22,520 --> 00:28:24,960 Speaker 6: How do you kind of contain the damage. 650 00:28:25,119 --> 00:28:27,040 Speaker 5: I have spoken to Charlie Baker about this, and one 651 00:28:27,080 --> 00:28:29,240 Speaker 5: of the things that I suggested first few weeks in 652 00:28:29,320 --> 00:28:32,439 Speaker 5: the job was take a leadership role right now. The 653 00:28:32,480 --> 00:28:35,880 Speaker 5: position it's an important position, it's prestigious and it pays 654 00:28:35,880 --> 00:28:39,320 Speaker 5: some pretty good money, but it has very very minimum 655 00:28:39,320 --> 00:28:42,040 Speaker 5: power powered by football. So one of the things we 656 00:28:42,120 --> 00:28:44,200 Speaker 5: talked about was, by the way you think it was 657 00:28:44,240 --> 00:28:47,400 Speaker 5: an it was an accident that they brought it in 658 00:28:47,440 --> 00:28:50,480 Speaker 5: a guy who's a lifetime politician that can work with Congress. 659 00:28:50,480 --> 00:28:52,960 Speaker 5: That kind of sells everybody down, makes everybody happy, but 660 00:28:53,040 --> 00:28:55,719 Speaker 5: that's usually not a major decision made, all right. So anyway, 661 00:28:55,760 --> 00:28:58,360 Speaker 5: with regard to in terms of really running something, so 662 00:28:58,440 --> 00:29:01,640 Speaker 5: at the end of the day, recognize you in the 663 00:29:01,640 --> 00:29:04,360 Speaker 5: state of Massachusetts, I give him is doing that. But 664 00:29:04,560 --> 00:29:07,680 Speaker 5: my suggestion was, why not take a leadership role as 665 00:29:07,680 --> 00:29:09,920 Speaker 5: a politician. Don't you look down the road and kind 666 00:29:09,920 --> 00:29:12,840 Speaker 5: of see what the landscape looks like and then start 667 00:29:12,880 --> 00:29:14,800 Speaker 5: to make decisions based on that landscape so you can 668 00:29:14,840 --> 00:29:17,240 Speaker 5: get reelected or the answer that is yes, well, why 669 00:29:17,280 --> 00:29:19,160 Speaker 5: do you look down the road as far as college football? 670 00:29:19,480 --> 00:29:22,120 Speaker 4: I guarantee you do. I know, but I bet a lot. 671 00:29:22,120 --> 00:29:24,160 Speaker 5: I know, but I bet a lot that there's going 672 00:29:24,200 --> 00:29:27,000 Speaker 5: to be Power five separated from everybody else. So why 673 00:29:27,000 --> 00:29:29,200 Speaker 5: don't you instead of trying to hold on to them 674 00:29:29,200 --> 00:29:31,640 Speaker 5: for dear life, why don't you come up with something. 675 00:29:31,680 --> 00:29:35,120 Speaker 5: Will you actually recommend that they break away, actually give 676 00:29:35,160 --> 00:29:39,200 Speaker 5: them a model that shows genuine leadership to and you're 677 00:29:39,240 --> 00:29:42,080 Speaker 5: operating in the best interest of the schools as opposed 678 00:29:42,120 --> 00:29:45,280 Speaker 5: to the NCAA's best interest, and that should give them 679 00:29:45,280 --> 00:29:47,840 Speaker 5: some real credibility with regard to all the other sports. 680 00:29:47,880 --> 00:29:50,080 Speaker 4: Remember, you've got basketball, you've got FBS. 681 00:29:50,240 --> 00:29:52,880 Speaker 5: Then you put your arms around that and you make 682 00:29:52,920 --> 00:29:54,800 Speaker 5: it very clear that going forward, here are the rules. 683 00:29:54,840 --> 00:29:57,240 Speaker 4: Here the guidline, but run enforced book for everybody to say. 684 00:29:57,360 --> 00:29:59,120 Speaker 3: I was going to ask if you could for our audience. 685 00:29:59,160 --> 00:30:00,920 Speaker 3: I mean, one of the things that you know in 686 00:30:00,960 --> 00:30:04,120 Speaker 3: your amazing piece in Sportco that you mentioned is the 687 00:30:04,280 --> 00:30:06,520 Speaker 3: is a lawsuit, the four point two billion dollar class 688 00:30:06,520 --> 00:30:10,800 Speaker 3: action suit. Right Judge Chlaudia Wilkin ruled that lawsuits against Enslin, 689 00:30:10,920 --> 00:30:13,760 Speaker 3: Double A and college athletics conferences, including them Power five 690 00:30:14,080 --> 00:30:17,200 Speaker 3: could proceed as a class action. What does this mean 691 00:30:17,520 --> 00:30:21,080 Speaker 3: for NIL and for the players and the universities are large? 692 00:30:21,120 --> 00:30:24,400 Speaker 5: I think again, Monday kind of drives everything if the 693 00:30:24,640 --> 00:30:28,000 Speaker 5: class action suit has a major Remember those things don't 694 00:30:28,040 --> 00:30:30,680 Speaker 5: necessarily happen and they get negotiated down, et cetera. But 695 00:30:31,040 --> 00:30:34,000 Speaker 5: they that turned out to have a significant college impact 696 00:30:34,480 --> 00:30:38,040 Speaker 5: on the respect of colleges, universities or groups. You know 697 00:30:38,200 --> 00:30:39,800 Speaker 5: that's going to have an impact, but we don't know 698 00:30:39,840 --> 00:30:41,480 Speaker 5: what's going to happen with that, and these things take 699 00:30:41,520 --> 00:30:42,080 Speaker 5: a long time. 700 00:30:42,320 --> 00:30:43,960 Speaker 3: So and then off the back of that, I guess 701 00:30:44,000 --> 00:30:45,400 Speaker 3: the question I would have is you know, we all 702 00:30:45,480 --> 00:30:48,200 Speaker 3: we're talking about obviously powerfi football a lot, because that's 703 00:30:48,240 --> 00:30:50,800 Speaker 3: going to drive nil. It's going to drive how really 704 00:30:50,880 --> 00:30:53,560 Speaker 3: all college athletes get paid. But let's talk about some 705 00:30:53,600 --> 00:30:56,440 Speaker 3: of those other those other sports, you know, those lesser 706 00:30:56,520 --> 00:30:59,120 Speaker 3: known ones, right like lacrosse for example, And you know 707 00:30:59,160 --> 00:31:02,000 Speaker 3: some of those athletes to you know, want to probably 708 00:31:02,120 --> 00:31:04,440 Speaker 3: be a part of, you know, of the party, but 709 00:31:04,600 --> 00:31:07,200 Speaker 3: really can't be. So, you know, do you believe if 710 00:31:07,240 --> 00:31:10,320 Speaker 3: you were going to have unions, that these unions would 711 00:31:10,320 --> 00:31:14,560 Speaker 3: be by each sport? Would they be like for all athletes, 712 00:31:14,640 --> 00:31:16,680 Speaker 3: you know, regardless of what sport they played, would they 713 00:31:16,680 --> 00:31:19,280 Speaker 3: be for you know, boys versus girls? I mean, what 714 00:31:19,320 --> 00:31:20,080 Speaker 3: are your thoughts there? 715 00:31:20,120 --> 00:31:22,520 Speaker 5: About a month after they announced, in il they had 716 00:31:22,520 --> 00:31:25,560 Speaker 5: the Division one College Athletic Director of Conference they think 717 00:31:25,560 --> 00:31:27,440 Speaker 5: they have every year every other year in Dallas. I 718 00:31:27,480 --> 00:31:29,520 Speaker 5: was invited to that and I was allowed to sit 719 00:31:29,560 --> 00:31:32,560 Speaker 5: in on all their transitional meetings. They had the traditional committee, 720 00:31:32,560 --> 00:31:34,240 Speaker 5: you know, as we move forward, how we're going to 721 00:31:34,280 --> 00:31:36,640 Speaker 5: tradition and il them do all those things. And every 722 00:31:36,680 --> 00:31:38,520 Speaker 5: time somebody would come up with a good idea and 723 00:31:38,560 --> 00:31:41,000 Speaker 5: I was just listening, and then somebody else in the 724 00:31:41,120 --> 00:31:42,960 Speaker 5: room first of they have too many people on the committee, 725 00:31:43,000 --> 00:31:45,360 Speaker 5: and then somebody else, Or you can't do that because 726 00:31:45,400 --> 00:31:46,880 Speaker 5: that's going to be a problem with girls soccer. 727 00:31:47,080 --> 00:31:48,800 Speaker 4: Oh you can't do that. Is that going to Benitier? 728 00:31:48,880 --> 00:31:49,160 Speaker 4: Of God? 729 00:31:49,320 --> 00:31:51,240 Speaker 5: Oh you can't do that because of this. You can't 730 00:31:51,280 --> 00:31:55,360 Speaker 5: do that for most committees. And definitely academia is like this. 731 00:31:56,040 --> 00:31:59,280 Speaker 5: The great leaders find a way to figure it out. 732 00:31:59,680 --> 00:32:02,600 Speaker 5: They don't just accept know all the time. So I 733 00:32:02,760 --> 00:32:06,120 Speaker 5: was the closing uh keynote speaker then, and my job 734 00:32:06,280 --> 00:32:09,840 Speaker 5: was to talk about what was my unfiltered perspective of 735 00:32:09,960 --> 00:32:12,760 Speaker 5: college athletics today. And I actually was to some of 736 00:32:12,760 --> 00:32:14,680 Speaker 5: the more senior athletics directs and I said, Hey, you 737 00:32:14,680 --> 00:32:17,240 Speaker 5: guys really want me to do this, no fooling around. Yeah, 738 00:32:17,280 --> 00:32:18,480 Speaker 5: we really want to hear what you've got to say. 739 00:32:18,520 --> 00:32:19,360 Speaker 4: All right, heat down. 740 00:32:19,400 --> 00:32:23,280 Speaker 5: I didn't believe that, So it's very very, very very complimentary. 741 00:32:23,560 --> 00:32:25,400 Speaker 5: But then I said, let's talk about what's going on. 742 00:32:25,800 --> 00:32:27,800 Speaker 5: And I said, you should break away from the NCAA 743 00:32:27,920 --> 00:32:30,560 Speaker 5: right now. You know, Mark Emmick should be fired right now. 744 00:32:30,960 --> 00:32:32,680 Speaker 4: Uh. And I said, I sat. 745 00:32:32,560 --> 00:32:34,240 Speaker 5: In your meetings and you come up with some great ideas, 746 00:32:34,240 --> 00:32:36,440 Speaker 5: but then you have one obstacle and one know somebody 747 00:32:36,520 --> 00:32:38,719 Speaker 5: something else, and you're blaming everything on legal and all 748 00:32:38,760 --> 00:32:39,080 Speaker 5: these things. 749 00:32:39,120 --> 00:32:40,040 Speaker 4: I said, you can't. 750 00:32:40,040 --> 00:32:43,920 Speaker 5: You'll never handle the whole mismarshall college athletics in every sport. 751 00:32:44,240 --> 00:32:46,760 Speaker 5: So begin with the one that matters the most, which 752 00:32:46,840 --> 00:32:50,360 Speaker 5: right now has the most money. It's by far it's 753 00:32:50,400 --> 00:32:53,520 Speaker 5: power five football. So take a look at powerfil football. 754 00:32:53,720 --> 00:32:57,240 Speaker 5: I'm suggesting you control this. But you break away powerfied 755 00:32:57,280 --> 00:32:59,800 Speaker 5: football from the NCUBA, and then you have it in 756 00:32:59,840 --> 00:33:03,160 Speaker 5: then outside executive community that you hire right, that you pay. 757 00:33:03,360 --> 00:33:06,280 Speaker 5: If they have one rule, one job. You job to 758 00:33:06,280 --> 00:33:08,520 Speaker 5: take care of college powerfi football. 759 00:33:08,600 --> 00:33:08,960 Speaker 4: That's it. 760 00:33:09,280 --> 00:33:11,200 Speaker 5: But whatever they say, ghost think you're fire them. I 761 00:33:11,280 --> 00:33:13,520 Speaker 5: think they're bad. But as long as they're in office, 762 00:33:13,600 --> 00:33:15,280 Speaker 5: whatever they say, ghost. 763 00:33:14,960 --> 00:33:15,400 Speaker 4: That's it. 764 00:33:15,520 --> 00:33:19,840 Speaker 5: Sure they are true, true absolute rulers CEOs. And then 765 00:33:19,920 --> 00:33:22,560 Speaker 5: you'll be able to figure that out. For powerfi football, 766 00:33:22,680 --> 00:33:24,240 Speaker 5: you move it to the side they go to Group 767 00:33:24,240 --> 00:33:24,920 Speaker 5: of five football. 768 00:33:24,960 --> 00:33:27,840 Speaker 6: You start small, you smart, or start with what you 769 00:33:27,840 --> 00:33:30,560 Speaker 6: can control powerfy football, and then you take it from there. 770 00:33:30,640 --> 00:33:34,400 Speaker 6: Joe really really appreciate your joining us. A very opinionated 771 00:33:34,720 --> 00:33:36,840 Speaker 6: Joe Mowgli. Of course, the former chairman and CEE of 772 00:33:36,880 --> 00:33:40,120 Speaker 6: Tdameerror Trade, former head football coach at Coastal Carolina who 773 00:33:40,160 --> 00:33:43,320 Speaker 6: recently penned an op ed on college athletics for sportco 774 00:33:43,600 --> 00:33:45,480 Speaker 6: and if you missed any of that conversation, find it 775 00:33:45,560 --> 00:33:48,680 Speaker 6: now on the Bloomberg Business of Sports podcast. Subscribe now 776 00:33:48,680 --> 00:33:51,520 Speaker 6: on Apple, Spotify, or anywhere else you get your podcasts. 777 00:33:51,640 --> 00:33:53,800 Speaker 6: Thanks for listening to the Bloomberg Business of Sports show. 778 00:33:53,840 --> 00:33:56,240 Speaker 6: We're here each and every week at the same time 779 00:33:56,400 --> 00:33:59,360 Speaker 6: for Damian Sasaur, I'm Scarlett Food. Tune in again next 780 00:33:59,400 --> 00:34:01,240 Speaker 6: week for the late Bus on the stories moving big 781 00:34:01,320 --> 00:34:03,680 Speaker 6: money in the world of sports. You're listening to the 782 00:34:03,680 --> 00:34:06,520 Speaker 6: Bloomberg Business of Sports from Bloomberg Radio around the world.