OT: The Fleecing Irish

[bomble]

Notre Dame, the Fleecing Irish

NBC pays millions to broadcast one of the most mediocre teams in football

By Paul Wachter

Notre Dame’s football program is the envy of every university in the country, although this has nothing do with the team’s recent performance on the field. The last of its 11 consensus national championships came in 1988. Since 1995 the Fighting Irish have a dismal 2-9 bowl record—mostly in lesser, non-Bowl Championship Series contests. Last year’s promising 8-5 season under new coach Brian Kelly was marred by a tragic accident, when a film tower fell over and a student was killed. This season opened with a humbling loss to the University of South Florida.

But what Notre Dame does have, unlike every other football program in the nation, is a $15 million-per-year sweetheart deal with NBCUniversal to broadcast its home games nationwide. Never mind that the recent ratings for Notre Dame’s games suggest that NBC, which was acquired by Comcast (CMCSA) from General Electric (GE) earlier this year, may want to re-think the deal when it expires in 2015. Take, for example, the much-hyped Saturday evening game between Notre Dame and Army at Yankee Stadium on Nov. 20, 2010. In 1913, Notre Dame’s away victory over Army, then a national powerhouse, put the upstart Catholic university on the map (and demonstrated the effectiveness of the new forward pass). Last season’s rematch didn’t even muster a 1.0 Nielsen (NLSN) rating among 18- to 49-year-old viewers. While only 3.48 million viewers watched the game, 5.38 million tuned in to ABC’s (DIS) college football coverage (three different games by region). Meanwhile, repeats of CBS’s NCIS: Los Angeles and Criminal Minds beat out both football options.

“For us, Notre Dame was and remains a unique brand of college football,” NBC Sports President Kenneth Schanzer, who brought Notre Dame football to the network 20-odd years ago, told Bloomberg Businessweek in July, a few weeks before he retired on Aug. 31. “It’s an important part of aligning NBC’s sports brand with both an iconic and elegant brand.” More neutral observers have other terms for Notre Dame’s “uniqueness,” starting with “mediocre.” “Not everyone remembers the days of Knute Rockne, Ara Parseghian, or even Lou Holtz,” says Keith Dunnavant, author of The 50 Year Seduction: How Television Manipulated College Football, from the Birth of the Modern NCAA to the Creation of the BCS. “Today, Notre Dame’s football program is under tremendous strain to remain relevant.”

The first television broadcast of a college football game came in 1939 (Fordham defeated Waynesburg), but it wasn’t until 1950 that universities signed exclusive yearlong deals with networks. That year, the University of Pennsylvania sold its home-game rights to ABC for $150,000 and Notre Dame made a similar $185,000 deal with DuMont Television Network. But these deals were short-lived. Other schools, joined under the new umbrella of the National Collegiate Athletic Assn., fretted that television coverage hurt ticket sales—then the main source of football revenue—and wanted to restrict TV coverage. Armed with little more than the power of censure, the NCAA strong-armed Penn and Notre Dame into backing out of their deals ahead of the 1951 season. For the next 40 years, until the Supreme Court intervened, the association wielded monopoly control over college football’s TV deals.

During this time, Penn and the rest of the Ivies faded from the top ranks of college football. But not Notre Dame, and it pressed its advantage in the 1970s, when several universities began bristling at the NCAA’s control over their television rights. The NCAA didn’t exercise monopoly control over basketball, they noted, so why should football be any different? In 1976, several of the bigger conferences—including the Big Eight, Southeastern Conference, and Atlantic Coast Conference—formed the College Football Assn., along with independent Notre Dame, Penn State, and the University of Pittsburgh, in an attempt to break away. The fight went all the way to the U.S. Supreme Court, which in a 1984 decision (NCAA v. Board of Regents of the University of Oklahoma) ruled 7-2 that the NCAA’s arrangement was a “classic cartel” and invalidated the organization’s existing television contracts.

As the CFA negotiated new contracts over the next decade—switching among CBS, ABC, and ESPN—everyone understood that the crown jewel was Notre Dame, which had been involved in half of the 12 highest-rated games in history. But for Notre Dame, the CFA soon became as constricting as the NCAA. In 1990 the CFA’s impending deal with ABC would have shifted several Notre Dame games from national to regional coverage.

NBC’s Schanzer sensed an opportunity. “We’d been close to Notre Dame already largely because of our basketball coverage,” he says. As he learned of Notre Dame’s displeasure with the impending ABC deal, he walked into NBC Sports President Dick Ebersol’s offices. “I said, ‘You know, Dick, I’m not sure we couldn’t work some magic here,’ ” he says. Soon after, the network signed a $38 million contract with Notre Dame to cover home games from 1991 to 1995. Such was the deal’s significance that it was set to be the cover subject for the following week’s Sports Illustrated, Schanzer says—that is, until an unheralded boxer named James “Buster” Douglas delivered a brutal flurry of punches to Mike Tyson in Tokyo.

The decline of Notre Dame football has not been as precipitous as Tyson’s, but it hasn’t been pretty. During coach Charlie Weis’s five-year tenure, during which he compiled more losses than both of his brief, disappointing predecessors (Tyrone Willingham and Bob Davie), Notre Dame fell to Navy three years running. In 2009, after the Fighting Irish also lost to Pittsburgh and the University of Connecticut, Athletic Director Jack Swarbrick dismissed Weis with an $18 million buyout—a year and change of the NBC revenue.

Apologists for the team’s performance say the school’s rigorous academics, akin to Stanford’s or Duke’s, translate into fewer blue-chip recruits. Murray Sperber, author of Shake Down the Thunder: The Creation of Notre Dame Football, points to the failed 1990 recruitment of Randy Moss, who had a rap sheet and a “questionable academic future.” Although Lou Holtz coveted the talented receiver, the admissions office turned him away. Florida State University didn’t have the same reservations—at least not until Moss was arrested for drug possession in his freshman year.

“Notre Dame can’t institutionalize the kind of a recruiting that an Alabama can or a USC can,” Sperber says. “Because Notre Dame is a small school, you can’t hide athletes. Every student has to take the freshman curriculum, which includes some low-level calculus. You can’t set up a special sports management major like you can at Michigan.” Swarbrick refuses to make these excuses. “Our recruiting pool may be smaller, but within that pool there’s enough talent with the right leadership to win a national championship,” he says.

An NBC spokesman says NBC is as devoted to Notre Dame as ever, but it’s doubtful that the new Comcast executives will be as loyal to the school as the recently departed Ebersol and Schanzer were. Both sent children to Notre Dame, and their relationships with the university are personal. At one point, three of Schanzer’s children were enrolled at Notre Dame. “No one can have more Jewish kids at the school than me,” Schanzer says he joked to an admissions officer. And while the rights to Notre Dame football are a relatively minor expenditure—the network spent $4.38 billion to secure the rights to the Olympics through 2020—it’s increasingly hard to justify. Only the SEC’s teams earn more from television rights than Notre Dame, roughly $17 million per team per year under deals with ESPN and CBS. But SEC teams have won the last five national championships.

Imagine how much the annoying Notre Dame fan base will decline if NBC cancels this contract.

[BACKHANDtheRICAN]

Imagine how much the annoying Notre Dame fan base will decline if NBC cancels this contract.

Backhand agrees. ND is terrible, take them off my TV...they were a big time program 15 years ago. Although, I love to see Brian Kelly erupting on the sidelines as his team gets crushed.

[AnkielBreakers]

I doubt there are any fans left after last Saturday. Although, there is no support for the article's main premise, that NBC is not making bank off of its ND deal; aside from the Army game, which had to be one of the least watched games on the year. And why does it meander into the NCAA v Oklahoma antitrust suit, kind of off topic; I think the writer became married to his research.

[BACKHANDtheRICAN]

I doubt there are any fans left after last Saturday. Although, there is no support for the article's main premise, that NBC is not making bank off of its ND deal; aside from the Army game, which had to be one of the least watched games on the year. And why does it meander into the NCAA v Oklahoma antitrust suit, kind of off topic; I think the writer became married to his research.

[waldo027]

LOL at the leprechaun dropping the football and grabbing the pot of gold instead. That's awesome.

“For us, Notre Dame was and remains a unique brand of college football,” NBC Sports President Kenneth Schanzer.

I agree, they're ranked in the preseason almost no matter what, and then there's a major "upset." Or maybe they can squeeze out a 9-3 record and get into a BCS bowl where they get crushed.

[kshoe]

I doubt there are any fans left after last Saturday. Although, there is no support for the article's main premise, that NBC is not making bank off of its ND deal; aside from the Army game, which had to be one of the least watched games on the year. And why does it meander into the NCAA v Oklahoma antitrust suit, kind of off topic; I think the writer became married to his research.

Starting next year, NBC is moving a couple ND games a year to Versus. While some may argue that there are some positives to such a move, on the whole I have to believe ND is not happy about the development.

http://www.onefootdown.com/2011/8/12/2355720/a-couple-irish-home-games-on-versus-how-does-this-change-notre-dame

It will be interesting to see if NBC's downgrading of ND football is the straw that eventually breaks their back and forces them into a conference.

[Henry]

Starting next year, NBC is moving a couple ND games a year to Versus. While some may argue that there are some positives to such a move, on the whole I have to believe ND is not happy about the development.

http://www.onefootdown.com/2011/8/12/2355720/a-couple-irish-home-games-on-versus-how-does-this-change-notre-dame

It will be interesting to see if NBC's downgrading of ND football is the straw that eventually breaks their back and forces them into a conference.

All-

Notre Dame is one of the country's leading academic institutions producing the leaders of tomorrow. For this reason, people cheer on the Fightin Irish. This will not change due to a few average seasons. It is a part of America, Love them or Hate them.

I, for one, fell in love with Notre Damne when they gave an honorary degree to President Obama a few years ago. They stick to their principle's on and off the football field. He gave a quite a graduation speech.

Patrick

[billikenfan05]

All-

Notre Dame is one of the country's leading academic institutions producing the leaders of tomorrow. For this reason, people cheer on the Fightin Irish. This will not change due to a few average seasons. It is a part of America, Love them or Hate them.

I, for one, fell in love with Notre Damne when they gave an honorary degree to President Obama a few years ago. They stick to their principle's on and off the football field. He gave a quite a graduation speech.

Patrick

GIVE IT A ###### REST DUDE.

[waldo027]

Henry, you're supposed to wait for Metz to post in this thread first.....

[AnkielBreakers]

Starting next year, NBC is moving a couple ND games a year to Versus. While some may argue that there are some positives to such a move, on the whole I have to believe ND is not happy about the development.

http://www.onefootdown.com/2011/8/12/2355720/a-couple-irish-home-games-on-versus-how-does-this-change-notre-dame

It will be interesting to see if NBC's downgrading of ND football is the straw that eventually breaks their back and forces them into a conference.

They can't be happy about it, but it just another step in NBC juicing everything they can out of this relationship, use ND to actually get people to watch Versus. Although, Tom Hammond will still stand as the worst atrocity forced on ND Football.

[Henry]

Henry, you're supposed to wait for Metz to post in this thread first.....

I am not here to instigate Metz. Besides, he may have used up his 5 posts today. All joking aside, I am a big ND supporter...gotta love the Catholic institutions.

Patrick

[bomble]

Henry, you're supposed to wait for Metz to post in this thread first.....

+1 there. Actually part of the point of my thread (hatred of ND aside).

I am actually beginning to think Henry/Patrick (Patrick Henry?) is maybe Metz's Colbert-esque ego.

Then again, many of you thought my account was that for him. I could be as wrong as some of you were.

[bomble]

They stick to their principle's on and off the football field.

Beg to differ.

[Clock_Tower]

Much talk existed about ND 10 to 15 years ago - about whether they should stay as an independent for football. With the NBC contract in hand, seemed like a good move. Compared to what other schools were receiving from football/TV money, ND did quite well. Now, things have changed yet again. Even assuming ND can quickly turn things around (and I do think Kelly is the right coach), keeping the $15 million/year contract would be ND's best case scenario. Even then, EVERY team in the SEC (including schools Ole Miss and Kentucky) are getting $2 million per year more. With the Big 10 package giving each school what, $22 million, staying independent doesn't seem so smart anymore.

I would like to see ND and Mizzou go the Big 10.

[Cowboy]

Much talk existed about ND 10 to 15 years ago - about whether they should stay as an independent for football. With the NBC contract in hand, seemed like a good move. Compared to what other schools were receiving from football/TV money, ND did quite well. Now, things have changed yet again. Even assuming ND can quickly turn things around (and I do think Kelly is the right coach), keeping the $15 million/year contract would be ND's best case scenario. Even then, EVERY team in the SEC (including schools Ole Miss and Kentucky) are getting $2 million per year more. With the Big 10 package giving each school what, $22 million, staying independent doesn't seem so smart anymore.

I would like to see ND and Mizzou go the Big 10.

-i agree clock that things have sure changed moneywise since that first nbc contract for nd

-what does nd get from the big east bball contract? of course that pie while probably a good size is sliced many ways

-one thing nd has going for it, if they stay independent and schedule like they have been, on the typical year their schedule will be less intense than most big10 or sec schools so an easier path to the bcs (plus no conf championship game) and those riches

[AnkielBreakers]

Much talk existed about ND 10 to 15 years ago - about whether they should stay as an independent for football. With the NBC contract in hand, seemed like a good move. Compared to what other schools were receiving from football/TV money, ND did quite well. Now, things have changed yet again. Even assuming ND can quickly turn things around (and I do think Kelly is the right coach), keeping the $15 million/year contract would be ND's best case scenario. Even then, EVERY team in the SEC (including schools Ole Miss and Kentucky) are getting $2 million per year more. With the Big 10 package giving each school what, $22 million, staying independent doesn't seem so smart anymore.

I would like to see ND and Mizzou go the Big 10.

Here is what I do not understand. After what the Big N (Big 10) did to Mizzou, why hasn't anyone carried the argument that Missouri, and the St. Louis/Kansas City markets, should boycott the Big N on its networks? It is completely warranted, they used Mizzou to get to Nebraska, and left Mizzou hanging with their entire conference mad at them. We should all hate the Big N.