Incongruity of multi billion $ d1 athletics business and amateurism

[BuffaloChip]

Speaking of NIL money, a freshman BB player from Amarillo, Tx, Brenden Hausen, is guaranteed $275,000 this year at Villanova. More in the future. Much more. He comes from a family that can use the help.

[boatcapt]

If an athlete warrants an NIL agreement, he's a D1 player. I love D2 athletics, but why would someone pay a player who might not be better than other D2 guys and he's willing to play in front of tiny crowds and no TV. No way.

NLI has little to do with the relative quality of a player. It has to do with a schools ability to highlight that player to the public. While there is certainly much more opportunity to do that at the D1 level, there us an opportunity for DII players to scrape crumbs if a DII is willing to play. Imagine a top-flight DII prospect considering two offers...one school says we can give you a 50% scholly while the other says we can give you 25% BUUUTTT...we have an NIL process that could net you 15K or even more...if you play as well as WE think you will!! We're do you suppose this wide eyed 18 yo who is convinced he is bound for NFL greatness (and his family convinced of the same!) going to chose to go???

[tsull]

Possibly. But money, even relatively small amounts, will seep in. If you are a DII with a deep pocket donor and there is a player that could really help you, do you really think the Coach is going to refrain from calling the donor and asking if he can hook the recruit up?

If an athlete warrants an NIL agreement, he's a D1 player. I love D2 athletics, but why would someone pay a player who might not be better than other D2 guys and he's willing to play in front of tiny crowds and no TV. No way.

[boatcapt]

Probably true, I think small colleges will survive. It's not based on a for-profit motive, no matter how much they want it to be. It's for enrollment purposes, fan engagement, getting students involved. Like high school football, D2/D3/NAIA should survive as long as they don't get $$$ obsessed.

Possibly. But money, even relatively small amounts, will seep in. If you are a DII with a deep pocket donor and there is a player that could really help you, do you really think the Coach is going to refrain from calling the donor and asking if he can hook the recruit up?

[tsull]

I've said this before, college athletics is on it's way out. And I would add that it will not be replaced by unattached "clubs" across the nation ala Europe. What will replace it is for profit companies and psudo-organizations that are effectively the AAU on steroids. They will become hype machines who attempt to increase their bottom line by getting players to "the show." Players that don't meet up will be disposed of with yesterdays take-out.

We had a system that, while flawed, did provide players weather they were stars or not, with a tangable "reward"...That being a college degree. We are in the process of unwinding that and ultimately, most players will not benefit from whatever new system comes about. OTE and other businesses are just the tip of the iceburg. Once we take the NCAA and the amiturism restrictions out of the equation, what is to stop a local company in NYC for example from starting a "high school" or perhaps an after school program and paying select players $25K to play for them? For an investment of a million dollars, you could form four "teams," play a season...declare a champion...select an all star team and then contact OTE and see if they are interested in signing one of "your" players...for a fee? Players that don't pan out are just the cost of doing business!

Probably true, I think small colleges will survive. It's not based on a for-profit motive, no matter how much they want it to be. It's for enrollment purposes, fan engagement, getting students involved. Like high school football, D2/D3/NAIA should survive as long as they don't get $$$ obsessed.

[boatcapt]

NCAA might fight it ... if they want to have an encore performance of ncaa vs Alston lol.
IMHO NCAA is toothless. Prime example is kansas basketball violations.
from the previous articles, i got the impression that Cunningham had a contract that would allow him to play in ncaa. Prior signees may need to have contracts redone. Those would be the ones that might be in jeopardy.

Just have to wait and see. But the signee list for just the second year of ote is impressive.

I've said this before, college athletics is on it's way out. And I would add that it will not be replaced by unattached "clubs" across the nation ala Europe. What will replace it is for profit companies and psudo-organizations that are effectively the AAU on steroids. They will become hype machines who attempt to increase their bottom line by getting players to "the show." Players that don't meet up will be disposed of with yesterdays take-out.

We had a system that, while flawed, did provide players weather they were stars or not, with a tangable "reward"...That being a college degree. We are in the process of unwinding that and ultimately, most players will not benefit from whatever new system comes about. OTE and other businesses are just the tip of the iceburg. Once we take the NCAA and the amiturism restrictions out of the equation, what is to stop a local company in NYC for example from starting a "high school" or perhaps an after school program and paying select players $25K to play for them? For an investment of a million dollars, you could form four "teams," play a season...declare a champion...select an all star team and then contact OTE and see if they are interested in signing one of "your" players...for a fee? Players that don't pan out are just the cost of doing business!

[Purple Mav Man]

Hmm. Pay to be member of club? Sounds like AAU lol

Given the large numbers of euro players on usa d1 and d2 rosters, it appears meeting NCAA reqs. Is no longer a major issue.
There are 663 international players in d1, of which 269 are European.
https://basketballncaa.com/the-globa...ge-basketball/


The decoupling of athletics from universities would remove much of the academic fraud and exploitation. Overtime Elite gives athletes 100k for education if they don't make nba. Similar thing could be done with clubs.

Also sounds like fraternities and sororities.

[Columbuseer]

I question weather the NCAA would be willing to allow player eligibility to a system that at it's core is designed to take NCAA calibre players from the NCAA.

NCAA might fight it ... if they want to have an encore performance of ncaa vs Alston lol.
IMHO NCAA is toothless. Prime example is kansas basketball violations.
from the previous articles, i got the impression that Cunningham had a contract that would allow him to play in ncaa. Prior signees may need to have contracts redone. Those would be the ones that might be in jeopardy.

Just have to wait and see. But the signee list for just the second year of ote is impressive.

[boatcapt]

appears ote has done their due diligence, which isn't surprising given the list of investors, which includes bezos and nba players.
Feb article below states that they can retain eligibility as long as they don't get a salary. Their intent of preparing them for nba is shared by aau, prep schools and d1 coaches in their recruiting pitch. But ote has the resources and much more qualified personnel to deliver on promise to maximize their skill developnent.



https://247sports.com/Article/Overti...nts-182852752/

This article deals with AAU and NCAA sanctioned event, not NCAA eligibility. Article further discusses NCAA NIL requirements and says that OTE would need to renegotiate their player contracts to comply with NCAA rules. I question weather the NCAA would be willing to allow player eligibility to a system that at it's core is designed to take NCAA calibre players from the NCAA.

According to the NCAA, there are 104 such NCAA sanctioned events.

[Columbuseer]

I'd be cautious of this if I were a player. The NCAA might have a contradictory opinion of the amateurism of a player who spent two full seasons at what is in fact a pro basketball camp being instructed by professional coaches with the specific intent of preparing the player to be drafted into the NBA.

appears ote has done their due diligence, which isn't surprising given the list of investors, which includes bezos and nba players.
Feb article below states that they can retain eligibility as long as they don't get a salary. Their intent of preparing them for nba is shared by aau, prep schools and d1 coaches in their recruiting pitch. But ote has the resources and much more qualified personnel to deliver on promise to maximize their skill developnent.



https://247sports.com/Article/Overti...nts-182852752/

[boatcapt]

One of lesser known aspects of OTE is that it is possible to sign with OTE and still retain college eligibility and NIL.
Cunningham is #1 2024 recruit. He will spend time developing his game in OTE. Then if the nba deal does not materialize, he can still play afterwards in college. He just cannot take a salary.

https://frontofficesports.com/2024-n...te-commitment/


I like the fact they provide this option.

I'd be cautious of this if I were a player. The NCAA might have a contradictory opinion of the amateurism of a player who spent two full seasons at what is in fact a pro basketball camp being instructed by professional coaches with the specific intent of preparing the player to be drafted into the NBA.

Separate issue. It would be interesting to see the actual signed contract between a player and OTE. It wouldn't surprise me if OTE has a sports agent arm or some sort of agreement with a sports agent that requires players to use them as their representative for a period of time after the player "graduates" from OTE. Heck, I would imagine that at least a couple of agents would be willing to "teach" a class for the OTE players on the roll and duties of a Players Agent...First and last slide in the PowerPoint deck of course would be the "instructors" name, agency and personal cell and email address!!!!

[Columbuseer]

One of lesser known aspects of OTE is that it is possible to sign with OTE and still retain college eligibility and NIL.
Cunningham is #1 2024 recruit. He will spend time developing his game in OTE. Then if the nba deal does not materialize, he can still play afterwards in college. He just cannot take a salary.

https://frontofficesports.com/2024-n...te-commitment/


I like the fact they provide this option.

[boatcapt]

Dont think the AAU comparison is valid.

One could argue that aau and d1 sports are more about making the school and coaches money than it is about educating the athletes.

Far from being the sleazy handlers and coaches that are in some d1 and aau programs, here are some of investors in ote:


Overtime recently announced it raised $80 million in Series C funding from top VC firms, industry leaders and athletes including Jeff Bezos, Drake and 25+ NBA stars including Trae Young, Devin Booker and Pau Gasol.

They are hiring world class experts to develop the players.
one of the nba guys was a 3 star player prior to ote

In only their second season, just look at 4 and 5 star players they are getting. They could become a threat to the one-and-done teams (UK). I like an alternative for great athletes that is independent of their SAT score. I hope they do well.

Series C funding typically comes from Venture Capitalists in exchange for equity in the company. The idea is to quickly grow the company in preporation for an initial public offering were the level C investors turn a profit from the potential increase in stock price. While the company can use level C funding to sustain day to day operations, the intent is the $'s are not really for that.

At the end of the day OTE is an attempt to monitize player development for the company owner's and investors. While some players that get real NBA contracts (not G League, Summer League or developmental deals) may benefit, most won't (beyond the $100K they make for their two season). But the Jeff Bezos, Drake and NBA investors will almost certainly make much more than they invested. Basically OTE is an attempt to change the "sleazy handlers and coaches" for a group of somewhat less "sleazy" business people.

[Columbuseer]

You never know what the future holds but I'd hardly call getting one player a two-way contract, one an Elite 10 contract and one a Summer League contract as examples of NBA success.

As for the $100K for college, I note it says UP TO $100,000 for college. Call me a synic but whenever I see the words UP TO in an advertisement, the reality is almost always below the quoted UP TO number...generally WAY below the up to number!! Will one or perhaps two OTE players who go undrafted by the NBA get access to the full $100K? Sure, if for no other reason than for OTE to be able to hype it on their web site. But I suspect that most won't use even a penny of it. Heck, if they were truely interested in college, they would have signed a D1 offer which includes free tuition!!!

At the end of the day, OTE is more about making the owners and executive level employees MONEY than it is about "Offering the world's most talented young basketball players a better pathway to becoming professional athletes." If some players do become NBA pros, OTE will hype that to the MOON because it helps THEM enhance their bottom line which equals bigger salaries/bonuses/equity.

What it truly is is AAU with a more profitable business model.

Dont think the AAU comparison is valid.

One could argue that aau and d1 sports are more about making the school and coaches money than it is about educating the athletes.

Far from being the sleazy handlers and coaches that are in some d1 and aau programs, here are some of investors in ote:


Overtime recently announced it raised $80 million in Series C funding from top VC firms, industry leaders and athletes including Jeff Bezos, Drake and 25+ NBA stars including Trae Young, Devin Booker and Pau Gasol.

They are hiring world class experts to develop the players.
one of the nba guys was a 3 star player prior to ote

In only their second season, just look at 4 and 5 star players they are getting. They could become a threat to the one-and-done teams (UK). I like an alternative for great athletes that is independent of their SAT score. I hope they do well.

[boatcapt]

SUMMARY

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PLAYERS


OTE teams features top high school rising juniors, seniors and post-graduate athletes globally. They will compete both within the league and in external competitions against domestic and international teams. The league features 27 players, all living, learning, and training in Atlanta.

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COMPENSATION


Each athlete receives a guaranteed minimum salary of at least $100,000 per year, plus bonuses and shares of equity in Overtime. Players participate in revenue from use of their name, image and likeness, including through sales of custom jerseys, trading cards, video games, and NFTs. Players retain the right to sign direct sponsorships with sneaker companies.

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BENEFITS


Every player receives full health care coverage as well as disability insurance coverage, providing financial protection should they receive an injury that hinders their ability to play professionally. For each athlete, Overtime guarantees payment of up to $100,000 for college tuition should they decide not to pursue a professional basketball career.

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EDUCATION


OTE offers a direct-instruction model led by individual instructors who teach both 1:1 and in small group sessions featuring a 4:1 student-teacher ratio. OTE supplements a traditional course offering with a focus on life skills including financial literacy, media training, and advocacy and sports, and business of basketball.

You never know what the future holds but I'd hardly call getting one player a two-way contract, one an Elite 10 contract and one a Summer League contract as examples of NBA success.

As for the $100K for college, I note it says UP TO $100,000 for college. Call me a synic but whenever I see the words UP TO in an advertisement, the reality is almost always below the quoted UP TO number...generally WAY below the up to number!! Will one or perhaps two OTE players who go undrafted by the NBA get access to the full $100K? Sure, if for no other reason than for OTE to be able to hype it on their web site. But I suspect that most won't use even a penny of it. Heck, if they were truely interested in college, they would have signed a D1 offer which includes free tuition!!!

At the end of the day, OTE is more about making the owners and executive level employees MONEY than it is about "Offering the world's most talented young basketball players a better pathway to becoming professional athletes." If some players do become NBA pros, OTE will hype that to the MOON because it helps THEM enhance their bottom line which equals bigger salaries/bonuses/equity.

What it truly is is AAU with a more profitable business model.