What Is NIL?
Good question. Before 2021, the NCAA had a strict policy when it came to student-athletes making money off their own name. You could be the star QB of a national championship team or millions of followers on social media, but if you got a free sandwich from a local deli for being awesome, you might just lose your eligibility. Wild, right? Then, the floodgates opened. In July 2021, the NCAA finally allowed athletes to profit off their Name, Image, and Likeness—aka, their personal brand. The result? NIL deals changing the environment of college sports.
The Financial Divide Between Large and Small Schools
Prominent universities benefit from substantial financial backing and established relationships with major brands, enabling them to offer lucrative NIL opportunities to potential athletes. For example, the University of Oregon has received over $100 million from Nike co-founder Phil Knight, directly enhancing its athletic programs and facilities. This financial advantage positions Oregon to attract top-tier talent with the promise of significant NIL deals. In contrast, smaller institutions may lack the resources and corporate connections to facilitate comparable NIL opportunities. NIL deals have shifted prospects’ focus to schools’ financial opportunities, potentially altering the competitive balance within college sports.
Conclusion
While NIL rights have created new opportunites for college athletes, they have also highlighted and, in some cases, exacerbated existing inequalities between larger and smaller athletic programs. As the landscape continues to evolve, it is crucial for stakeholders to consider strategies that promote equity and ensure that all student-athletes, regardless of their school’s size or funding, have fair opportunities to benefit from their name, image, and likeness.
Here are the top NIL earners in 2024, as you can see staying in college may be better than a rookie contract. Instead of going pro athletes are choosing to stay another year.