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As NIL landscape evolves, administrators like NU AD Alberts tasked with planning for uncertain future | Football







A young Husker fan gets his hat and poster signed by Matt Masker during Nebraska Fan Day last summer at Memorial Stadium.






The latest episode begins with NU’s new QB situation. Plus, the guys share thoughts on some interesting comments from a men’s hoops player … among other Husker topics.







Trev Alberts picked a piece of paper up off of his Memorial Stadium desk and shook it for emphasis.

“This is the kind of stuff I’m focused on,” the first-year Nebraska athletic director said.

It was an internal memo from his compliance department, printed front and back and marked extensively in highlighter. It contained a series of updates on ongoing litigation in different parts of the country surrounding the rights of college athletes, or lack thereof, to monetary compensation.

The memo itself isn’t a crystal ball or even a road map to the future, but, as Alberts summarized some of it on a January afternoon, it’s easy to recognize why he knew right where it sat on his desk. 

Seven months after college athletes first gained the right to profit off their own name, image and likeness, administrators, athletes, coaches, businesses and donors are all working their way through a convoluted present and uncertain future. One reality that has crystalized: For as seismic a change as July 1 delivered to college athletics, the current state of affairs is transitory rather than a new, comfortable, long-term norm.

“Everything that we’ve all known for so long, that formed the foundation of what collegiate athletics was all about, the collegiate model, is done. It just is,” Alberts said during a wide-ranging interview with the Journal Star earlier this month. “So you find yourself participating in conversations that you couldn’t have even thought of 10 years ago.”

Today, those conversations are mostly about the manner in which college athletes profit from NIL. The way Opendorse co-founder Blake Lawrence describes it, there are four main avenues for athletes to make money: fans, brands, sponsors and donors.

The fan bucket includes, say, apparel lines started by Ben Stille, Cam Jurgens, Lexi Sun and others at Nebraska.

“The fan segment, why dollars are flowing is fans want to reward athletes for picking their favorite school, playing their favorite sport. It’s a direct connection,” Lawrence said. “It’s not enough dollars in that market to have a tremendous impact on recruiting, but it’s part of the narrative. The first fan base to truly effectively embrace NIL at scale will make a dent in the recruiting landscape, but they have to move in masses and contribute millions of dollars a year.

“Brands are not selecting student-athletes based on what school they go to. They’re looking at how many followers they have on TikTok. Sponsors, that’s rights driven. So if a sponsor has the rights to the school, they want to have the rights to the athlete, too.”

The donor group, though, is where the most interest and much of the conversation has shifted. It’s no surprise that donors around the country are figuring out how to get involved in NIL, but it is quickly turning into big business, particularly in the recruiting process. The only issue: Schools can’t be directly involved.

That’s led to the development of donor collectives around the country. At Nebraska, Athletes Branding & Marketing, run by former NU football chief of staff Gerrod Lambrecht, is designed to marshal money from donors and businesses and generate NIL opportunities for Nebraska athletes. Lambrecht, who was not available to comment for this story, left Scott Frost’s staff over the summer to begin building out the business. Other schools have followed suit, from Division Street at Oregon to Spyre at Tennessee, PonyUp at SMU, Clark Street Collective at Texas and many more.

“The donor bucket is all recruiting driven,” Lawrence said. “There’s no (return on investment) expectation, it’s not about rights. In some ways, it’s a reward, but it’s simply to support athletes that play the right sport at the right school and impact the recruiting landscape.”






Michigan vs. Nebraska, 10.9

Nebraska offensive lineman Turner Corcoran reaches out to fans lining the route of the Unity Walk prior to the Michigan game on Oct. 9, 2021, at Memorial Stadium.




Some trumpet big numbers — a $10 million initial investment at Texas made headlines — and rumors run amok, like a bandied about number that Texas A&M donors paid upward of $30 million for the nation’s No. 1 recruiting class this year.

“I do think I’d be a little bit careful in believing everything I read about some school spending $40 million,” Alberts said. “I’d be a little bit careful about that. There’s a lot of rumors out there and the NIL is part of the transfer portal and it’s a real issue. But I would not suggest that it’s necessarily that it’s always as portrayed.”

Industry sources think Nebraska is ahead of the curve in terms of donor engagement in NIL even if their presence isn’t as flashy as some other schools. ABM’s web presence is limited to a sign-up for a pheasant hunting trip that happened last month that earned a few thousand dollars for a set of football players. Sandhills Global is sponsoring paid interviews for some existing and incoming college athletes. NU athletes from multiple sports have deals for cars, but the totality of what the picture looks like in dollars — and impact — is difficult to pinpoint.

Charles Thompson, the father of new Nebraska quarterback Casey Thompson, said the NIL infrastructure around NU impressed him, though he made it clear that leaving Texas and picking the Huskers were not simply money-based decisions.

“We’ve talked to 26 schools over the last three weeks or so, in various ways,” he said. “The NIL takes on a different meaning at every school. I do like the fact that at Nebraska, it has more people participating and benefiting off of NIL than the majority of schools we’ve looked at. That was impressive because it’s all about the locker room. How the camaraderie is formed is how the team is going to go out and play.

“You have to have it so everybody feels they’re part of the success of the program and everybody is benefiting from it.”

Opendorse is working with many of these donor groups, too, as they become operational and want to systematically generate opportunities for athletes.

“It’s a use case for our technology that we didn’t see coming, but our platform is built to help any entity that wants to work with one athlete a dozen times or a dozen athletes one time,” Lawrence said.

As that landscape has developed, though, there is more change looming in the future, including the possibility that schools may at some point be directly in the game rather than watching from down the street and collecting reporting from athletes on their deals for compliance review.

Two antitrust cases in the Northern District of California — the same district and the same judge, U.S. District Judge Claudia Wilken, who heard the O’Bannon and Alston cases — among other things challenge schools’ ability to limit compensation to athletes in any way. One of them, House vs. NCAA, has a jury trial slated for January of 2024, so resolution through the courts may well be years away.

More immediately, some states are passing laws that would allow for schools in those states to directly broker NIL deals for athletes or even use their own resources to pay athletes for NIL activities.

“Which, where we’re going then is, now we’re paying players,” said Alberts, who noted schools could end up involved directly, “sooner than you think.” 

This is the kind of stuff that keeps him and his team busy. 

“I’m not suggesting that all of this is happening tomorrow. It might not happen. But the point is, what is the University of Nebraska’s strategy, proactively, to think about, if this is where we’re going, how are we going to react and respond?” Alberts said. “For the longest time, especially schools in the Big Ten have been very focused on (the idea that) athletics are always going to be tied to the academic mission. So we’re running headlong into this conundrum of entertainment or the collegiate model.

“The challenge for all of us is that these changes are going to happen regardless of what our opinion is, what our preference would be. We’ll have to find a strategy.”






Nebraska Athletics Hall of Fame, 10.1

Nebraska athletic director Trev Alberts speaks in October at a ceremony recognizing Nebraska Athletics Hall of Fame inductees. 




There are twists and turns ahead, but a core part of Alberts’ strategy at this point is a simple one: Find more revenue.

“If I can put it in a nutshell: If today we get $100 and $15 of those dollars are going to student-athletes directly — now, it’s all going to them through development and coaches and all of that — but if $15 of that $100 in cash is going to the student-athletes directly, there will be a day, nobody is disputing this in any call I’ve ever been on, where let’s say $45 of that $100 are going to student-athletes,” he said.

That would be closer in line with what revenue splits look like between franchises and players in professional sports. The specter and uncertain timeline of such a future in college athletics colors every conversation from playoff expansion and television agreements to the role of the NCAA overall, the potential of breaking off power conference football altogether, the transfer portal, the recent survey locally regarding the future of Memorial Stadium and more.

It also affects regular old budget conversations. Alberts, for example, said NU decided to up its fundraising goal for the now-$165 million North Stadium expansion project from $100 million to $125 million in an attempt to bond $10 million less than the original plan. They currently have $90 million raised plus another $20 million in pledges.

“I want to keep our debt services low,” he said. “Just trying to think about the future. I’m so focused on every possible piece of revenue that we can look at, because we’re going to need it.”

Consider, too, that as Alberts and company raise money for major projects, there will be natural crossover between those donors and the ones that may now and in the future consider directly funding NIL opportunities. He doesn’t think, at this point, NU is competing for donor dollars with its athletes.

“I think there’s enough, but I’m not naïve to the future challenges,” he said. “Think a little bit about the cable television model. We’ve got the same disruption now where we’re now streaming. Before, you had to aggregate 85 channels and you had to pay $120 for that even though you didn’t want 68 of those channels. That cable model started getting pressure and now people don’t have to pay that price. They can just pay $9.99 for Hulu or whatever so I can get what I really want.”

Translation: Now a donor can find a way to pay the quarterback or the setter rather than donate to the athletic department if he or she chooses to, though that conversation will change again if schools get directly into the NIL business.

“So, again, it’s going to look different. It’s OK. We will navigate through it, but we’ll need everybody,” Alberts said. “The board of regents, chancellors, presidents. My job is just to help facilitate and define it.”

A focus on revenue isn’t to be mistaken for crying poor. NU’s football program turned a $65 million profit in fiscal 2020 and the department’s revenues exceeded expenses by $13 million before the pandemic led to a $41 million drop in revenue in fiscal 2021. Even then, NU came out of the year without fans in stands without any debt, a hefty reserve stored at the Huskers Athletic Fund and in an enviable position for the future. What the future looks like in college athletics, though, is perhaps as uncertain as ever.

“We’ve got a tremendous fan base. We have support. We have no debt. We’re in a conference that has a tremendous television partnership, so we are really blessed,” Alberts said. “But I also think it’s fair and we need to be transparent and communicate with our stakeholders and our constituents, which is our fans, about these changes, because some of it is not going to feel great, because it’s not what we were raised on.”

Contact the writer at pgabriel@journalstar.com or 402-473-7439. On Twitter @HuskerExtraPG.



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