Under Armor is in trouble

meistro

The Newsom Level
Supporter
Do you think Covid will be an equalizer in college sports or make a wider gap between the haves and have nots?
 

Jason Svoboda

The Bird Level
Administrator
Do you think Covid will be an equalizer in college sports or make a wider gap between the haves and have nots?
I don't see how it won't widen the gap in revenue sports. I think college sports were already on shaky ground without COVID and, if administrators are not willfully negligent to their schools, college sports are due to be pared back and/or more programs cut.

Even though a company like Under Armor may go under, schools that sell a lot of licensed merchandise will still have other merchandisers line up to make gear. They just won't get the apparel company subsidy. That lost subsidy will be passed down. It means the money game offers, for example, will come with lower guarantees.

For the large majority of college athletics, the loss of what revenues they did get from gameday ops, those lost money games, probably fewer donations to alumni losing their employment, they're either going to have to raise student fees higher, pull from school savings, or cut athletics programs and support staff. With college enrollment trending downward, even before COVID, there is no way any rational administration could think of raising student fees for athletics. If I were a student, I'd tell them to take a fucking hike. I also don't think many schools will dig into their endowments because we've already seen big time programs that have major endowments cut sports -- Stanford, Iowa, etc.

So what does a small budget school that is leveraged to the hilt and have no money do?
 
Top