The last dance for March Madness?

This is Bloomberg Opinion Today, a name, image and likeness of Bloomberg Opinion’s opinions. On Sundays, we look at the major themes of the [Bloomberg]( This is Bloomberg Opinion Today, a name, image and likeness of Bloomberg Opinion’s opinions. On Sundays, we look at the major themes of the week past and how they will define the week ahead. Sign up for the daily newsletter [here](. [The Money Will Roll Right In]( Perhaps my favorite [sports quote]( of all time came from former Louisville basketball head coach Denny Crum in December 1985: “I think we’ve got most of our future ahead of us.” He turned out to be prophetic: his Cardinals beat Duke 72-69 in that season’s March Madness final.[1](#footnote-1) You know who may not have much future ahead of them? The National Collegiate Athletic Association itself, if Adam Minter is right. (Also, Kentucky coach [John Calipari](, but that’s a different story.) “The first round of the NCAA’s men’s basketball tournament started Thursday,” Adam [writes](. “But it won’t be the only college basketball competition worth watching this year. Two weeks ago, organizers of a new tournament planned for the fall at the MGM Arena in Las Vegas [indicated]( they’d offer each participating school up to $2 million in NIL money.” NIL, of course, stands for “name, image and likeness,” which thanks to a US Supreme Court [ruling]( in 2021, can be licensed by the college athletes themselves and bring in far more than, say, doing work-study at the college cafeteria. Caleb Williams, the likely first pick in next month’s National Football League draft, [reportedly]( pocketed $10 million while playing quarterback at the University of Southern California.[2](#footnote-2) “The consequences are stark,” adds Adam. “Fans now settling into their sofas to watch some great basketball, should enjoy this year’s tournament as if it’s a last dance.” It’s also [last dance time]( for the National Basketball Association’s awkwardly named G League Ignite, a developmental squad for young players who now have far more to gain staying in college than passing it up. But the NCAA can hardly blame SCOTUS for all its ills — poor financial decisions also play a role. “[By one account](, the NCAA undervalued its most recent sale of its men’s March Madness rights by as much as $9 billion through the early 2030s,” writes Adam. If the major conferences wanted to go their own way, he says, they “would have no trouble finding sponsors, [private equity]( and media rights partners,” thus dooming the NCAA to the same scrap pile as the [football tie game](, the 19-foot [three-point line]( and this year’s Louisville Cardinals, who found the cellar of the Atlantic Coast Conference at 3-17. Someone whose future looks brighter than it might have is Illinois basketball star Terrence Shannon Jr., who was suspended by the university in December after being arrested for rape but reinstated by a federal judge in January. Stephen L. Carter [explains](: “Judge Lawless ruled that Shannon would be irreparably harmed if his suspension from play continued … How? Not by taking away his freedom to play basketball — the courts have generally rejected a constitutional right to participate in college sports. No, the liberty the suspension cost him was the liberty to earn a living.” In other words (or letters): NIL. “Shannon’s current annual NIL earnings total $387,000,” Stephen writes. “It is this income, along with future professional contracts measured in seven figures or more, that Judge Lawless found to be at hazard.” Stephen calls the decision “thoughtful,” but given Shannon’s 23 points per game this season, I’m betting the rest of the Big 10 would disagree. Speaking of big money in sports, the future looks cloudy for Nike — but shiny for Adidas — according to Andrea Felsted and Leticia Miranda. “For years, Nike and Adidas were able to serve customers demanding clothing to play sport in as well as those following fashion trends,” the pair [write](. “Now they face rivals on all fronts,” they warn, with “challenger brands” like Hoka, On and Arc’teryx expected to expand revenue by an average of 17% this year, while the two big guys muddle their way to 6%. Both Nike and Adidas have become too dependent on products “that burn bright and then fade,” such as Nike’s retro Air Jordan 1’s, when they should be reacting far more quickly to the latest trends. “That’s where Adidas is taking a lead over Nike,” Andrea and Leticia write. “Adidas’s [Bjorn] Gulden, who became CEO in January 2023, has been willing to back winners, for example noting the buzz around Terrace styles such as the Samba and Gazelle after a collaboration with Gucci in 2022.” Nike, however, did get a victory on Adidas’s home pitch last week, [nabbing a huge deal]( to provide the uniforms for Germany’s national football team. Die Rache! Although Nike’s revenge won’t be so sweet if [this]( happens again: Bonus [Jock-O-Rama]( Reading: - Shohei Ohtani Scandal [Raises the Stakes]( on Sports Betting — Gearoid Ready - Of Course Shohei Ohtani [Would Outshine]( March Madness — Jessica Karl [What’s the World Got in Store](? March 26: Conference Board consumer confidence March 28: U. of Michigan consumer sentiment - Dollar Stores [Have Forgotten]( Who Made Them Rich — Leticia Miranda - No Appetite for Olive Garden [Is Just Fine]( With the Fed — Jonathan Levin March 28: GDP quarter over quarter - Another Budget Fudge, [Another Opportunity Wasted]( — The Editors [House of Pain]( Fans’ traditions are essential to the sports experience, and this is the best one in college football — or at least the only one that measures on the [Richter scale](: Another tradition, unfortunately, is team owners basically extorting their communities to pay for those shiny new stadiums by threatening to take their teams to more welcoming (i.e. dumber) cities willing to shell out public money on white elephants. The latest runarounds came in Virginia and Chicago. But on the former, says Nia Malika Henderson, elected officials [gave 110%]( and [brought their A game]( and [fought like warriors]( when their [backs]( [were]( [against]( the [wall](.[3](#footnote-3) “Virginia state lawmakers did something rare,” Nia-Malika [writes](. “Faced with the chance to bring two professional sports teams to the Commonwealth, [they blocked]( the sweetheart arena deal that was to be Republican Governor Glenn Youngkin’s crowning achievement. Other lawmakers and voters should take note and recognize what has been plainly obvious for decades. Sports venues benefit billionaire owners and rarely bring the promised local economic benefits to communities and taxpayers … if that means that teams go elsewhere, so be it. ” Meanwhile, in the Windy City, the Bears have pulled a [fumblerooski]( on Arlington Heights, a suburb 30 miles from Soldier Field, the team’s current home. “In a surprise shift (though some call it the plan all along), the team announced last Monday that it’s [committed to spending $2 billion toward a domed stadium in downtown Chicago](, which may require public funding, too,” writes Adam Minter (yes, Adam’s had a busy week). “Good. Suburban stadiums are an idea whose time has passed. If public money is involved, proponents claim that the new venue promotes economic development. But they typically fail at that.” Adam is from Minnesota and thus has an unfortunate affinity for domed stadiums, like this one! Man, I could watch that a zillion times and still laugh. “A domed stadium (preferably completely privately funded) to replace the small and aging Soldier Field will be an excellent enhancement to the entire area,” Adam [writes](. “Not only would the Bears have a new home, but Chicago would gain an all-year facility to host events like concerts during the long winter. It may not generate huge economic returns, but it will be an amenity that can boost the quality of life across Chicago, not just in the suburbs.” Possibly, but I’m not sure a franchise that has [lost 10 straight]( to my Green Bay Packers is going to boost anybody’s quality of life. Notes: Please send [vintage Sambas]( and feedback to Tobin Harshaw at tharshaw@bloomberg.net. [Sign up here]( and follow us on [Threads](, [TikTok](, [Twitter](, [Instagram]( and [Facebook](. [1] This, unlike so many sports quotes from the likes of [Vince Lombardi]( and [Yogi Berra](, seems not to be apocryphal, at least according to Sports Illustrated. [2] Concurrently, my daughter made somewhat less as an art history major at USC. [3] I have performed a public service here by filling your March Madness announcers' cliche quota, allowing you to turn off the sound during the games. Follow Us Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. Before it’s here, it’s on the Bloomberg Terminal. Find out more about how the Terminal delivers information and analysis that financial professionals can’t find anywhere else. [Learn more](. Want to sponsor this newsletter? [Get in touch here](. You received this message because you are subscribed to Bloomberg's Opinion Today newsletter. If a friend forwarded you this message, [sign up here]( to get it in your inbox. 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