On Thursday evening, the Ohio State University and Nike reached an agreement for a new $252 million, 15-year contract. The massive deal surpasses the $250 million contract between Texas and Nike from October, as well as Michigan's $169 million deal from July. Ohio State's previous contract with Nike was an 11-year, $46 million deal that was set to expire in 2018. Rather than wait it out, they signed an extension that is officially the most lucrative deal in college sports history.
Ohio State will receive a whopping $112 million in Nike product, as well as a guaranteed $103 million dollars in cash, which could be as much as $116 after expected royalties, according to documents obtained by Land-Grant Holy Land.
Ohio State athletic director and vice president, Gene Smith, had the following to say about the deal:
"We approached this as a university contract, not one that’s purely focused on athletics. Under this partnership, every student — whether they play club sports, Division I sports or no sports at all — will be eligible to benefit."
Nike North America President and GM, Joaquin Hidalgo, also commented:
"The Ohio State University has been a NIKE partner for over two decades and we’re delighted to extend that partnership with the school through the 2033 academic year. NIKE and Ohio State share similar values of innovation and a commitment to excellence, and we look forward to an exciting future both on and off the field for years to come."
The deal isn't just all cash and good for OSU, athletics, however.
In addition to the record amount of money, the contracts obtained by Land-Grant Holy Land specify more than $41 million to go to areas beyond athletics. $15 million in cash and $8.5 million in products will go to student-focused initiatives outside sports and 90 internships (two per year for non-athletes) will be offered to Ohio State students. The sports giant will also sponsor $2.5 million in scholarships for financial aid endowment.
The full news release from Ohio State can found here.
Not only can Ohio State fans rejoice at the prospect of having cutting-edge, Ohio State-themed Nike gear available to them for the foreseeable future, but there is some extra enjoyment to be taken from the fact that the university was able to coax $2 million more out of Nike than Texas, setting a Nike record.
But the best part of all?
Michigan deal with Nike is worth $15.3M in cash & product a year. Ohio State's new deal, according to report, would be worth $16.8M a year.— Darren Rovell (@darrenrovell) January 14, 2016
Whoops. Sorry, Michigan.