ACC announces 'success incentive initiative' as part of future revenue-sharing agreement
The ACC has seemingly come to an agreement on revenue sharing after a contentious week of meetings last week.
The ACC Board of Directors announced Wednesday that it has endorsed a plan to install a “success incentive initiative” in the league’s revenue-sharing plan for the 2024-25 academic year.
The plan, which has not yet been finalized, would reward programs who achieve a higher level of success in the postseason of revenue-generating sports.
“Today’s endorsement follows significant and meaningful conversations by the ACC Board of Directors,” ACC Commissioner Jim Phillips said in a statement. “To be certain, I applaud their thoughtfulness and continued commitment to working collectively. As we’ve communicated consistently, we remain dedicated to exploring all options to enhance support for our member institutions and their student-athletes.”
The league’s media rights distributions will continue to be split evenly amongst its members, according to the announcement.
This news comes after some of the ACC’s members — dubbed the “Magnificent 7” — reportedly reviewed the ACC’s Grant-of-Rights agreement in an attempt to gain leverage in negotiations with the rest of the league. The ACC’s current media deal runs through 2036 and is expected to lag behind deals made by the SEC and Big Ten.
Programs like Florida State, Clemson, North Carolina and Miami have been searching for ways close that anticipated revenue gap. NC State, Virginia and Virginia Tech are the other programs under the ‘Magnificent 7’ umbrella.
The ACC will continue to explore additional revenue-generating opportunities, the league said in the announcement.
“The ACC Board of Directors continues to be committed to exploring all potential opportunities that will result in additional revenues and resources for the conference,” ACC Board of Directors Chair and Duke University President Vincent E. Price said in a statement. “Today’s decision provides a path to reward athletic success while also distributing additional revenue to the full membership.”