[HN Gopher] College baseball, venture capital, and the long maybe
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       College baseball, venture capital, and the long maybe
        
       Author : bcantrill
       Score  : 113 points
       Date   : 2025-06-16 16:20 UTC (4 days ago)
        
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       | jgalt212 wrote:
       | > but for the revenue sports (football, basketball, hockey,
       | baseball)
       | 
       | I think that list is two items too long.
        
         | dustincoates wrote:
         | Here are more details on this:
         | https://augustafreepress.com/news/public-records-request-is-...
         | 
         | UVA baseball lost >$3 million in 2023 off of $1.7 million
         | revenue. UVA football (a middling program) meanwhile is making
         | a profit of over $20 million.
         | 
         | Baseball is nowhere close to football. I'd be surprised if
         | college baseball was making more revenue than minor league
         | baseball.
        
           | sounds wrote:
           | Adding the college men's basketball numbers, from [1]:
           | 
           | 1. Duke University $45.1M
           | 
           | 2. Syracuse University $34.2M
           | 
           | 3. University of North Carolina at Chapel Hill $32.0M
           | 
           | [1] https://www.2adays.com/blog/top-10-division-i-basketball-
           | pro...
        
           | ghaff wrote:
           | As far as I know US collegiate baseball may be bigger at some
           | schools but is mostly a marginal spectator thing overall.
           | Hockey is certainly very regional but, in my experience, is a
           | fairly big thing in the North especially at schools with good
           | teams. In fact, I went to a school where hockey almost
           | certainly had larger paid crowds than basketball.
        
             | quickthrowman wrote:
             | There are 4x as many teams in the NCAA Div I national
             | championships for basketball than there are for hockey.
             | 
             | That being said, hockey is extremely popular at some
             | schools; Gopher hockey is more popular (with both students
             | and alumni) than Gopher basketball at the University of
             | Minnesota.
        
               | ghaff wrote:
               | I always went to northern schools so my perception is
               | probably skewed. Played intramurals in grad school with
               | someone who went to Minnesota. I've just never gone
               | anywhere that basketball was a particularly big deal (and
               | was never into it myself). Hockey was the thing for my
               | grad school crowds. But obviously college basketball is a
               | big deal more broadly. Final four and all that.
        
               | quickthrowman wrote:
               | Yeah I'm from MN so my perspective is skewed too.
               | 
               | 6 of the 64 schools with Div I NCAA hockey teams are
               | located in my state, and 5 of them are small state or
               | private schools. Massachusetts has 10, New York has 11,
               | Michigan has 7.
               | 
               | Over half of the Div I hockey teams are in the four
               | states mentioned above.
        
         | csa wrote:
         | > I think that list is two items too long.
         | 
         | This was my thought as well, at least for college sports.
         | 
         | That said, based on the article, I imagine that the author is
         | referring to the big revenue _professional_ sports ("the IPO"
         | outcome). Assuming that's the case, these four are definitely
         | the largest in the US by a lot.
        
         | PaulHoule wrote:
         | My understanding is the baseball program at my Uni is carried
         | by a single rich donor. I used to have a view of the baseball
         | field out my office window but it got evicted to build a
         | computer science building which is almost done. The new field
         | is off campus and beautiful and fan friendly. It had one small
         | set of bleachers before but now they fill the parking lot and
         | set up a shuttle bus to ferry people in from a nearby shopping
         | center.
         | 
         | Most of our sports teams play teams that are a bus ride away,
         | but the baseball season starts early when it is too cold to
         | play or spectate in upstate NY so they spend a lot on airplane
         | tickets to play teams down south.
        
           | justinkuang wrote:
           | Let's go red :)
        
         | monster_truck wrote:
         | College baseball and hockey are 'only' good for a couple
         | million a year in the best cases, but it's still revenue.
        
         | CivBase wrote:
         | Agreed. The tiny amount of revenue from college hockey and
         | baseball is insignificant compared to the cost of opperation -
         | especially with how far teams often need to travel now thanks
         | to conference realignments.
        
         | RandallBrown wrote:
         | I think it depends a lot on the school.
         | 
         | Hockey is very popular at some universities and probably makes
         | at least _some_ profit for the school. (I 'm thinking
         | University of Michigan as an example.)
        
         | doctorpangloss wrote:
         | The description of VC fundraising has a similar energy.
        
       | alexpotato wrote:
       | There is a great quote from Michael Lewis:
       | 
       | "If hedge funds could buy universities and then split them up so
       | that the HF keeps the sports programs and they sell off the
       | academic departments, they would most definitely do that"
        
         | prasadjoglekar wrote:
         | Universities are already doing this. Those with modestly large
         | endowments are functionally private equity firms whose job is
         | to generate enough cash flow to pay themselves, top admins,
         | sports coaches and profs.
         | 
         | Academics, research, govt grants etc. are all means to that
         | end.
         | 
         | https://www.harvardmagazine.com/2025/05/harvard-salaries-top...
        
           | par1970 wrote:
           | How is that the same thing?
        
             | prasadjoglekar wrote:
             | How are college endowments similar to hedge funds?
             | 
             | For one, they put money into hedge funds as investors. And
             | broadly, they're long on illiquid investments but have
             | short term obligations for salaries, pensions etc. That's a
             | hedge fund with a slightly different time horizon and
             | intent.
             | 
             | Some of those short term obligations are covered thru
             | grants, fed money. But when that dries up (eg, Harvard and
             | Trump), you're squeezed.
        
           | vonneumannstan wrote:
           | Is there any evidence that universities with large endowments
           | are paying coaches with them?
        
             | Raidion wrote:
             | Money is fungible, doesn't really matter what source the
             | money comes from other than optics.
        
               | Kevin_S wrote:
               | This isn't really fair I think. Academic money is
               | actually not fungible - it can't be used to fund
               | athletics, and vice versa. Just because both pots are
               | relatively large doesn't mean that the money itself is
               | fungible.
        
               | WalterBright wrote:
               | https://news.ycombinator.com/item?id=44328786 nailed it.
        
               | vonneumannstan wrote:
               | Maybe but most endowments actually have "legally?" bound
               | or otherwise contracted uses in universities. Thats why
               | Harvard can't just tap it's endowment to fund research
               | the current Admin has cut. So I'm doubting that
               | endowments are being used in this way to pay coaches.
        
               | 98codes wrote:
               | Sure, but if an endowment is paying for, say, the
               | football coaching staff, then that leaves that much more
               | money free in the general fund to pay for other things.
               | 
               | If the endowment is paying for something that otherwise
               | wouldn't be paid for generally, that's a different story.
        
           | PaulHoule wrote:
           | Sports programs don't always or even usually make a profit.
           | 
           | https://www.bestcolleges.com/news/analysis/2020/11/20/do-
           | col...
        
             | LanceH wrote:
             | They don't return a net gain to the university, perhaps,
             | but the people running them and advocating them are
             | profiting nicely.
        
             | slg wrote:
             | In my opinion, this is like complaining that the US Postal
             | Service isn't profitable. It isn't a business, framing it
             | in terms of profitability is missing the whole reason it
             | exists. No one expects a middle school soccer team or a
             | university's drama department to be profitable, but we
             | still invest in those things because we as a society think
             | it is valuable for students. College sports has value
             | beyond the money people pay to watch it.
        
               | tuna74 wrote:
               | You don't pay the director of a university's drama
               | department millions of dollars per year. Successful
               | football and basketball coaches get paid those kind of
               | sums.
        
               | slg wrote:
               | What specifically is the problem with that? Do you think
               | a "director of a university's drama department" brings
               | the same value to a university as "Successful football
               | and basketball coaches"?
        
               | Uvix wrote:
               | No, I think the director of the drama department brings
               | _more_ value.
        
               | slg wrote:
               | And is this opinion supported by anything beyond a
               | distaste for sports? Because it is objectively wrong at
               | the extremes.[1]
               | 
               | [1] - https://www.al.com/news/2024/01/what-economic-
               | impact-has-nic...
        
               | Zigurd wrote:
               | CMU for example, is known for the school of computer
               | science, and the arts, especially drama, though some
               | people might know it better for Andy Warhol having been
               | an alum.
               | 
               | That's how an elite university should operate. Sport is
               | fine. It's healthy. But warping the educational mission
               | to feed the maw of an exploitative sports economy is
               | something no university should be involved in.
               | 
               | What next? MMA as a college sport? It's a free country:
               | beat each other's brains out. But to pretend that US
               | college sports is anything but a grotesque distortion is
               | disingenuous.
        
               | Zigurd wrote:
               | "College sports has value beyond the money people pay to
               | watch it."
               | 
               | Debatable. Any college sports program could be dialed
               | back to point where it isn't being subsidized by the
               | primary mission of the university. American college
               | sports is a global outlier. On that basis alone, I would
               | bet that arguments for the value of college sports don't
               | hold water.
        
               | slg wrote:
               | I'm sorry, it's not debatable. People who don't like
               | sports tend to really struggle to actually consider the
               | larger ecosystem that exists around sports and sports
               | fandom. For example, there is a widely studied phenomenon
               | that a successful sports team leads to increased
               | applications, which in turn allows a school to be more
               | selective and thereby increases the school's academic
               | standing[1]. You can make all sorts of debates over how
               | strong this impact is or whether it is a particularly
               | efficient way to raise a school's standing, but there is
               | clearly some value here being generated "beyond the money
               | people pay to watch it."
               | 
               | [1] - https://www.forbes.com/sites/hbsworkingknowledge/20
               | 13/04/29/...
        
               | analog31 wrote:
               | Are selectivity and academic standing beneficial to
               | society overall? Maybe we'd be better off more broadly
               | supporting higher education rather than turning it into a
               | weird competition based on non-academically-related
               | marketing.
        
               | analog31 wrote:
               | What's happened with Division-1 college revenue sports is
               | that the word "students" has been mangled beyond
               | recognition. Meanwhile the investment in the drama
               | department is in perpetual decline.
               | 
               | The question in my mind is if society would be better off
               | recognizing the athletes as "workers" instead of as
               | "students."
               | 
               | To offer a bit of contrast, I attended a Division-3
               | college where the starting quarterback was a physics
               | major, and the captain of the basketball team majored in
               | chemistry. When a Divsion-1 football player majors in a
               | substantive discipline, it makes the national news.
        
             | senderista wrote:
             | Even less reason for them to exist then.
        
         | saghm wrote:
         | Honestly, even from a non-financial perspective, splitting them
         | up just makes sense to me. It's baffling to me that we've come
         | up with a system that essentially combines minor league sports
         | teams with academic institutions of higher learning.
        
           | ghaff wrote:
           | Except it's sort of a poor correlation. Without making a
           | study of it the best US collegiate football programs at least
           | tend to be large state universities--which, don't get me
           | wrong, are often good schools if you want them to be for you
           | --but tend not to be the schools that come up in discussions
           | of large endowments and the like. Basketball is more of a
           | mixed bag in that it can rely on one or two star players and
           | hockey, as I wrote elsewhere, is very regional and relatively
           | small schools in the North have very good teams from time to
           | time.
        
             | t_mann wrote:
             | The GP says it's baffling to combine sports teams with
             | academic institutions, and you're saying it's not because
             | those that do tend to have smaller endowments? Talk about a
             | non sequitur
        
               | ghaff wrote:
               | I do think that sports are part of the college/university
               | experience which you are of course free to disagree with.
               | There are, of course, smaller schools that have
               | relatively minimal athletic programs. Without making a
               | scientific study of it, I also don't think the biggest
               | endowments really correlate to the biggest and most
               | successful sports programs, especially in football.
        
               | WalterBright wrote:
               | At Caltech when I attended, the football team was known
               | to proudly lose every game.
        
           | nradov wrote:
           | You're not thinking things through. Splitting off sports from
           | academics would wreck alumni fundraising for a lot of
           | schools. For better or worse, when the team wins the alumni
           | open their wallets. And the less lucrative sports would
           | essentially disappear (especially for women).
        
         | mathattack wrote:
         | Some universities with large endowments used to be referred to
         | as hedge funds that happened to have professors. Now they
         | happen to have pro sports teams too.
        
       | petethepig wrote:
       | Not the first time i see such comparison being made, but it is
       | the first time I see someone go into so much detail about it --
       | great read.
        
       | aitacobell wrote:
       | I was surprised at how much sense this made
        
       | josu wrote:
       | This reads as if it were written by a LLM.
        
         | apples_oranges wrote:
         | You were probably downvoted because the comment doesn't add
         | much value to the convo, but I agree, it was a bit difficult to
         | read. But still interesting.. :)
        
       | btrautsc wrote:
       | I thoroughly enjoyed this read
        
       | system7rocks wrote:
       | A profoundly wise and great article.
       | 
       | My son is a big kid and is playing high school football. It was
       | not on our radar, so we have begun to navigate these kinds of
       | questions. Like - do you want to play at the next level? What do
       | you even need to do if you would like to? But also the
       | realization of how much money is made off of these kids and how
       | cruel and unforgiving it can be.
        
         | mayoff wrote:
         | Have you heard of CTE?
         | 
         | https://www.bu.edu/articles/2017/cte-former-nfl-players/
        
           | WalterBright wrote:
           | I've always suspected that to be true, even as a kid. I
           | wonder about the soccer players "heading" the ball. No
           | thanks.
        
             | anthomtb wrote:
             | The ball for soccer/association football is fairly pliable
             | and headers are not that common. You also don't see players
             | obviously dazed or knocked out after heading the ball. I
             | have to think the damage from soccer headers, if any, is
             | orders of magnitude below that of American Football.
             | 
             | I didn't spend much time researching but here is one
             | article backing up my assertion:
             | https://www.orthocarolina.com/blog/heading-the-ball-in-
             | socce...
             | 
             | Edit: I am happy to see good research supported that
             | headers can cause damage. However, please note that I am
             | suggesting headers in Association Football are much less
             | damaging compared with American Football, as a opposed to a
             | complete avoidance of damage.
        
               | criddell wrote:
               | And here's one article saying the opposite:
               | 
               | https://magazine.columbia.edu/article/heading-soccer-
               | ball-do...
        
               | tomjakubowski wrote:
               | Even if headers themselves are safe for brains (and there
               | is some evidence they're not), going for one puts you at
               | increased risk for an unpadded, head-to-head collision
               | with your opponent. That kind of thing we do know is bad
               | for brain health.
        
               | slg wrote:
               | Matters of health are probably the wrong ones to
               | speculate on or try to speak authoritatively about when
               | you "didn't spend much time researching" them. CTE can be
               | a problem in soccer specifically because "Evidence
               | indicates that repetitive concussive and _subconcussive_
               | blows to the head cause CTE "[emphasis mine][1]. You
               | don't need to be "dazed or knocked out" to cause damage.
               | Suggesting otherwise is dangerous.
               | 
               | [1] - https://en.wikipedia.org/wiki/Chronic_traumatic_enc
               | ephalopat...
        
               | triceratops wrote:
               | There's plenty of recent news coverage linking soccer
               | players and dementia. https://www.theguardian.com/footbal
               | l/2023/mar/16/footballers...
        
               | WalterBright wrote:
               | The thresholds for brain damage keep getting revised
               | downwards.
               | 
               | "60 Minutes" recently ran a segment where soldiers
               | experiencing a lot of gunshot sounds get brain damage,
               | too. The result is soldier training is now done with
               | rounds that are much quieter.
               | 
               | P.S. as a kid, I was a miserable failure at baseball. The
               | reason was I did not want to get smacked in the head with
               | a hardball. I avoided the ball. That didn't please the
               | coach at all.
        
               | Ekaros wrote:
               | Less damaging. But still damaging. Compare smoking a
               | cigarette a day to a pack. Clearly less is more healthy,
               | but still not healthy and probably should mostly be
               | avoided all together.
        
             | Kon-Peki wrote:
             | IFAB doesn't directly restrict heading, but permits each
             | national FA to place their own restrictions at the
             | grassroots level.
             | 
             | The US adopted restrictions 10 years ago. No heading at all
             | for age 10 and under (indirect free kick to the opponent
             | for violations). Under 13 years old coaches are required to
             | keep track of heading and limit any individual player to
             | fewer than 25 per week total between training and matches.
             | 
             | The English FA also has adopted rules limiting heading for
             | youth. I image most of Europe has as well.
        
               | WalterBright wrote:
               | That's good progress. But I don't see any reason to
               | believe that heading is dangerous for kids but safe for
               | older people.
        
               | sharkjacobs wrote:
               | smoking's not more dangerous for kids either, that's not
               | why there's age restrictions on cigarettes
        
               | triceratops wrote:
               | Older people are better-able to decide if the risk is
               | acceptable. Personally I'd like to see heading limited to
               | over-16s.
        
             | triceratops wrote:
             | The current guidance is no/limited heading for youth soccer
             | players. [1]
             | 
             | Futsal, a small-sided variant of soccer, has way less
             | heading because of the type of ball and how the game is
             | played. It also teaches excellent technical skills, so it's
             | great for kids who want to play regular soccer later on.
             | [2] If as a society we continue the trend towards less and
             | less acceptability of brain injury risk in sports, then
             | futsal may well become the more-popular form of soccer.
             | 
             | 1. https://usclubsoccer.org/headinjuries/
             | 
             | 2. https://en.wikipedia.org/wiki/Futsal
        
         | vitaflo wrote:
         | It's not as cruel as it used to be with NIL.
        
       | g0xA52A2A wrote:
       | The latest Oxide and Friends podcast episode is - as one may
       | expect - a great pairing if you enjoyed reading this.
       | 
       | https://youtu.be/3z_TQxe9jx4
        
       | ungreased0675 wrote:
       | I'm not sure how or when, but it seems inevitable that college
       | sports will be split off into club teams or some kind of minor
       | leagues.
       | 
       | For the big sports like football, the college part seems barely
       | relevant to the sport, it's mostly just a logo and color scheme.
       | The players don't even go to most classes, it's online, and there
       | are full-time tutors assisting with every assignment. When they
       | do have to physically attend class, someone drives them there on
       | a golf cart, in order to minimize time spent on academic work.
       | It's not at all a normal college experience.
        
         | RandallBrown wrote:
         | I don't really see this happening just because of how closely
         | sports ties in with the identity of the schools. I don't see
         | them ever giving that up. As a graduate of a school with a
         | massive football program, I don't want them to.
         | 
         | It would also mean the death of most college sports in general
         | and sports like rowing or field hockey might just cease to
         | exist (at the level they're currently played) since they won't
         | have sports like football and basketball paying for them.
         | 
         | I'm not sure it's important that all of the athletes have a
         | "normal" college experience. Just that they leave school
         | prepared to be productive members of society.
        
           | Ekaros wrote:
           | I see no reason why those hobbies should not have their
           | participants fund them themselves. Or get some direct
           | donations from alumni. Or raise funds somehow.
        
             | RandallBrown wrote:
             | That's why I added the qualifier "at the level they're
             | currently played" because right now those sports all get
             | access to extremely high level facilities that simply
             | wouldn't exist without cash cow sports like football.
        
         | Zigurd wrote:
         | That's perfectly sensible. While there are notable exceptions
         | who have made it work, there aren't enough hours in the day to
         | be an elite athlete and get a good education. Full contact
         | sports add the danger of injury. If you want to put on a show
         | pay the people in the show for their time and risk.
        
       | zemvpferreira wrote:
       | I think you can extend this transposition across a lot more
       | career paths: athletes, entrepreneurs, musicians, models, film
       | directors, etc. Any career where the financial outcome can be
       | described by a power law follows the same dynamics, has the same
       | gatekeepers, who have the same abusive/sycophantic relationships
       | to market participants.
       | 
       | When I was raising VC I related more to struggling artist than
       | employed technologists. Being constantly rejected, needing to be
       | seen as more gifted than the competition and the goddamn urgency
       | to catch on fire yesterday were the same and we got along great
       | even if we understood and cared nothing about each other's work.
       | 
       | People who are considering one of these paths have an opportunity
       | to learn from folks who might not do what they do exactly, but
       | have been in the same sort of system. To realise the
       | relationships they're buying into, the price they'll need to pay
       | for a shot at stardom and to think if it's really an experience
       | they can afford.
        
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