SBJ Morning Buzzcast

SBJ Morning Buzzcast: June 20, 2023

Episode Summary

The Messi details; Marty Walsh's POV three-months in and the stories of Peter Gammons.

Episode Transcription

Omaha, Nebraska and the Men's College World Series is certainly on my bucket list. Like women's softball, I find the games filled with energy and great pace, and really enjoy the quality of play in this tournament. I hope you'll check out some of the action.

And this is your Morning Buzzcast for Tuesday, June 20th. Good morning, I'm Abe Madkour.

In a seismic move for Major League Soccer and soccer in Miami, Lionel Messi will start playing with Inter Miami in late July as part of a new deal worth 50 to $60 million per year. Now that salary includes his annual salary as well as a signing bonus and equity in Inter Miami. It does not include any additional compensation Messi is expected to receive from some of MLSs largest partners, including Apple, Adidas, and Fanatics.

Now, the Messi deal will span two and a half years through 2025s MLS season and include a player option for the 26 season.

Now, SBJ's Alex Silverman reported that neither MLS nor any of the 28 other clubs are subsidizing the Messi deal, and no roster rules are being changed to accommodate Messi's addition to the Inter Miami roster.

Now the deals with Apple, Adidas, and Fanatics are still being negotiated, and are expected to compensate Messi based on his impact on the commercial aspects of the league, such as a percentage of revenue from jersey sales or percentage of revenue from the new MLS season pass subscriptions with Apple.

Now, Inter Miami is expecting to see such a boost in interest for their games that the team is moving quickly to take advantage of this Messi effect, as the team is adding 3,200 seats to the corners of its DRV PNK Stadium, that's the team's home in Fort Lauderdale. Those 3,200 seats are being fast-tracked and should be done ahead of Messi's debut in late July.

So they're moving fast to take advantage. This could have, like I said, significant impact for Major League Soccer in America and the growth of the MLS fan base.

Meanwhile, more details were shared of Messi's arrangement with Saudi Arabia to promote that country. It's a very interesting story out of the New York Times, which reported that he could receive as much as $25 million over three years for not a lot of work.

He has to do a few commercial appearances, a few social media posts, and he has to visit Saudi Arabia with his family and his children. For example, he gets $2 million for promoting Saudi Arabia on his social media account 10 times a year. He gets another $2 million to participate in an annual tourism campaign for Saudi Arabia. So very interesting insight into his relationship with Saudi Arabia. As part of the deal, Messi reportedly cannot say anything that might portray Saudi Arabia in a negative light.

So this week kicks off with some big news around the soccer world in the United States.

Speaking of big stories, the great story of Wyndham Clark winning the US Open had a shelf life of only about a few hours. Before Monday, there was more coverage and conversation on the PGA Tours new business relationship with Saudi Arabia.

First, Tom Watson, eight time major winner, wrote a letter to PGA Tour Commissioner, Jay Monahan, asking for more details about the PGA Tour's partnership with the Saudi Arabian government and the role with LIV Golf. He wondered in the letter whether the deal was the only way to solve the PGA Tour's financial challenges.

Meanwhile, the PGA Tour's Players Advisory Council is meeting today on Tuesday ahead of the Traveler's Championship in Connecticut. PGA Tour Commissioner, Jay Monahan, is not expected to attend.

Remember, he stepped away because of a medical situation last week. But more details are starting to emerge on the agreement. The AP cited sources saying that the deal contains assurances the PGA Tour will keep a controlling voting interest in this new commercial entity regardless of how much Saudi Arabia contributes.

And sources also say the new company's board would have a majority representation that is appointed by the PGA Tour. So everybody's wondering who has majority decision making power with this new commercial entity?

Meanwhile, leaders in Washington are also interested in learning more, as Democratic senator from Connecticut, Richard Blumenthal, hinted that congressional hearings could be held within weeks. He is chairman of the Permanent Subcommittee on Investigations, and he said the subcommittee wants facts on what went into the deal and who was behind it, and details on the structure and governance.

Meanwhile, multiple PGA Tour players have been requested to be part of a virtual meeting with the committee, which is surely not going to go over well with the players.

So more and more news regarding the PGA Tours deal with Saudi Arabia's Public Investment Fund.

On the Buzzcast, we have talked about two political leaders from Massachusetts who are playing key roles now in sports business.

One is you have former governor, Charlie Baker, receiving high marks during his first few months on the job at the NCAA, and you have former mayor of Boston, Marty Walsh, who is three months into his role as the NHLPA executive director.

Now, Marty Walsh has been on a constant road show to learn what is important to the hockey players. And in a recent profile, he acknowledged that he's talking a lot about the situation around the Arizona Coyotes. He's talking a lot about the salary cap and future international competition.

He did say he's spending a lot of time with players in Arizona, and he called the team situation where they're playing in a college arena, "Not right and not good for the game."

And he admits he's met with more players from the Coyotes than any other organization. He also said that players want to return to the Olympics, they want a future world cup of hockey, and they want the salary cap to continue to grow.

He called his relationship with NHL Commissioner Gary Bettman as very cordial. He said the position is more like his role as Mayor of Boston than US Secretary of Labor, because he says every day comes one issue after another that just pops up unexpectedly that he has to deal with.

But the early word from people I've spoken to on Marty Walsh has been positive from those who have dealt with him. And I would expect he'd get pretty active in finding a long-term solution for the Coyotes and likely bring on some of his own confidants after his listening tour, and when he feels he is ready to act on some issues.

One story we haven't talked about a ton on the Buzzcast is the ambitious plans for the Jacksonville Jaguars who are doing a massive renovation of their home stadium, along with a significant mixed-use development right next to the facility.

And so the team is actively looking for alternative places to play in the future. All in, this may end up being a $2 billion project, so it's going to displace the team for a bit. And one facility the Jags have spoken with is the Daytona International Speedway about Daytona possibly hosting the team as its facility gets renovated.

But others believe a more natural selection could be the home of the University of Florida, as well as Orlando's Camping World Stadium. An influential sports columnist in Jacksonville, Gene Frenette, believes that while local fans won't want to travel outside of Jacksonville for a couple of years to watch the Jags, moving games to University of Florida or Camping World Stadium are the best options, as renovating Daytona International Speedway for the NFL would likely be a tall task.

His message to Jags fans is that playing games out of town for two years is a small price to pay for having a beautifully renovated stadium, a mixed-use development, plus knowing that the team would be locked in to a lease in Jacksonville for the next 25 to 30 years. But this is a story certainly worth watching.

One company we talk a lot about, Fanatics, doesn't slow down. And Fanatics continues to grow, as the company and the Pittsburgh Pirates are officially opening a new flagship team store at PNC Park that will have two times the retail space as the previous store at the ballpark.

Meanwhile, this new store kicks off a recent 10-year extension between Fanatics and the Pirates. You may find this hard to believe, but Fanatics has signed a pretty significant deal with LaLiga, and this is the first deal that Fanatics has signed of this level in Europe.

We know of their deals across sports leagues in the United States, but this deal with LaLiga is Fanatics' first deal in Europe. And so now the company easily looking to broaden its global business.

And finally, if you have the chance to read one story this week, I certainly hope you'll spend some time with SBJ's cover story as Tom Friend profiles legendary baseball reporter, Peter Gammons, who changed the way baseball was reported.

The story is a terrific look at Gammons' influence, not just at the Boston Globe, but at Sports Illustrated, ESPN, and MLB network. It also showcases his long coaching tree of the talented sports writers who followed in his footsteps and who he helped thrive.

Indeed, my love of sports and writing started by reading the Boston Globe. I grew up in a small Vermont town. I would beg dad to buy the Globe for its outstanding sports coverage.

I could spend all morning reading the Sunday Globe. My dad would buy it as a treat after going to Sunday Mass. And I fell in love with the Sunday notebook of Peter Gammons. I never missed it, and I would spend all week rereading it for details.

My dad was always frustrated, would have to ask me to give him the section because he always missed it. But Peter Gammons style and substance was a huge influence on me, and is one of the reasons I followed a career in sports journalism, as did many.

Peter Gammons influenced a whole generation. And so I hope you can find the time to read this profile of a man who clearly revolutionized sports reporting.

And that is your Morning Buzzcast for Tuesday, June 20th. I'm Abe Madkour. Stay healthy, be good to each other. I'll speak to you tomorrow.