Paterno: What's Happening in College Football Is Not a Sustainable Business Model

Arizona State head coach Kenny Dillingham has highlighted the financial challenges facing college football by urging a wealthy donor to contribute $20 million annually to support the program. This request underscores a growing issue in college athletics where the financial demands of maintaining competitive teams are clashing with traditional funding methods and university priorities. The financial model, increasingly reliant on large donor contributions, raises concerns about sustainability and donor influence over athletic programs.

Historically, significant donor involvement has led to instances where contributors wield substantial power, sometimes even influencing hiring and firing decisions. The rising costs associated with player salaries, facilitated by transfer portals and NIL (Name, Image, and Likeness) agreements, are pushing universities to seek new revenue streams. This financial pressure is impacting budgets for academic support and other sports programs.

The situation is further complicated by legal rulings, such as the 2021 Supreme Court decision in the Alston case, which challenged the NCAA's traditional business model. As financial strains continue, some universities are exploring private equity