Ok, now the NIL business is getting crazier

PublishedMay 30, 2025 12:18 PM EDT•UpdatedMay 30, 2025 12:18 PM EDT

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If you’re wondering how crazy things have gotten in college athletics over the past few years when it comes to paying players with NIL deals, look no further than high school athletes being compensated for staying committed to a particular school leading up to their actual signing. 

While we wait to see how the House settlement will play out over the next few years, if approved, there has been a run on making sure high school or transfer portal athletes are taken care of financially before enrolling at whichever school they commit to. 

Right now, there are a plethora of colleges making sure to get a good chunk of an athlete’s contract off the books before the July 1st start date for revenue-sharing. What we’ve seen over the past few months has been fascinating, to say the least. A number of high-profile transfer portal players are being paid up-front, which would not count towards the cap that will be put into place this summer. 

But, there has been an interesting tactic used since the inception of NIL that has led to a number of players cashing checks so that they stay committed to one particular school. As we all know, a high school athlete putting out a social media post that declares their intentions of signing is pretty much useless in this current era of college athletics. 

Just two weeks ago, Richard Wesley committed to Oregon by using a very awkward video that included Dan Lanning announcing his loyalty to the Ducks. Sixteen days after that video was released on social media, Wesley decided to de-committ from Oregon, which made that video look even worse for the folks who put it together.

But, is there a way for schools to make sure a prospect stays loyal to the program after committing? Sure, it comes with a financial agreement that some would categorize as shady business. 

Georgia’s Kirby Smart mentioned to Yahoo Sports that some schools, through 3rd party collectives, are paying high school athletes upwards of $20,000 a month for their commitment. 

“Teams that are unusually good at recruiting right now are doing it. Kids are getting money, but if you decommit, you owe that money back,” Smart told Yahoo. “These are high school kids getting money from an entity not affiliated with the university but is a collective of the university.”

That’s right, schools are paying athletes that much money to make sure they stay loyal to their program in the months leading up to their actual signing. 

While Kirby Smart might’ve pointed out that athletes would have to pay that money back if they decided to go elsewhere, how a collective would actually recoup that money is the better question. What are they going to do when the athlete decides that he’s not going to pay them back? Are you going to sue them? 

Would Collectives Sue High School Athletes Over The Lost Money?

That would go over well in a courtroom. The judge would look at the contract and most likely point out that this is technically pay-for-play, and tell the school that it’s their loss. If you are willing to pay a seventeen-to-eighteen-year-old kid that much money, knowing they could change their minds at any moment, you had better be willing to lose out on that financial investment. 

Right now, we are seeing some programs come in at the last second and offer a young athlete twice as much at the last second to steal them away. So, if a player is committed for six months, and has already taken upwards of $70,000 to the bank off signing an NIL deal with a shady clause that paid them for their commitment, the collective has to understand the risk they took was not guaranteed. 

It should also be noted that some high school athletes are demanding a ‘visit fee’, which can be upwards of $3,000 just to come to a school’s campus for a tour and meet with the coaching staff. But none of this part is new to college athletics, it’s just being discussed more now. 

A lot of these financial agreements that we are seeing right now in college athletics are getting out of hand, but the high school athlete is not going to care about screwing over one school if he’s getting double the amount at another. 

While most of these types of deals will be under intense scrutiny when the House settlement enforcement starts with the NIL clearinghouse, it doesn’t mean some of these college programs aren’t willing to take a risk right now in hopes of it paying off down the road. 

Remember that any NIL deal over $600 will have to be cleared moving forward. But, it will be interesting to watch how many of these deals are flagged when folks start taking a closer look. 

Welcome to the new era of college athletics. 

Let me know what you think. Email me at Trey.Wallace@OutKick.com

Otega Oweh’s decision to withdraw from the NBA Draft and return to Kentucky has sparked debate across college basketball. As analysts weighed the risks and rewards, one recurring theme emerged: Sometimes, the smartest move isn’t the most glamorous. What made Oweh’s return so compelling, and how did Kentucky’s NIL resources tip the scales?

Kentucky’s NIL Power Outshines NBA Draft Uncertainty

As the NBA Draft deadline loomed, Otega Oweh faced a crossroads familiar to many college stars: chase the uncertain promise of a professional contract or return to a collegiate powerhouse with substantial Name, Image, and Likeness (NIL) backing.

According to analysts on the NBA Draft Deadline Reaction show, the choice was clear. “Why would you stay in the NBA draft when it’s not even clear where you’d be picked or … all the same uncertainty stuff that was out there with Fine is also there with Oweh. Why walk through that when you can alternative path just be the best player at Kentucky for millions of dollars?” one analyst remarked, highlighting the practical logic behind Oweh’s decision.

This sentiment was echoed throughout the discussion, with another analyst stating, “Go through the process. I don’t care. Stay in the draft if you want, but like this is always the most sensible thing to do, at least in my mind. I always expected him to do it.”

The panel emphasized that while Oweh’s workouts had boosted his draft stock, the security and financial incentives at Kentucky were simply too strong to ignore.

The analysts also pointed to the broader trend in the SEC, where top programs are leveraging NIL deals to retain elite talent.

“I do what I do not think is a coincidence is that the SEC … when it came time … let’s put it on the table and see what we can get done. Boom boom boom they were able to get it done,” the show noted, underscoring how the NIL era has shifted the balance of power in college basketball.

The Best Player Returns – And So Do the Millions

Oweh’s return is not just a win for Kentucky on the court, but a testament to the evolving landscape of college athletics. “Kentucky being one of the richest programs in NIL, … I would have to believe that Oweh is making north of three million to come back as he should. This is … a blessed existence,” the analyst explained.

The ability to earn millions while starring for a blue-blood program is a game-changer for athletes who might otherwise gamble on a second-round draft slot.

The panel also highlighted Oweh’s unique position.

“You were the best player on Kentucky last season in Pope’s first season. … and now he gets to come back and again be projected to be the best and most important player.” For Oweh, returning means not only financial security but also another year to develop his game and enhance his draft stock in a familiar, supportive environment.

Ultimately, the analysts agreed that Oweh’s move was rooted in common sense.

“Let’s just apply common sense here. Why would you stay in the NBA draft when it’s not even clear where you’d be picked … when you can … just be the best player at Kentucky for millions of dollars? Like it just didn’t even make sense,” the show concluded, capturing the prevailing wisdom among college basketball insiders.

KEEP READING: Why College Basketball Players Keep Transfer Options Open After Declaring for the NBA Draft

Oweh’s decision to return to Kentucky, fueled by the program’s robust NIL resources, reflects a new era in college basketball. For many top players, the “most sensible thing to do” is no longer chasing the NBA at all costs, but maximizing their value where the opportunity is clearest.

College Sports Network has you covered with the latest news, analysis, insights, and trending stories in college football, men’s college basketball, women’s college basketball, and college baseball!

Anthony Davis has mixed feelings about NIL deals.

What Is NIL?

In June 2021, NCAA college athletes were given the opportunity to benefit financially from their name, image, and likeness (NIL) for the first time. This change came after governance bodies across all three NCAA divisions suspended NIL restrictions for current and incoming student-athletes in all sports, according to the NCAA.

However, it was clarified that despite the changes to the NIL landscape, “pay-for-play” arrangements and improper inducements would still not be permitted.

“This is an important day for college athletes since they all are now able to take advantage of name, image and likeness opportunities,” NCAA President Mark Emmert said at the time, per the NCAA. “With the variety of state laws adopted across the country, we will continue to work with Congress to develop a solution that will provide clarity on a national level. The current environment — both legal and legislative — prevents us from providing a more permanent solution and the level of detail student-athletes deserve.”

Anthony Davis’ Concerns Around NIL Deals Explained

The NCAA’s point about clarity was also recently flagged by Davis, a current Dallas Mavericks forward who believes NIL deals have impacted the sport in ways that are not all positive.

“It’s tough, because obviously they didn’t have that when I was in college,” Davis told Sports Illustrated. “It kinda takes away from the game a little bit because of—and I’m not hating—it takes away from the integrity in the sense of players are only going to certain schools because of the money.”

Recently PJ Haggerty transferred to Kansas State University after playing for the University of Memphis and withdrawing from the 2025 NBA Draft. He will now be receiving an NIL deal valued at $2.5 million, securing a $2 million base salary and $500,000 in performance incentives, notes Athlon Sports. Haggerty was reportedly seeking at least $4 million in NIL deals for the 2025–26 season after entering the transfer portal in April and was looking to play point guard rather than shooting guard, per Commercial Appeal.

This move led University of Memphis Head Coach Penny Hardaway to rebuild the team’s roster signing 12 new players. This reinforces additional concerns Davis had about NIL deals and their influence over the transfer portal, whether intentional or not.

“College basketball is still competitive, but the recruitment of it has kinda gotten a little wacky, especially when player can leave and enter the (transfer) portal and go anywhere. It just gets a little tricky,” Davis said, according to Sports Illustrated. “The coaches either a) have to be more strategic with their recruiting, or b) if you don’t have a lot of money for NIL, that kind of takes away your school, your program, as far as being a top recruiter for some of these players.”

He added, “Because one guy can leave the next year, transfer—it gets tough, when you start talking about culture. That kind of goes out the window, in my opinion.”

The decisions of the conferences and ongoing legal battles could redefine College Football’s trajectory. With high stakes on and off the field, the future of college football’s most iconic teams hangs in the balance.

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Joe and Eric go over the latest happenings from SEC Spring Meetings in Destin, Fla. The future of the College Football Playoff, the structure of NIL and the House settlement, and other aspects involved with Texas football like conference schedule were hot topics in Destin. A major thing Texas will have to contend with as it tries to remain competitive in the future is to figure out ways to get corporate sponsorships for “real” NIL to help players get paid above the revenue sharing number.

They then go over the nine-game schedule topic, which Texas wants to see. The future structure of the College Football Playoff will determine whether the league goes to nine games as it does not want to see extra competitive losses cost playoff spots like many in the league believe happened to Alabama in 2024.

They conclude with some of Sarkisian’s comments on linebacker made at Spring Meetings.

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