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Debate

Is the PGA Tour's $1 million fee justified, or just another example of corporate greed?

Anticipation runs high for golf fans with the upcoming event in December. And honestly, they have got a good reason to be. The PGA Tour and LIV golf battle named ‘The Showdown’ is set to take off at the Shadow Creek Golf Club in Las Vegas on December 17. The tournament will feature the top two players from each tour. Notably, the Saudi-backed league is sending Bryson DeChambeau and Brooks Kopeka. On the other hand, the PGA Tour trusts Scottie Scheffler and Rory McIlroy for the upcoming battle.

However, there’s a catch. Well, it’s unexpected, but Scheffler and McIlroy may be required to pay $1 million each to the PGA Tour to participate in the tournament. Now, before you go on with your ‘but that doesn’t make any sense’, let us help you understand.

Phil Mickelson said that the PGA Tour is ‘beyond obnoxious’ to him

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So, it all goes back to the origin of made-for-TV golf, The Match. Remember the 2018 event where Tiger Woods and Phil Mickelson showed their exceptional skills in the event? Well, that’s exactly what we are talking about.

After joining LIV Golf in 2022, Mickelson came forward with the secrets behind every planning of ‘The Match’. We all know fans love watching their favorite players in these big events. That is exactly what the PGA Tour was capitalizing on, according to Mickelson. The golfer said he and the other players were required to pay $1 million to the tour to participate in the event. Mickelson expressed his frustration with the PGA Tour’s media rights policy, referring to the unequal access to his own content.

“They also have access to my shots, access I do not have. They also charge companies to use shots I have hit. And when I did ‘The Match’—there have been five of them—the Tour forced me to pay them $1 million each time. For my own media rights. That type of greed is, to me, beyond obnoxious”, he said, per Pro Golf Now.

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Well, while he may not be wrong, there’s another side to the story. Significantly, the PGA Tour uses the money from signed media rights to secure lucrative television deals. These deals play a substantial part in the heavy tournament purses and Forbes estimates that 60% of the purse comes from rights fees and 40% from sponsors. So it sounds like a give-and-take situation here. Honestly, it works for both parties.

What’s your perspective on:

Is the PGA Tour's $1 million fee justified, or just another example of corporate greed?

Have an interesting take?

However, the question still stands: will Scheffler and McIlroy pay the $1 million as well?

Well, probably not!

The Showdown is ‘independently operated’

So, half of the reason why the PGA Tour player competing in the upcoming event may not be charged $1 million is in the heading. Yes, unlike the old made-for-TV show ‘The Match’. This event breaks free from traditional golf governance by operating independently outside the control of the PGA Tour and LIV Golf. This unprecedented approach enables the sport’s biggest stars an opportunity to hold equity in the event.

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We’re an independently operated event that’s not governed by either of these bodies. Talent rules in this world. You get big stars that want to do something and want to bring together the game of golf, I think that’s what it takes,” said Bryan Zuriff, the creator of The Showdown. Moreover, since the last made-for-TV golf event, the PGA Tour has undergone significant changes in its media approach. Likewise, the Tour is now set to make major changes in the golf media launching its state-of-the-art PGA TOUR Studios in early 2025.

“When PGA TOUR Studios launches next year, it will help us bring live golf and other live content to our fans in a more dynamic way, bringing them closer to our players and closer to our sport,” said the PGA Tour mastermind, Jay Monahan, per The PGA Tour website.

This 165,000-square-foot facility will serve as the central hub for all PGA TOUR media operations, which includes housing live production, social media, digital operations, and international media teams.

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The new studio will help the PGA Tour to produce high-quality content with 1080p HDR and advanced audio formats and broadcast it for up to 144 cameras or live feeds. To make it more fun, this will also allow the tour to enhance the viewing experience for fans worldwide. But again, this doesn’t give any solid clarity on whether the tour players will ask the players to pay the $1 million or not.

What do you think will happen? Let us know in the comment section below!

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