We are now coming to the culmination of the whole House v. NCAA conundrum. The settlement has undoubtedly changed the landscape of college football in many ways. But more than that, it has benefited athletes in general. The added benefits from the settlement will surely pave the way for a new dawn of college football. Every new beginning still has its complications. And right now it seems Sherrone Moore is in a big one.

The settlement has provided three major benefits to collegiate athletes. First, the players will be eligible to receive various benefits like mental health coverage, nutrition support, life skills enhancement, and added medical coverage even after they stop competing for college. Secondly, the players are now also entitled to compensation for the use of their Name, Image, and Likeness (NIL), which will also trickle down to former college athletes. But the major benefit that the settlement brings is a very big one and will govern the whole recruitment process to transfers moving forward. Let’s get into its details.

Players will now receive a large chunk of revenue earned by their colleges and their conferences. Currently, the sum is around 22% (maximum payment allowed) of the average revenue generated by the ‘Power’ conferences. This will also include the revenue generated from broadcasting rights, ticket sales, and sponsorships undertaken by the players for their teams. This 22% revenue is currently estimated to be around $20 million for the ‘power 4’ teams, which also includes Sherrone Moore’s Michigan. Mind you, teams can’t pay more than the 22% cap to all their athletes in total, although they can pay less than that if they want. This has created a complication for Sherrone Moore, and here’s why.

David Pollack and Brett Rollins highlighted the implications of the cap on Sherrone Moore’s further recruitment. “They spent over 12 million dollars to get him (Bryce Underwood), which is crazy, but it’s also something that will never happen again. Because as of July 1st, you’ll have a 20 million dollar cap. So you’ll have a budget, actually; you have to operate under, which will be interesting.” For context, hear this.

Sherrone Moore recently landed a 5-star generational prodigy in Bryce Underwood when he decommitted from LSU. But his commitment to Michigan didn’t come very cheap for Michigan. They had to agree to a payment of around $12 million spread over the length of his time in Michigan. That was twice the payment of $6 million the player was getting at LSU. So, it may be an easy decision for him, but it has the potential to make things difficult for Sherrone Moore. 

Sherrone Moore’s Michigan building towards a mass exodus of players?

Sherrone Moore now will have to worry if the $12 million payment will be added to the $20 million cap proposed by the House v. NCAA settlement. Currently, his class ranks 8th overall in the country for the 2025 season and has some very big names. For instance, Andrew Babalola (5-star OT), 4-star Shamari Earls (CB), and 4-star Andrew Marsh (WR), apart from Bryce Underwood, who is the overall no. 1 QB and a prospect in the country. This will certainly create problems for Moore.

Since all these players will also want a chunk of the share of the revenue. And the more famous the player becomes, the more offers will line up for him in the transfer portal. If not paid the requisite amount, they will have a real incentive to switch camps when a better offer lines up for them. Take, for example, Florida Gators’ QB Jadon Rashada, who signed for them in December 2023 after he was promised $13 million in exchange for his NIL rights. But, he left the school when the deal collapsed in Jan 2024. Similarly, Mathew Sluka (QB) of UNLV was promised payment of $100,000 in NIL payments when he was being recruited. However, he left the team just after three games when his payment wasn’t fulfilled. The verdict?

The recent rules and settlement terms do open a whole Pandora’s box for the teams in general. It will certainly benefit the players but will also make a level playing field (at least in the power conferences). Now, Sherrone Moore has to figure out a path as to how to wade through it and also keep his best players around for the long term.