The Texas Longhorns have claimed the top spot on CNBC’s 2025 college athletics valuation list, surpassing Ohio State with a valuation of $1.475 billion.
2025 Valuation Landscape
CNBC senior sports reporter Michael Ozanian released the rankings of the 75 most valuable college athletic programs on Friday. The list starts at No. 75 with $190 million and climbs to $1.475 billion at No. 1. The combined value of the top 75 programs reached $51.21 billion, a 13% increase from the $45.14 billion reported last year.
In 2024 only four schools were valued above $1 billion. By 2025 that number had jumped to 13. The top five programs are:
- Texas – $1.475 billion
- Ohio State – $1.35 billion (up from $1.318 billion)
- Texas A&M – $1.32 billion
- Georgia – $1.16 billion
- Michigan – $1.155 billion
Other programs that now exceed $1 billion include Notre Dame, Tennessee, USC, Alabama, Nebraska, Penn State, LSU, and Oklahoma.
How Ozanian Values Programs
“We value these athletic programs based on the total revenue of all the sports that they have at the school,” Ozanian said. “And then we apply a multiple, typically around four, to those revenues. So, if revenue is $100 million, then the athletic program would be worth $400 million.”
The multiple can be adjusted for factors such as the amount of name, image and likeness (NIL) money a school generates. Revenue is the key driver because, starting in 2026, proceeds from NIL—money schools can now pay athletes for past performance—will appear on the athletic program balance sheet. “Proceeds for name, imaging, and likeness, which now schools can pay the athletes, are gonna be on the athletic program balance sheet… schools based on the court ruling are gonna be paying student athletes money for past performance that they’ve had,” Ozanian explained.
He added that schools may seek external funding, such as institutional money or private‑equity investment, to support programs that cannot cover expenses on their own. “It’s not a good thing,” he said.
Revenue Streams and TV Deals
The surge in valuations is largely tied to college football. The top five teams are all in the SEC or Big Ten, and each performs well in the major sports of those conferences. The Big Ten’s television contract averages $1.15 billion annually, while the SEC averages $710 million. Those deals translate into payouts of $63 million per Big Ten school and $52.5 million per SEC school.
When Ozanian compared football revenue to the top five basketball programs—Duke, Louisville, Kentucky, UNC, and Syracuse—he noted that football teams generate five times as much revenue. “This is why these TV deals are so important because it’s the football that’s driving it,” he said.
He added that, in terms of TV ratings, college football is second only to the NFL, while professional basketball, baseball, and hockey trail far behind.
Texas’s Revenue Breakdown
Texas’s $322 million in 2025 revenue came from several sources:
- $69 million from corporate sponsorships, advertising, and licensing
- $61 million in ticket sales, with high‑profile attendees such as Matthew McConaughey
- $137 million in fiscal donations last year, compared with Ohio State’s $53 million and Michigan’s $45 million
Texas also receives no money from student fees or government institutional funds, giving it a large cash cushion.
Comparisons Across Schools
USC’s recent move to the Big Ten and its private‑school status have helped it outperform UCLA, even though the two schools are geographically close and equally popular. USC has capitalized on licensing, merchandising, and donor contributions, while UCLA has lagged.
The public University of Florida ranks No. 14, compared with the private University of Miami at No. 29. Florida’s SEC affiliation and private status both contribute to its higher valuation.
Rutgers, which did not make the top‑75 cut, generated $137 million in 2024 revenue. Fifteen million of that came from student fees and fourteen million from institutional and government support.
Ozanian’s Outlook
“Clearly it’s become professionalized and part of that now is accepting the fact that the athletes are part of the model and drive this revenue and are gonna get some of the money from it,” Ozanian said. “So it’s gonna create some turmoil and we’ll see how this all plays out if and when the big outside money comes in. But as far as the popularity of the sport and the business side of the sport, I’m bullish.”
He emphasized that while the influx of television revenue and NIL payments will bring challenges, the underlying business fundamentals of college sports remain strong.
Key Takeaways
- Texas Longhorns lead the 2025 valuation list at $1.475 billion, surpassing Ohio State.
- The combined value of the top 75 programs grew to $51.21 billion, a 13% rise from 2024.
- Football revenue and television contracts are the primary drivers of program valuations.
- Ozanian values programs by applying a multiple—typically four—to total revenue, adjusting for NIL and other factors.
- Despite the growing professionalization, Ozanian remains bullish on the business side of college athletics.
The 2025 rankings underscore how television deals, donor contributions, and revenue diversification are reshaping the financial landscape of college sports.
