PAYDAY FOR COLLEGE ATHLETES?

• Author: Bubar, Joe

Student-athletes have long been barred from earning money for their talents. But a new California law would let college players cash in for the first time.

Each fall, hordes of fans pack into stadiums across the country to cheer on their favorite college football teams, and millions more watch the games on television. The billions of dollars in revenue from ticket sales, sponsorships, and TV deals goes to the schools and the athletic conferences they belong to, such as the Big Ten and Pac-12. The networks broadcasting the games cash in from selling commercial slots. And top coaches earn millions in salaries.

But there's one group involved that doesn't make any money: the players.

Under National Collegiate Athletic Association (N.C.A.A.) rules, college athletes aren't allowed to get paid by their schools. They also can't make money off the use of their name, image, or likeness, meaning they can't sign endorsement deals with sneaker companies, get paid to appear on the covers of video games, profit from sales of their jerseys, or even sell their autographs on eBay.

Now a new law in California could change that. In September, California Governor Gavin Newsom signed into law the Fair Pay to Play Act to allow college athletes in that state to strike endorsement deals and hire agents. The law, which is scheduled to go into effect in 2023--but may face a court challenge before then from the N.C.A.A.--is the latest chapter in a longstanding debate over whether college athletes should get paid.

"Every single student in the university can market their name, image, and likeness; they can go and get a YouTube channel, and they can monetize that," Newsom says. "The only group that can't are athletes. Why is that?"

The Student-Athlete Debate

Though the law doesn't mandate that colleges pay their athletes, it allows players to promote products and companies, cashing in on their sports renown for the first time.

And although the law applies only to California, it sets up the possibility that leaders in college sports will eventually have to choose between changing the rules for athletes nationwide or barring sports powerhouses in California, such as U.C.L.A. and U.S.C., from competition.

The law has garnered support from many who believe it's unfair for the N.C.A.A., schools, coaches, and networks to make so much money off college sports while the players can't. They point out that the annual men's college basketball tournament, called March Madness, brings in about $900 million in revenue for the N.C.A.A.--none of which is shared with the players.

"People are just so aware of the fact that you've got a multibillion-dollar industry that--let's set aside scholarships--basically denies compensation to the very talent, the very work that produces that revenue," says California State Senator Nancy Skinner, who wrote the legislation.

Many current and former athletes also applauded the new law. LeBron James of the Los Angeles Lakers wrote on...