Experts share how Name, Image and Likeness (NIL) is transforming college athletics when it comes to program funding, sports facilities and the role of student athletes.

The 2021 U.S. Supreme Court decision allowing students athletes to profit from the use of their name, image and likeness upended the traditional power dynamic in college sports. Vast sums of money that once went to athletic departments are now being diverted to players. Meanwhile, universities and their sports programs are scrambling to find new ways to generate revenue and land players who can actively shop their services to the highest bidder.

To understand how NIL will continue to transform college athletics in 2025 and beyond, HOK held a LinkedIn Live with a panel of diverse NIL experts:

Nate Applebaum, a fellow leader of HOK’s Sports, Recreation + Entertainment practice, moderated the panel. View the entire conversation below or skip down for 5 key takeaways.

1. Impact of changing funding models

The conversation began with Carter discussing how NIL funding works and how it is changing. To date, NIL athletes have earned money from three revenue streams: 1) NIL collectives, in which boosters and donors raise money to fund student athletes 2) brand partnerships, in which student athletes enter endorsement deals with products and services 3) and entrepreneurial services, in which student athletes use their name, image or likeness to provide their own merchandise or service, such as an instructional clinic or camp. This model has allowed some student-athletes (particularly football and basketball players) to earn much more than others.

Now a fourth funding stream expected to go into effect in fall 2025 would allow universities, especially those in the Power Five conferences, to share a certain amount of revenue (estimated at around $20 million per school) with players. This new funding will likely create further separation between the “haves” and “have nots” in colleges sports.

“There will certainly be a hierarchy with this,” said Carter. “Eighty-five to ninety percent is predicted to go to football and men and women’s basketball, a.k.a. the so-called revenue producing sports. Athletes on the other roughly 16 to 18 sports on most campuses may end up with nothing or just a few hundred or thousand dollars.”

2. Continued role of NIL collectives

While revenue sharing could displace some of the influence of NIL collectives, Carter doesn’t see collectives going away anytime soon, especially if revenue sharing is subject to Title IX regulations that prohibit sex-based discrimination in education. (That issue remains unclear for now.)

“NIL collectives are private entities not controlled by the school and not guided by Title IX,” said Carter. “This allows NIL collectives to take the money they’ve collected and distribute it however they see fit, which most of time is going to go toward the football program and, after that, men and women’s basketball. A tiny percentage of what’s leftover could potentially go to student athletes in other sports.”

3. Importance of culture and community

As the financial model shifts, the panelists emphasized the continued need for facilities and environments that foster team culture, community, and a sense of belonging for student-athletes. This will be crucial for recruiting and retention.

“I think the bigger question we’re looking at is, how do smaller schools keep up with the bigger schools?” said Oostburg. “I think that’s where you really have to lean into your strengths as a school. For example, you look at the Army and the Naval Academies. They don’t offer NIL collectives as payments to their athletes. So how are they still getting athletes to come to their school? It’s because of the culture, the environment they offer, things that go beyond just money. That’s where you have to look at facilities and, of course, education, which is why we go to college in the first place.”

The 1929 Club in University of Georgia’s Sanford Stadium once served as a press box.

4. Evolving recruiting landscape

The recruiting landscape is evolving, with professional-level influences like GM-type roles and salaries coming into the collegiate space, as well as a continued emphasis on unique cultural experiences and tradition-rich facilities. While NIL collectives have siphoned off money that once went toward facilities, Bechtold pointed out three facility types that remain in demand: 1) buildings and spaces that help generate revenue, 2) 365-day operational facilities and 3) multi-purpose sports facilities.

Bechtold references a few such facilities that HOK has helped design, including:
1. The University of Georgia’s 1929 Club that transformed the football stadium’s former press box into a premium club space.
2. University of Notre Dame’s Campus Crossroads that modernized the schools historic football stadium and made it a hub of daily activity with three attached buildings that house classrooms, labs, a fitness center, student center, performance space, and meeting, event and hospitality space.
3. Southern Methodist University’s new Garry Weber End Zone Complex at Gerald J. Ford Stadium. This new expansion of the football stadium features new premium club and dining spaces for fans that serves double duty as a daily dining room for all SMU athletes.

5. Adaptability and nimbleness

Given the rapidly changing nature of the paid college sports, the panelists stressed the importance of universities to be adaptable and nimble in their approach to facilities and revenue generation, with Carter seeing mid-major Division I schools—and even Division II and III schools—upping their NIL game in coming years. Student athletes will also continue to adapt, said Oostburg, who sees players getting much more savvy about promoting themselves and their brand.

“We’re going to see a change in content and a rise in social media for all athletes,” predicted Oostburg. “I think you’re going to see non-revenue-generating sports start to create content, and you’re going to hear a lot more about them on social media and in the news because they’re putting themselves out there.”

Top image: Clemson University’s Allen N. Reeves Football Operations Complex.