We're getting a better idea of how much LeBron James' new deal with Nike is worth, and it sounds like a monster
(Ezra Shaw/Getty Images)
On Monday, LeBron James and Nike agreed to a lifetime deal, first reported by ESPN's Darren Rovell.
The deal is the biggest commitment Nike has ever made to an athlete, and it's a game-changer for athlete endorsements down the line.
While the terms of the deal haven't been made public, if it's going to last a lifetime, it obviously must be worth a tremendous amount of money.
Reporters connected to the situation have talked to people and there's been some speculation on how much the deal is worth. It sounds like a monster.
Would not be surprised if LeBron's lifetime deal exceeds $1 billion.
— Darren Rovell (@darrenrovell) December 8, 2015
On LeBron-Nike deal front, I'm told by person w/ knowledge of financials that estimates of between $400 & $500 million are significantly low
— Sam Amick (@sam_amick) December 8, 2015
On annual earnings front, person w/ knowledge puts figure north of $30 million annually. It's a lifetime deal, & he's 30...years...old.
— Sam Amick (@sam_amick) December 8, 2015
If Amick's numbers are accurate, that would put LeBron on pace to make $1 billion from the deal alone by the time he's 64 years old. Considering he's already made over $169 million in salaries and reportedly makes $44 million in endorsements per year, LeBron could end up the richest athlete of all time.
Of course, that $30 million per year figure could be off, and there's a possibility that the annual value could fluctuate as he gets older.
Nonetheless, this is a huge bet by Nike. LeBron James is only 30, but he's in his 13th season in the NBA. He's on the back-half of his career, but Nike is betting that LeBron will stay relevant, evn long after he's done in the NBA.
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