The XFL was off to a great start before an international pandemic ended the first season. The league was already projected to take a major loss through the first few years.
Vince McMahon knew he needed to lose at least $300,000,000.00 to make the league last long enough and secure the TV deals necessary to support the league longterm.
Many sports business reporters speculated that Vince McMahon would lose around $400 million by bringing back the football league.
McMahon had earmarked $300 million. It was expected to get them through 2.5 seasons. “He’ll put up more later,” said Dave Meltzer from Wrestling Observer Radio. “The way this whole thing is structured is Vince is probably going to lose about $375 million over the next 3 years on this league and he will and he knows and that’s what he’s going to do.”
The idea is that the league will be able to secure television deals that will total over $125 million annually. Those alone would cover the losses of the new league. There’s a lot of factors involved in that.
Back in 2018, Sports Business Reporter Darren Rovell noted that McMahon was prepared to spend as much as $500 million on the league:
“People were focused on the $100 million, but the truth is that doesn’t even get us to the 20-yard line,” league CEO and Commissioner Oliver Luck told ESPN. There are very few participants who underwrite for this market anymore and it is obviously costly.”
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