[Mick]

USC and Michigan are threatening to leave the Big 10 conference because the B10 is considering a $2.4 billion private equity investment paid by the California Pension Fund over 20 years. The Big 10 would sell off part of the new corporate enterprise.

Michigan hates it because they believe it is an unnecessary "payday loan" that would bail out poorly financed schools. USC hates it because they would receive less up front as a new school.

All other Big 10 schools support it. If USC and Michigan don't agree, they lose access to the capital and risk their future with the conference beyond 2036. 

Two Schools Are Reportedly Considering Leaving The Big Ten

Also, Michigan State football received a three year penalty and 14 wins have been vacated:

Michigan State placed on 3-year probation, 14 wins vacated

It just needs to be said. If USC and Michigan were to ever leave the Big Ten, it would be with other top teams to form some other football only "conference" not to strike out on their own. This isn't even good clickbait, and it's "Ten" not "10".

To paraphrase Frazier, you could use a tunneling electron microscope and still not be able to discern my interest in whether it's "Ten" or "10" or "X" or "B10" or anything else...

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USC isn't going anywhere, no matter how much they threaten. The entire University is in serious financial trouble. They had a hiring freeze in place well before the federal government went off on the research grants budgets. They also have an "interim" president with the goal of replacing him with a "permanent" hire in July 2026. The previous president announced her retirement in early November of 2024 but stayed on until July of 2025 while a search went on for a new president. None was found, thus the "interim".
 
There is no money to subsidize athletics at the level required to successfully "go independent". Even if a financially viable situation could eventually be created, getting to that point would require at least two years of heavy deficits (and perhaps more).  It is very difficult to imagine USC could get "a better deal" going that way and they don't have the funds to invest in trying.

That's for sure. They depend on $1.3 billion in federal funds and are committed to escalating structural deficits. Their operating deficit in 2023-2024 was $158 million. Their bonds are Aa2 (Moody's/Stable) AA (S&P Global/Negative outlook). Cash doubled from $421 mm (fy22) to $847 mm (fy24) thanks to a $500 mm taxable bond in 7/23. They're not broke, but they don't have a lot of wiggle room.

[Mick]

USC and Michigan are threatening to leave the Big 10 conference because the B10 is considering a $2.4 billion private equity investment paid by the California Pension Fund over 20 years. The Big 10 would sell off part of the new corporate enterprise.

Michigan hates it because they believe it is an unnecessary "payday loan" that would bail out poorly financed schools. USC hates it because they would receive less up front as a new school.

All other Big 10 schools support it. If USC and Michigan don't agree, they lose access to the capital and risk their future with the conference beyond 2036. 

Two Schools Are Reportedly Considering Leaving The Big Ten

Also, Michigan State football received a three year penalty and 14 wins have been vacated:

Michigan State placed on 3-year probation, 14 wins vacated

It just needs to be said. If USC and Michigan were to ever leave the Big Ten, it would be with other top teams to form some other football only "conference" not to strike out on their own. This isn't even good clickbait, and it's "Ten" not "10".

To paraphrase Frazier, you could use a tunneling electron microscope and still not be able to discern my interest in whether it's "Ten" or "10" or "X" or "B10" or anything else...

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USC isn't going anywhere, no matter how much they threaten. The entire University is in serious financial trouble. They had a hiring freeze in place well before the federal government went off on the research grants budgets. They also have an "interim" president with the goal of replacing him with a "permanent" hire in July 2026. The previous president announced her retirement in early November of 2024 but stayed on until July of 2025 while a search went on for a new president. None was found, thus the "interim".
 
There is no money to subsidize athletics at the level required to successfully "go independent". Even if a financially viable situation could eventually be created, getting to that point would require at least two years of heavy deficits (and perhaps more).  It is very difficult to imagine USC could get "a better deal" going that way and they don't have the funds to invest in trying.

That's for sure. They depend on $1.3 billion in federal funds and are committed to escalating structural deficits. Their operating deficit in 2023-2024 was $158 million. Their bonds are Aa2 (Moody's/Stable) AA (S&P Global/Negative outlook). Cash doubled from $421 mm (fy22) to $847 mm (fy24) thanks to a $500 mm taxable bond in 7/23. They're not broke, but they don't have a lot of wiggle room.