In 1994, the University of Michigan signed a 7-year deal with Nike for $7 million. Now, 22 years later, the two parties have renewed their partnership—for a whole lot more money.
Michigan's athletic department finalized a deal with the Swoosh yesterday, inking a contract that could be worth up to $173.8 million if Michigan decides to pick up a four-year option after the original 11-year term expires. Michigan was originally with Nike from 1994 until 2007, when it hopped over to adidas.
Although $173.8 million seems like a huge number, and it is, it pales in comparison to the deals Ohio State and Texas have with the brand. The Buckeyes hold a 15-year $252 million contract with Nike, while Texas slots in below that with a 15-year $200 million deal. Still, it's a huge payday for Michigan, no doubt spurred by Jim Harbaugh's arrival at his alma mater to turn around what has been an underperforming football team.
Michigan will remain with adidas through July, and will officially become a Nike school when the calendar turns to August.
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