Let’s go girls

The GIST: College athletes keep winning major battles in the fight to be recognized as employees, a distinction that would allow them to earn income and experience labor protections. From Dartmouth to USC, the NCAA’s amateurism model is giving way to a new, labor-protected college landscape.

🏀 Dartmouth: In New Hampshire, the National Labor Relations Board (NLRB) ruled Monday that its men’s basketball players are employees, giving them the ability to unionize. The historic win sets a precedent for other legal battles across the U.S. as athletes look to maximize their profitability while playing college sports.

• In pro sports, unionization has transformed the player experience. The PWHL became the first North American pro women’s league to construct a CBA before play, while the NWSL and WNBA have secured protections like minimum salaries, travel accommodations, and maternity benefits. Shattering records and glass ceilings.

🏛️ USC: The Dartmouth win affects another lengthy battle in SoCal, where USC athletes are making their own case to the NLRB. The court is expected to rule in their favor after some embarrassing gaffes, like athletic directors feigning ignorance around shoe restrictions and redefining “rules.”

• While the Dartmouth case only involves the men’s basketball team, the USC ruling will have an immediate impact on its women’s basketball team. Combined, these two cases are expected to create a watershed moment for college sports labor rights.

🚫 Tennessee, Virginia: The state attorney generals of Tennessee and Virginia filed a lawsuit last Wednesday alleging the NCAA’s NIL restrictions violate federal antitrust laws. If their requested temporary restraining order and preliminary injunction are granted, it could prevent the NCAA from prohibiting NIL as a recruitment tactic.

• The college sports org responded swiftly on Saturday, arguing athletes could then be “exposed” to “bad actors” who exploit their talent. Pot, meet kettle.

Lingering questions: The remaining question is an existential one that the NCAA has avoided for years: How can college players get paid and still be considered amateurs? The courts say they can’t, so if athletes are now professionals, will this change how they earn money? Only time will tell.

The GIST: Fergus Bell, founder of the athlete-led venture capital firm The Players Fund (TPF), recently argued that women athletes can be more impactful than male sports stars. While Bell mentioned how this is influencing sports sponsorships and coverage, recent additions to TPF demonstrate how it’s also influencing the boardroom.

The Players Fund: The firm was launched last August by a global group of men’s cricketers and soccer players. Raising $50.9M at the outset, the fund allows athletes to have a say in its investment choices while also educating them on investing risks and rewards and helping them pave a financial future after retirement.

• The firm was entirely composed of male athletes until last December, when TPF added several prominent women athletes as new partners, including retired legends such as Allyson Felix and Eni Aluko and active players like Nikita Parris.

The trend: While most women athletes are only starting to get paid, tennis stars specifically offer a window into the future as the pay gap closes. Top women’s tennis players have been bringing home the bacon for years thanks to equal Grand Slam prize money and lucrative sponsorships, which savvy players like Serena Williams and Naomi Osaka have leveraged into investment opportunities.

• Williams is in a league of her own with Serena Ventures, the firm she started in 2014 that has invested in at least 64 companies, including popular startups like MasterClass, Tonal, and Olly. Over half of these companies are founded by women, while 76% have founders from historically underrepresented backgrounds. Making sure everyone has a seat at the table.

• Osaka has partnered with popular companies that align with her athletic lifestyle like BodyArmor and Sweetgreen, but she’s also stepped beyond the court. Osaka’s media company, Hana Kuma, launched in partnership with LeBron James’ SpringHill Productions.

Zooming out: Including women athletes doesn’t just bring in their money, but also their unique perspectives and expertise: Diversity leads to higher revenue and better decision-making. As major women’s sports’ revenue is set to cross the billion-dollar threshold in 2024, the venture capital space should continue to recruit women athletes as investors.