Navigating change with purpose and unity: a message from Whit BabcockNavigating change with purpose and unity: a message from Whit Babcock
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Navigating change with purpose and unity: a message from Whit Babcock

Virginia Tech AD provides an update following Friday's historic moment in college athletics

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Dear Hokie Nation,

On Friday, the settlement in the House v. NCAA case received final approval from the United States District Court. This moment marks a historic turning point in college athletics and the beginning of a new era for all of us — student-athletes, universities, fans and communities alike.

This new framework introduces student-athlete revenue sharing, removes scholarship limits in favor of roster limits, and brings long-overdue structure and transparency to a system that desperately needed both. It will redefine how we operate, how we compete and how we support our student-athletes moving forward.

The settlement also presents major financial challenges for all of us, with an expected increase in annual costs in the tens of millions of dollars. Like many in the Power Four, we will continue to identify new revenue streams and evaluate how we support our enterprise moving forward. With challenge comes opportunity — and Virginia Tech is ready.

There will be renewed emphasis on the Hokie Club and its critical role in our future. Hokie Club membership remains the most direct and impactful way our fans, donors and alumni can help us meet this moment and continue building a model that supports our student-athletes at the highest level.

We are not just responding to change — we are preparing to lead through it. We have been working diligently behind the scenes on our path forward for over a year now.

At Virginia Tech, we are firmly aligned with the Board of Visitors, President Sands and university leadership in our vision to compete at the highest level, elevate the student-athlete experience, and strengthen the role athletics plays in advancing our university, community and region. That commitment has not changed — it’s only grown stronger.

We have a proud tradition, a passionate fanbase and a growing foundation of support through the Hokie Club and “new era” NIL efforts like Triumph. These are the cornerstones that will help us compete — and win — at the highest level in this next chapter of college athletics.

With the House settlement approved, the NCAA and the Power Four conferences will now be responsible for implementing and enforcing the terms of this settlement. To oversee this process, the College Sports Commission was established and will be led by former MLB executive Bryan Seeley. The Commission will play a central role in ensuring accountability, enforcement and fairness in revenue sharing and NIL.

We are in the final stages of implementation, with details still emerging between now and the official start of this framework on July 1.

I recently sat down with Bill Roth to discuss all of this and more, including our strategy and priorities for the year ahead. I encourage you to listen when you have time. These conversations are important, and they will continue.

To learn more about the settlement and its anticipated impact on Virginia Tech Athletics, please refer to these frequently asked questions.

Now, more than ever, your continued support matters. This is a moment to come together, invest in our future and stand strong for the programs and people who make us proud to be Hokies.

To all of you — thank you. Your loyalty, your belief and your support are what give us the confidence to move boldly into this next chapter.

We’re in this together. And the best is still ahead.

Go Hokies,


Whit Babcock
Director of Athletics

House Settlement: Frequently Asked Questions

The approval of the House v. NCAA settlement marks a historic shift in college athletics. Beginning in the 2025–26 academic year, schools like Virginia Tech will have the opportunity to directly share a portion of athletics revenue with student-athletes, while also navigating new scholarship and roster structures across all sports.

As this model takes effect, we are committed to staying competitive, responsibly managing our resources, and continuing to offer an elite student-athlete experience. We will rely on creativity, collaboration, and the unwavering support of Hokie Nation to help ensure our programs not only adjust — but excel.

The House settlement refers to the resolution of three major antitrust lawsuits filed against the NCAA and the power conferences, including the ACC. These cases challenged the NCAA’s previous limits on how student-athletes could earn compensation — particularly from their name, image, and likeness (NIL). The plaintiffs claimed that these restrictions prevented athletes from accessing the full economic value of their participation, including missed earnings from things like NIL, broadcast appearances, and video games.

After years of legal proceedings, a settlement was reached and received final court approval on June 6, 2025. Implementation is set to begin on July 1, 2025, marking one of the most significant turning points in the history of college athletics.
The settlement has three major components:

1. Revenue Sharing & NIL Oversight
For the first time, schools like Virginia Tech will be permitted to share a portion of athletics revenue directly with student-athletes — beyond the current benefits already included in their scholarship (tuition, housing, meals, academic awards, medical care, etc.).

Each institution will have the option to distribute up to 22% of its defined athletics revenue (media rights, ticket sales, sponsorships, etc.), which is currently estimated to be about $20.5 million per year. How that money is allocated across teams and student-athletes will be left to each school to decide. There is no required minimum payout, and this does not establish an employment relationship between schools and student-athletes.

In addition, third-party NIL agreements — those made between student-athletes and businesses or collectives — will continue under stricter oversight. Deals above $600 will be reviewed by a national clearinghouse, operated by Deloitte, to ensure they meet fair market value standards and are tied to legitimate commercial activity, not simply recruiting incentives.

2. Backpay for Former Student-Athletes
As part of the settlement, the NCAA and conferences will pay approximately $2.8 billion over the next decade to former student-athletes who competed between 2016 and 2021, before NIL compensation was allowed.

Each ACC member institution, including Virginia Tech, will contribute to this settlement through a reduction in conference revenue distributions — estimated at around $1.5 million annually for 10 years.

3. Updated Roster and Scholarship Guidelines
The settlement introduces new, sport-specific roster limits for all NCAA teams — expanding what was previously only applied to certain sports. At the same time, it removes previous scholarship caps, allowing schools to offer scholarships for every spot on a team’s official roster.

This change will increase the number of scholarships across many sports, offering more opportunities to student-athletes, while also adding new financial and operational considerations for athletics departments.

No. The new model allows for — but does not mandate — revenue sharing. Each institution may determine the amount it chooses to allocate annually to student-athletes, up to a cap currently estimated at around $20.5 million. Virginia Tech intends to fully participate, as part of our commitment to competing at the highest level.

The cap is based on approximately 22% of a school’s average annual athletics revenue across several categories — including media rights, ticket sales, sponsorships and licensing. When paired with existing scholarship costs, the total athlete-related share is expected to represent about 50% of overall revenue, aligning with trends seen in professional sports models.

The new framework is scheduled to take effect starting July 1, 2025, in advance of the 2025–26 academic year.

There is no one-size-fits-all formula for distribution. The specifics will be determined by each school. At Virginia Tech, we are actively evaluating models to ensure equitable, thoughtful implementation that reflects the values of our department, supports our programs and aligns with our competitive goals.

Under the settlement, roster limits will be applied to all NCAA sports. Universities may offer scholarships up to the number of roster spots for each sport. This provides institutions with more flexibility to fully fund their teams, but also introduces new costs that must be factored into long-term planning.

Yes. In our case, we anticipate increasing the number of scholarships we offer by 45 in order to remain competitive across the board. Our goal is to provide broad-based support for student-athletes in every sport, in a way that reflects our values and ambitions as a Power Four program.

The settlement includes an estimated $2.8 billion in retroactive payments for student-athletes who competed between 2016 and 2021 but were unable to earn NIL compensation at the time. Like all participating schools, Virginia Tech will be responsible for contributing our portion to this national backpay fund.

Yes. NIL remains a core component of student-athlete compensation. However, the new model will include oversight through a national clearinghouse operated by Deloitte, which will help ensure that NIL agreements valued at more than $600 reflect fair market value and comply with evolving regulations. These safeguards are intended to preserve competitive balance and integrity.

There is no new pool of NCAA money to fund this model. Revenue sharing and expanded scholarship costs will be absorbed through a combination of existing revenues, new fundraising efforts, operational efficiencies, campus support and other creative solutions. We are committed to approaching this with transparency and long-term financial responsibility.

Now more than ever, your support makes a difference. You can help position Virginia Tech for success by:

Every contribution — big or small — helps empower our student-athletes and fuel our future.

Absolutely. Revenue sharing does not replace the need for NIL support. In fact, success in this new era will require coordination between schools, collectives and supporters to provide comprehensive opportunities for student-athletes. Virginia Tech is proud to work alongside groups like Triumph and The Hokie Way to elevate our athletes and programs.