Business
$600, free video game: How EA Sports got players to opt in to ‘College Football 25’
Fifteen years ago, former Nebraska and Arizona State quarterback Sam Keller filed a class-action lawsuit that in 2013 resulted in Electronic Arts Sports mothballing its popular “College Football” video game. Why? The game featured players that did not have real-life names, but resembled every player on every roster in almost every other way.
EA settled with Keller, et al., for $40 million, and the NCAA chipped in another $20 million. Sounds like a lot but payments to each player ranged from about $1,500 to $15,000.
Keller, for his part, was flogged in the public square of social media for “ruining the video game for us.”
“People looked at the situation and thought I’m going after the game because I couldn’t make it as an NFL player and needed to make a quick buck,” Keller told the Arizona Republic in 2019 when college players were granted the right to be paid for their name, image and likeness, or NIL.
“I understand all that, but that was never the intent. The case was more about what’s happening now [with NIL]. It was just the first of a lot of steps to change the norm to something that’s fair.”
Today college players are making significant sums through NIL deals. And what do you know, Redwood City-based EA Sports announced the return of the video game. “College Football 25” — the last version was CF 14 in 2013 — will be released this summer.
And, yes, players’ names will be used. Two weeks ago, EA offered $600 and a free copy of the game to any player who agreed to have their likeness featured, and more than 10,000 of the 11,390 FBS players already are on board, meaning EA will be paying players a total of $6 million to $7 million. Some players might make more than $600 by agreeing to promote the game.
Major awards won’t be included at the outset because EA couldn’t strike a deal with the National College Football Awards Assn. — a coalition of many of the sport’s individual awards — according to On3. Fans playing in Road to Glory or Dynasty modes no longer will be able to win real trophies that players are annually awarded — the Chuck Bednarik (top defensive player), Fred Biletnikoff (top receiver), Davey O’Brien (top quarterback), Doak Walker (top running back), Lou Groza (top placekicker), Jim Thorpe (top defensive back), Robert Maxwell (top player), John Outland (top interior lineman) and Ray Guy (top punter) awards.
The Heisman Trophy is operated independently by the Heisman Trust, and it is unclear whether it will be awarded in the game. The same is true for the Bronko Nagurski Trophy (top defensive player) and Dick Butkus Award (top linebacker).
Gamers will be blocked from manually adding players who decide not to accept the offer, the video game developer said. Among those who reportedly will opt out is Texas quarterback Arch Manning, the nephew of Peyton and Eli Manning. The quarterback Arch Manning played behind last season, Quinn Ewers, said on Instagram that he took the offer. So did fellow high-profile passers Dillon Gabriel of Oregon, Jalen Milroe of Alabama and Jaxson Dart of Mississippi.
Closer to home, UCLA quarterback Ethan Garbers and USC wide receiver and explosive kick returner Zachariah Branch opted in. So did most of their teammates.
“The response to the athlete opt-in opportunity for EA Sports College Football 25 has been phenomenal,” EA senior vice president Daryl Holt said in a statement. “We’re excited to welcome more athletes in the weeks ahead and to debut this first class of athletes in the game when it launches this summer.”
What else do we know about EA CF 25? All 85 FBS teams will be in the game with 2024 uniforms. The spate of recent conference realignments will be recognized. The new 12-team College Football Playoff is accommodated with the ability to customize. Every bowl game will be featured.
Also, the Dynasty and Road to Glory modes that 2013 gamers remember return with NIL components, and the game will run on the same engine as the Madden franchise.
Fifteen years ago, Keller’s lawsuit described EA’s attention to detail and revealed at least one way the video game company collected information on players to make the game as realistic as possible.
“EA attempts to match any unique, highly identifiable playing behaviors by sending detailed questionnaires to team equipment managers,” the lawsuit said. “Additionally, EA creates realistic virtual versions of actual stadiums; populates them with the virtual athletes, coaches, cheerleaders, and fans realistically rendered by EA’s graphic artists; and incorporates realistic sounds such as the crunch of the players’ pads and the roar of the crowd.
“EA’s game differs from reality in that EA omits the players’ names on their jerseys and assigns each player a home town that is different from the actual player’s home town.”
This time around, coaches were omitted, although Ole Miss coach Lane Kiffin told Andy Staples of On3 he would give permission to appear in the game without any compensation.
“The kids like to play it,” he said. “My brain thinks about what would help in recruiting? If you did pay me for that, I wouldn’t want it. I’d want you to put it into our NIL.”
Business
Read Nick Bilton’s Letter to Scott Pelley
Dear Mr. Pelley:
I meant what I said in my letter last week to the 60 Minutes team: joining 60 Minutes is the honor of my career and I am grateful to be working alongside the people who have contributed to the most important television journalism brand this country has ever produced. While I’m new to 60 Minutes, I’ve devoted my career to investigative journalism and storytelling. I started this job excited to collaborate and to benefit from the wisdom and experience of the 60 Minutes veterans, with you among them. For that reason, one of the first things I did in my new role was call you to talk and invite you to dinner. It is a profound disappointment that you rejected that overture and chose ambush instead. Yesterday, you hijacked my first meeting with staff to disparage me, my qualifications, and my intentions with remarkable incivility and contempt. I welcome a diversity of viewpoints and respectful debate among the team, but this was nothing of the sort. Yesterday’s performative display of hostility enacted in front of the staff instead of in a civil, private conversation-demonstrated that you have no interest in contributing to the future success of the show, or approaching my new tenure with a mind open to collaboration and progress. I am here to deliver first-in-class news programming, not to make headlines about newsroom drama. I am eager to work alongside those who share this goal.
Despite yesterday’s misconduct, I had hoped that in sitting down with you today we could find a path forward together. You made clear that you are not interested in such a path.
Your antipathy to the future of the show has come through loud and clear. And I have heard you. I therefore write on behalf of CBS News, Inc. (“CBS”) to inform you that your employment with CBS is terminated for cause effective immediately. Enclosed is your formal termination letter.
Sincerely,
Nick Bilton
Executive Producer, 60 Minutes
Business
Aspiration co-founder sentenced to 14 years for fraud
The co-founder of Aspiration, Joseph Sanberg, was sentenced to 14 years in prison on Monday after defrauding investors and lenders of over $248 million.
The startup, an eco-friendly digital banking company boasting fossil fuel-free investments, carbon offsets for gas purchases, and a debit card with cash-back benefits for shopping at clean companies, was founded by Sanberg and Andrei Cherny. Cherny left the company in 2022 and has not been charged.
Sanberg, an Orange County native, pleaded guilty to wire fraud in October after being arrested in March last year. Aspiration subsequently filed for bankruptcy and liquidated all of its assets by July.
Sanberg and venture capitalist Ibrahim AlHusseini, who also faces charges, together forged a series of bank statements in order to obtain loans. From 2020 to 2021, the pair forged AlHusseini’s bank statements to show millions of dollars in assets in order to obtain millions of dollars from lenders.
Additionally, they forged a letter from their audit committee stating that $250 million in funds were available, when in reality Aspiration had less than $1 million. The amount of loans defrauded exceeded $248 million.
In 2021, Sanberg artificially inflated Aspiration’s 2021 revenue by $44 million by recruiting 27 fake customers to sign letters of intent pledging tens of thousands of dollars per month for tree planting services. Sanberg himself funded the contracts and used the inflated revenue numbers to obtain more loans.
The charges sparked an NBA investigation into salary cap allegations due to Aspiration’s connections with Clippers owner Steve Ballmer.
Ballmer personally invested $60 million in Aspiration, all of which was lost. He is now the target of a civil lawsuit alleging his participation in the scheme. Ballmer denies the allegations.
The team announced a $300-million sponsorship deal with Aspiration, and Clippers player Kawhi Leonard signed a four-year, $28-million marketing contract with the company, which reportedly performed no duties. The issue has raised concerns about how players are circumventing the NBA’s salary cap.
The team lost the $300-million sponsorship deal and an additional $20 million paid for carbon offset purchases.
Business
Monterey Park takes landmark vote on banning data centers
Residents in the city of Monterey Park will be the first in the nation to vote on a permanent ban on data centers Tuesday.
If approved, Measure NDC would prohibit data centers within the city limits and could only be overturned by another vote.
Yard signs saying “No Data Center” in English and Chinese with images of dragons line sidewalks in the San Gabriel Valley city.
As a wave of data center opposition sweeps the country, numerous towns and counties across the U.S. have instituted temporary moratoria and other restrictions on the facilities. But only a handful have instituted indefinite bans, and just four other towns have sent related matters to the ballot.
Supporters are hoping the vote will set a precedent for the rest of the region, where residents are fighting proposals in Vernon and City of Industry.
“This is about as permanent a ban as we can get,” said Steven Kung, co-founder of the group No Data Center Monterey Park. “Winning Measure NDC would send a huge message to the rest of the San Gabriel Valley about how residents don’t want data centers.”
The ballot measure emerged from the fight against a 247,000-square-foot center proposed in 2024 by the Australian-owned investment firm HMC StratCap for a residential area in Monterey Park.
The facility would have sat less than 500 feet away from the nearest home and used three times the electricity of the 60,000-person, predominantly Asian American city.
While the developer touted the potential for jobs and tax revenue, residents expressed concerns about noise and air pollution, rising electricity rates and a potential to lower property values.
The company pulled its plans in late March following public outcry and a March 4 city council vote to extend a temporary data center moratorium and place a ban on Tuesday’s ballot.
In a letter to the city council, HMC StratCap said it would pursue a different use for the land and would not engage in a ballot measure fight.
The city council later banned data centers indefinitely, the first in California to do so, said Mayor Elizabeth Yang. But she’s still been out campaigning for the measure with all four other council members.
“If a council puts in an ordinance, a future council can reverse it too,” said Yang. “With the ballot measure, unbanning it is a lot harder because you need the entire city to vote on it.”
The measure proposes the ban “to protect air quality, drinking water resources, and public health” and “prevent impacts to electricity and water rates.”
While California places third in the country for existing data centers with about 300 facilities, it hasn’t been a hot spot in the recent AI-driven data center boom. High electricity rates, expensive land and regulatory hurdles mean that fewer, and smaller, facilities are currently planned than in Virginia, Texas, Georgia, Illinois or Arizona.
“Most of California’s data centers are small by today’s standards,” said Shaolei Ren, an engineering professor at UC Riverside who studies how to reduce the environmental impacts of data centers. “Ten years ago, they would be medium-sized, but the power demand for new AI data centers has increased a lot.”
The average operating data center demands 45 megawatts, according to the Washington Post, while the average planned one would draw 430 MW. The one proposed for Monterey Park would have required about 50 MW at peak demand.
As proposals crop up in SoCal, they’re met with fierce opposition. Montebello, El Monte and Baldwin Park have all enacted temporary moratoria, and Alhambra recently banned data centers as part of a zoning code update. City of Industry, Vernon, City of Commerce and Santa Fe Springs are moving in the other direction, trying to court developers and streamline data center approvals. Community groups are fighting that.
Outside the San Gabriel Valley, residents of Coachella and Imperial County are showing up in droves to protest local proposals.
Matthew Shaw, a volunteer with the Coalition for Responsible Data Center Development, who recently published a report on opposition to AI data centers, said a vote to ban them in Monterey Park “would lead to copycats, partially because so many groups are just opposed to any data center development at all.”
While there is no formal opposition to Measure NDC, some building trades like Ironworker Local 433 supported the Monterey Park data center when it was still live before city council. Those in the data center industry are lamenting the state of public opinion.
“These are multi-billion-dollar assets that are built by multi-trillion-dollar companies. These things will get done,” said Mehdi Paryavi, chairman of the International Data Center Authority. “My biggest problem is that our industry does not invest enough in community engagement.”
Paryavi said towns that seek to limit data centers are missing out on thousands of jobs generated by data center construction, operations and customers, as well as faster artificial intelligence speeds and better performance.
Kung said local community organizers are “looking at the empirical evidence” and seeing a ban as a win.
“We’ve never seen a city that embraces a data center and is like, ‘Look how our quality of life has increased, look how all the revenue has gone into citywide improvements,’” he said. “That just doesn’t exist.”
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