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jedimasterkyle

macrumors 6502
Sep 27, 2014
430
631
Idaho
The Dodgers were always the final destination for him.

The price tag though is the biggest shocker. I get that a lot of his salary will be deferred for payroll flexibility and what not but still...$700 MILLION....

While processing his salary when it was announced, I came to two realizations...

  1. Any free agent after Shohei Ohtani will look like a bargain because there is ZERO chance that any team/owner will be willing to pay more. At least, not anytime soon. Additionally, if Shohei doesn't perform up to that price tag and his TJ surgeries sideline him from being an elite pitcher ever again, the Dodgers will be forced to take a bath in that contract.
  2. When the current CBA expires in a few years, the owners will have ONE thing on their agenda. Salary cap. The players union will wholeheartedly reject any discussion of a salary cap and entire seasons could be shortened or lost because of it.
On one hand, good for Shohei for getting paid but on the other hand, it has opened up pandora's box to the realities of MLB economics. Tickets, merch, and food prices will go through the roof because teams will have to pass the cost of these insane salaries onto fans. Fans will either refuse to pay or wont be able to pay for these increases and they'll be forced to cancel their cable subscriptions/MLB.tv subscriptions. In turn, the loss of revenue will bankrupt the teams/owner.

It's the Mike Trout effect. Putting all of your chips on one player to carry a team to glory is almost guaranteed financial suicide. Granted, the Dodgers have Mookie and Freddie to pick up some of that but it's the same idea. Look at the Angels now. Ohtani is gone and MLB fans are begging for Trout to be traded because the Angels are as good as dead and wont be able to compete for at least a decade, if not longer.

On the flip side though, if Shohei is productive for at least 7 of those 10 years, then the Dodgers will be able to print their own money until the end of time and they'll be able to sign FA's to similar contracts.

I didnt have a strong opinion one way or another for Salary Caps and Floors BEFORE Ohtani. Now...I'm starting to see that there might be a case for it.
 

Don Quixote

macrumors 6502a
Aug 16, 2023
539
509
The Dodgers were always the final destination for him.

The price tag though is the biggest shocker. I get that a lot of his salary will be deferred for payroll flexibility and what not but still...$700 MILLION....

While processing his salary when it was announced, I came to two realizations...

  1. Any free agent after Shohei Ohtani will look like a bargain because there is ZERO chance that any team/owner will be willing to pay more. At least, not anytime soon. Additionally, if Shohei doesn't perform up to that price tag and his TJ surgeries sideline him from being an elite pitcher ever again, the Dodgers will be forced to take a bath in that contract.
  2. When the current CBA expires in a few years, the owners will have ONE thing on their agenda. Salary cap. The players union will wholeheartedly reject any discussion of a salary cap and entire seasons could be shortened or lost because of it.
On one hand, good for Shohei for getting paid but on the other hand, it has opened up pandora's box to the realities of MLB economics. Tickets, merch, and food prices will go through the roof because teams will have to pass the cost of these insane salaries onto fans. Fans will either refuse to pay or wont be able to pay for these increases and they'll be forced to cancel their cable subscriptions/MLB.tv subscriptions. In turn, the loss of revenue will bankrupt the teams/owner.

It's the Mike Trout effect. Putting all of your chips on one player to carry a team to glory is almost guaranteed financial suicide. Granted, the Dodgers have Mookie and Freddie to pick up some of that but it's the same idea. Look at the Angels now. Ohtani is gone and MLB fans are begging for Trout to be traded because the Angels are as good as dead and wont be able to compete for at least a decade, if not longer.

On the flip side though, if Shohei is productive for at least 7 of those 10 years, then the Dodgers will be able to print their own money until the end of time and they'll be able to sign FA's to similar contracts.

I didnt have a strong opinion one way or another for Salary Caps and Floors BEFORE Ohtani. Now...I'm starting to see that there might be a case for it.

If anyone in their right mind thought he came to America to play for the Angels his entire career, or really at all, they are naïve. He only played there to begin with because it was the offer that got him to t the states...
 
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pachyderm

macrumors G4
Jan 12, 2008
10,118
5,023
Smyrna, TN
If anyone in their right mind thought he came to America to play for the Angels his entire career, or really at all, they are naïve. He only played there to begin with because it was the offer that got him to t the states...
100% agreed. Pretty much my thoughts on any high profile player is as follows: How long until he goes to LA or NY...?
It's usually not long.

I was pleasantly surprised when the Harper went to Philly... even though he rejected us...
 
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Bodhitree

macrumors 68000
Apr 5, 2021
1,958
2,076
Netherlands
I saw that the contract featured a lot of deferred money. Ohtani gets just 2m a year, and the rest comes in 2034 afterwards in installments. So it allows them to build a team for winning over the ten years than he is playing, and then afterwards burdening the team with most of the payments. Be interesting to see if the Dodgers manage some World Series in the next ten years.
 

jedimasterkyle

macrumors 6502
Sep 27, 2014
430
631
Idaho
I saw that the contract featured a lot of deferred money. Ohtani gets just 2m a year, and the rest comes in 2034 afterwards in installments. So it allows them to build a team for winning over the ten years than he is playing, and then afterwards burdening the team with most of the payments. Be interesting to see if the Dodgers manage some World Series in the next ten years.
If they dont, it will be the BIGGEST blunder in all of MLB history.

Speaking of the deferments, I've been reading a lot of comments online from people who are in two different camps of opinion about it...
  • It was a GENIUS move by Shohei and the Dodgers in order to free up payroll flexibility for other FA's
  • It should be banned/illegal because it means the Dodgers can buy the BEST talent without going over the Luxury Tax, essentially becoming the new version of the Yankees when they would buy all of the best FA's.
Ironically, in the new CBA that was signed a few years ago and agreed upon by both MLB and the Players Union, there is NO limit for deferments.

It's fascinating and yet, disgusting, to see how the economics of MLB are playing out here.
 
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Bodhitree

macrumors 68000
Apr 5, 2021
1,958
2,076
Netherlands
The thing is, if the deferred contracts all come due at the same time for multiple top free agents, you’ll be in the inverse situation. You are robbing your future to allow for more success today.

Do you think the Dodgers would still have the fanbase they do if they had to keep team costs down and wouldn’t be able to afford the likes of Betts, Freeman, etc?
 

jedimasterkyle

macrumors 6502
Sep 27, 2014
430
631
Idaho
The thing is, if the deferred contracts all come due at the same time for multiple top free agents, you’ll be in the inverse situation. You are robbing your future to allow for more success today.
Youre not wrong and I dont know if there is necessarily a correct answer to any of this. The Dodgers are definitely putting in all of their chips with this so it's a giant gamble either way. They either win a succession of WS titles in the next 10 years OR they hope for the best and get lucky and win one...maybe two titles over the same span of time.

Do you think the Dodgers would still have the fanbase they do if they had to keep team costs down and wouldn’t be able to afford the likes of Betts, Freeman, etc?
Probably not BUT unlike other teams, the Dodgers are choosing to spend their money where as other teams who have the cash for other big FA's are choosing to remain within a very strict budget. If the Dodgers had kept quiet for the past 15 years, that stadium would be empty even though their payroll budget would be north of $350 Million, if not more.

Take the Mariners for example: They signed Julio Rodriguez to an insane contract because they are making him the face of the franchise for the future BUT they are not spending their money on other FA's to WIN. Mariners ownership (and other teams like them) are using their star players to bring in revenue for the sake of revenue. Not to go out and bring in more FA talent and win WS titles.

If anything, signing Ohtani is a statement of "We want to win and we are going to do whatever it takes to win". This is a direct challenge to the other teams to force their hand to do the same thing. This forces other owners to admit to three things:

  1. There are owners who will spend whatever they have to in order to win the WS, regardless if it works or not (Dodgers, Yankees, Rangers, Mets, Phillies, Angels, Padres, Braves)
  2. There are owners who would rather not spend money on FA's but are hoping that the FA's they do sign will be good enough to win a WS (Red Sox, Rays, Blue Jays, Astros, Cubs, Giants, D-Backs, Guardians, Twins)
  3. Lastly, there are owners who only see their team as an investment bank. Maybe sign ONE big FA (or prospect), make them the face of the franchise and dont make a real INTENTIONAL run at the post season (Mariners, Orioles, Marlins, Pirates, Reds, Royals, Cardinals, Brewers)
    1. The exception to this would be the teams who have all but given up trying to compete at all and only profit off of the licensing deals and ticket sales (Tigers, White Sox, A's, Rockies, Nationals)
 

Rafterman

Contributor
Apr 23, 2010
7,228
8,709
Wow, only $2 million a year for the first 10 years. I know Ohtani gets paid large after that, but still. Renting him for ten years for the price of a scrub.

But word is, he gets $50 million a year in endorsements, so he won't be hurting for those first ten years.
 

pachyderm

macrumors G4
Jan 12, 2008
10,118
5,023
Smyrna, TN
Wow, only $2 million a year for the first 10 years. I know Ohtani gets paid large after that, but still. Renting him for ten years for the price of a scrub.

But word is, he gets $50 million a year in endorsements, so he won't be hurting for those first ten years.
prolly gonna block you.... :p
 
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jedimasterkyle

macrumors 6502
Sep 27, 2014
430
631
Idaho

Amishpriest

macrumors member
May 15, 2022
86
97
Montgomery Village, MD
The Guardians also signed Ben Lively on a $750K one-year deal (yaaaay :p). Obviously a depth move whether or not Bieber gets dealt since he also has a minor league option left.

Honestly, regarding Bieber, it may end up being more worthwhile to hang on to him since he isn't going to get the Guardians much in return besides $12 million off the '24 payroll. If he performs well enough there's a world where they either get a better return at the trade deadline or they get draft pick compensation for a rejected Qualifying Offer (which of course they won't offer him unless they're 110% sure he'll turn it down).
 
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Don Quixote

macrumors 6502a
Aug 16, 2023
539
509
The Guardians also signed Ben Lively on a $750K one-year deal (yaaaay :p). Obviously a depth move whether or not Bieber gets dealt since he also has a minor league option left.

Honestly, regarding Bieber, it may end up being more worthwhile to hang on to him since he isn't going to get the Guardians much in return besides $12 million off the '24 payroll. If he performs well enough there's a world where they either get a better return at the trade deadline or they get draft pick compensation for a rejected Qualifying Offer (which of course they won't offer him unless they're 110% sure he'll turn it down).
Baseball used to be soooooo simple...
 

jedimasterkyle

macrumors 6502
Sep 27, 2014
430
631
Idaho
I really thought that the Yankees were the front runners for Yamamoto. But him going with the Dodgers makes sense because they are laundering money left and right.

What is even more insane is this: The Dodgers have spent over 1 BILLION DOLLARS in free agency this off season.

Like...what are we doing here?
 
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