ESPN Secures Stephen A. Smith with $100 Million Deal Amid Industry Changes

NEW YORK, March 7, 2025 — ESPN has re-signed Stephen A. Smith to a lucrative $100 million deal, solidifying his role as the face of “First Take” while allowing him more freedom to pursue political commentary. This agreement, announced Thursday, raises his annual salary from $12 million to $20 million and underscores the network’s investment in its leading personalities amid a shifting media landscape.

Industry insiders have expressed surprise at the size of the deal, with sports media analysts questioning the justification for such high salaries in the field. Richard Deitsch, a sports media writer, highlighted Smith’s unique value as an entertainer, emphasizing that “the product of ‘First Take’ is mostly Stephen A.” Deitsch added that letting Smith go would lead to uncertainty about finding a comparable replacement, further justifying ESPN’s investment.

Andrew Marchand, another sports media writer, noted the show’s revenue generation and Smith’s role as a leading personality in sports commentary. “There’s an argument that no one in sports media should make $20 million per year, but if anyone should, Stephen A. is at the top of the list,” Marchand explained. “The show brings in tens of millions of dollars per year. If you let Stephen A. go, is there a replacement?”

The agreement comes at a time of instability in the sports media industry, prompting discussions regarding fairness among on-air talents. Deitsch raised concerns about how Smith’s massive salary might affect morale at ESPN, stating, “Jealousy is a real thing.” However, Marchand pointed out that Smith’s appeal lies in his ability to attract viewers, further bolstering the network’s position.

In addition to the financial implications, the agreement allows Smith to focus on various interests outside sports discussions, an aspect he expressed excitement about on “First Take.” “I’ve got a lot of things that I want to achieve, a lot of things that I want to accomplish beyond this show and beyond the world of sports—but it all starts here,” Smith said during his announcement.

The high-profile contract underscores a trend in the industry where top talents continue to command extraordinary salaries, while the broader market may not see similar increases. Marchand discussed the importance of maintaining a healthy balance between star talents and the ‘middle class’ of sports media, a demographic that could be at risk as networks lean into more financially sustainable strategies.

As ESPN adapts to the evolving market, the impact of Smith’s continued presence and salary package remains to be seen, particularly within the context of broader industry dynamics.