How The Rock Is Turning $15M To A Billion

Friends,

Just when we were hanging our heads that football season was over, The Rock sits up like The Undertaker to revive football fans around the globe!

Today we dive into how The Rock will take his investment to $1B, but first let’s provide some background…

In August 2020, it was announced that a group including actor and former professional wrestler Dwayne "The Rock" Johnson had purchased the XFL for $15 million. The group also includes Johnson's business partner Dany Garcia and RedBird Capital Partners. The XFL is not new to the world of sports, however, and has a long and storied history.

The XFL, which stands for "Xtreme Football League," was first launched in 2001 as a joint venture between the World Wrestling Federation (now known as WWE) and NBC. The league featured eight teams and was intended to be a more entertaining and faster-paced version of football, with rule changes such as no fair catches and a shorter play clock.

Despite an initial surge of interest, the XFL's ratings and attendance declined rapidly as the season progressed. The league ultimately lost around $70 million in its first year and was discontinued after just one season.

Fast forward to 2020, the XFL made its return under the leadership of Vince McMahon, the chairman and CEO of WWE. The new version of the XFL featured eight teams and followed a similar model to the previous incarnation, with a focus on speed and entertainment.

The XFL had a successful launch, with its first weekend of games drawing an average of 3.1 million viewers across its four games. However, the league's momentum was halted by the COVID-19 pandemic, which forced the XFL to suspend its season after just five weeks.

Despite the setback, the XFL's return generated significant revenue in its short existence. The league's television rights deal with ESPN and Fox reportedly brought in $30 million per year, and the XFL also had partnerships with companies such as Bud Light, Gatorade, and FanDuel.

As for audience size, the XFL's initial success in 2020 was promising, with an average of 1.9 million viewers per game. The league's championship game, which was played in front of a sold-out crowd in Houston, drew an impressive 29,000 fans.

2023 XFL

Since the acquisition, The Rock and his team have not announced specific details on the new innovations they plan to incorporate into the XFL. However, they have expressed their commitment to reimagining the league and making it a success.

In an interview with USA Today, Johnson stated that he saw the XFL as an opportunity to create "something special" for fans and players alike. He noted that the league had a lot of potential, and that he and his team planned to focus on delivering "innovative, entertaining and engaging" football.

The Rock and his partners have also emphasized the importance of player safety and well-being, with Garcia stating in a press release that the XFL would prioritize "the health, safety and well-being of athletes" and offer "a renewed commitment to athlete-centric and fan-first, entertainment experiences."

It remains to be seen exactly what changes and innovations The Rock and his team will bring to the XFL, but their track record of success in the entertainment industry, combined with their passion for football, suggest that the league could be in for an exciting new era under their leadership.

Entrepreneurship

Here’s where it get’s interesting…

The Rock is not only one of the biggest super stars in the world, but over the last few years he’s been on an absolute tare in all of his business endeavors.

• Zoa Energy - Broke $100 million in retail sales in the first full year in 2022

• Teremana Tequila - Estimated $3.5 Billion and The Rock owns 30%

• Movies / 7 Bucks Production Company - Their films have grossed $4.6 at the box office. I would expect amazing stories from this team around the XFL season.

The Rock now has another avenue to promote these various business endeavors in an authentic way to provide brand value to the XFL as well as these brands. You’re already seeing it with Zoa Energy too.

So how does he take $15M to $1B?

For starters $15M seems like a steal, but The Rock and his team will use this platform to not only maximize the return on the XFL investment, but to amplify other business endeavors.

Who knows what other brands he can start off the backend of this league. Maybe something in the AI space for sports? A Cartoon series? Or anything he really wants because it seems like The Rock has converted his gold belt from his WWE days into anything he touches.

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