Vince McMahon is no stranger to big business having built his World Wrestling Entertainment into the wrestling/entertainment titan that it is today. Back in 2001, McMahon built a competitor to the National Football League in the XFL but it only lasted for one season. Earlier this year he announced the relaunch with what was believed to be a $100 million investment but ESPN reports it will actually be a $500 million investment for the first three seasons. The relaunch of XFL was originally headlined by McMahon’s decision to sell $100 million in WWE stock.
The XFL is scheduled for a reintroduction to the sports world under the brand of Alpha Entertainment in February of 2020, after the wrap of the Super Bowl in the NFL.
“People were focused on the $100 million, but the truth is that doesn’t even get us to the 20-yard line,” league CEO and commissioner Oliver Luck shared.
The biggest expenses for the relaunch of the league will be paying players and coaches, with the average salary for those who make the teams in the proximity of $75,000, but the insurance to care for injuries occurred during the game will also be a major cost for the league as there are few companies that will serve the type of insurance needed for the venture. Insurance premiums are looking to cost in the ballpark of $10 million a year.
The relaunch of the XFL will feature teams in Atlanta, Orlando, Birmingham, Memphis, San Antonio, Salt Lake City, San Diego and Phoenix. The NFL won’t be the only competition for the XFL, the Alliance of American Football league is also scheduled to join the professional football world.