Stephen A. Smith, a prominent figure on ESPN’s First Take, is currently in the throes of contract negotiations that extend beyond simple salary discussions.
With his contract set to expire in July 2025, Smith is eyeing a substantial enhancement of his terms with ESPN, inspired by the lucrative arrangement that fellow broadcaster Pat McAfee secured with the network.
Last week, Puck’s John Ourand reported that ESPN had tabled an offer to Smith for an $18 million annual salary, a significant increase from his current $12 million. However, Smith, represented by WME (which also represents Puck), is reportedly holding out for a more ambitious $25 million per year—the same total ESPN allocates annually to McAfee’s production team to operate his show. This figure isn’t just for McAfee’s pocket but covers the entire operating costs of his program, including salaries, insurance, and other fixed expenses.
On Monday, Ourand elaborated on Smith’s aspirations, explaining that Smith is particularly drawn to the type of deal McAfee received, which includes not just a salary but also a comprehensive production budget. “Smith covets the blockbuster deal that the network used to persuade McAfee to decamp last year from FanDuel,” Ourand wrote. “Notably, ESPN pays McAfee’s production company, which operates his talk show, $25 million a year—a fee that covers all its operating costs: salaries, insurance, fixed costs, etcetera.”
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Beyond mere salary equivalence, Smith is pushing for an “expanded role” at ESPN.
This would not only increase his compensation but also enhance his influence within the network, including a greater presence in NFL coverage and potentially broader responsibilities as a producer.
Smith, already serving as an executive producer on First Take, might leverage this opportunity to establish “Stephen A. Smith Enterprises,” a move that could pave the way for building his own media empire.
Despite these ambitious plans, negotiations between Smith and ESPN are noted to be “fairly far apart,” with no strict deadline set for a resolution.
Reflecting on his aspirations in a discussion with Rich Eisen on Monday, Smith expressed a desire to expand his brand beyond the confines of sports commentary. He is considering a wider digital footprint that might include hosting live shows on topics extending into politics and other areas beyond sports.
As the negotiations progress, it’s clear that Smith is setting the stage for a significant evolution in his career, aiming not only for a pay rise but for a transformational change in his professional trajectory with ESPN.
