‘Behind the Blue’: The state of college athletics with JMI’s Erik Judson
LEXINGTON, Ky. (Jan. 26, 2026) — The business of college athletics is at an inflection point, and leaders across higher education are grappling with a new reality: rising costs, shifting rules and a model many say can’t hold.
On this week’s episode of “Behind the Blue,” Eric Monday, University of Kentucky executive vice president for finance and administration and co-executive vice president for health affairs continues the “Business of UK” series with guest Erik Judson, founder and CEO of JMI Sports, for a wide-ranging conversation about the changing economics of college sports.
Judson, who has spent three decades in the business of sports, says the current landscape has moved from one of the most regulated systems to one that now feels chaotic and inconsistent.
“As we sit here today, it's absolutely not sustainable,” Judson said, adding that the rapid shift has made it difficult for institutions to keep up with mounting and often unfunded costs.
Those pressures include new financial obligations tied to the House settlement, expanded scholarships, increased spending around name, image and likeness, and escalating salaries across athletics departments — from coaching staff to the broader operational ecosystem.
In response, Judson argues athletic departments must become more disciplined and business-minded — not by changing the student-athlete experience, but by professionalizing the way programs generate revenue and manage expenses.
“It’s not just a revenue problem, it’s a cost problem,” he said.
A key theme of the discussion is the need for clearer rules and enforceable standards. Judson calls for “guardrails” to reduce uncertainty across the sport — ideally with help from Congress — so schools can compete in a system everyone understands and is expected to follow.
Judson also points to creative policy options that could discourage runaway spending while preserving competitive opportunity — including the idea of a luxury tax model that penalizes programs that far exceed agreed-upon limits.
Despite the turbulence, Judson ends on an optimistic note: the passion that fuels college sports — among fans, communities and stakeholders — can also drive the momentum needed to build a healthier, more stable future.
Listeners are encouraged to submit questions and ideas for future Business of UK episodes by emailing businessofUK@uky.edu. Upcoming installments will focus on the university’s $8.7 billion enterprise budget, how it is structured, and how resources are allocated across education, research, health care and service throughout the Commonwealth.
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“Behind the Blue” is a joint production of the University of Kentucky and UK HealthCare. Transcripts for this or other episodes of “Behind the Blue” can be downloaded from the show’s blog page.
As the state’s flagship, land-grant institution, the University of Kentucky exists to advance the Commonwealth. We do that by preparing the next generation of leaders — placing students at the heart of everything we do — and transforming the lives of Kentuckians through education, research and creative work, service and health care. We pride ourselves on being a catalyst for breakthroughs and a force for healing, a place where ingenuity unfolds. It's all made possible by our people — visionaries, disruptors and pioneers — who make up 200 academic programs, a $476.5 million research and development enterprise and a world-class medical center, all on one campus.