Back on September 5, Penn State announced that it was making the switch from Nike to Adidas under a new 10-year deal starting in 2026. That partnership, reportedly worth around $300 million, may have had a much bigger influence than some could have imagined.
On October 12, Penn State fired head coach James Franklin in the middle of his 12th season. Franklin and the Nittany Lions were on a three-game skid, losing to Oregon, UCLA and Northwestern, despite entering the season ranked No. 3 in the country. Losing to the Wildcats was apparently enough — though it may not have been just athletic director Pat Kraft making the decision.
According to Pittsburgh Sports Now’s Mike J. Asti, the three-stripe brand itself reportedly played a huge role in Franklin’s firing.
“I have been told that Adidas drove the James Franklin firing and are why it happened today,” Asti was told by a Penn State source. “They committed to pay most or all of the money. They also wanted a new coach before recent losses, but they made it hard for anyone at PSU to argue.”
After Asti posted that on X, he said someone at Penn State reached out, claiming the decision to move on from Franklin was made by the administration — but there was no mention of Adidas’ involvement.
“I know there were people at PSU who wanted him gone, but what I’ve heard is Adidas helped make that happen today and the losses made any pushback impossible,” Asti added.
Penn State Has to Pay James Franklin Massive Buyout
Even after the loss to Northwestern, few believed Penn State would move on from Franklin. Despite his poor record against top-10 opponents, he was still considered one of the more proven coaches in the Big Ten, if not the country. Midway through his 12th season, Franklin was 104-45 and coming off a College Football Playoff semifinal appearance last year.
That was just one reason. There were millions of others — literally.
Depending on the report, Franklin’s buyout is said to be around $45 to $50 million, making it the second-largest in college football history, according to The Athletic. Texas A&M owed Jimbo Fisher $77 million when it fired him in November 2023.
This is yet another reason why Asti’s report could be true. Paying $50 million to fire a coach, only to then hire another one later on, won’t be cheap.
Adidas Deal Put In Question, Penn State Defends
If losing to Northwestern wasn’t bad enough, Penn State administrators were soon defending their new deal with Adidas. A recent report from Front Office Sports claimed trustees at Penn State were “outraged by the process behind the decision” to move on from Nike in favor of Adidas, specifically pointing to Kraft.
A particular part of the deal the trustees took issue with was the $500,000 “annual product allotment” for Kraft.
“That’s pretty standard for apparel deals, and it is for the discretion of the athletic department, it is not for Pat Kraft personally,” deputy athletic director Leah Beasley told FOS. “It is encompassing of many things. It’s for the university and athletic department to take care of coaches, staff and athletes. It’s for co-marketing dollars — we can do a lot with that money.”
Adidas may have had to cut a few more of those checks if Asti’s original report is true and the apparel brand is footing some of the bill for Franklin’s firing. Either way, this situation underscores how drastically the sport continues to change — and how easily it can be swayed by the almighty dollar.
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