Dodgers stunning Shohei Ohtani investment takes them into class of their own

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For a player who just received the largest contract in sports history, Shohei did not play show me the money not immediately anyway.

Shohei Ohtani agreed to a 10-year, $700 million contract to turn the Dodgers from a super power to whatever weight class exists above that. Universal goliath? Galactic titans?

The reigning AL MVP is said to have insisted on deferring much of his salary to help the Dodgers with both cash flow and by lowering the current average value of the contract, which is what counts toward computing the luxury tax.

The average value without deferals would be $70 million, but with deferrals that number is going to drop substantially once MLB and the Players Association agree on the computation. For luxury-tax purposes, the value could decrease by $20 million-ish or $30 million-ish annually, or even more, depending on items such as how much is deferred over how long a period of time.

That, in theory, will give Los Angeles more maneuverability to pursue other players at a time when they still might need to add two or even three starters to support an otherwise mostly inexperienced current rotation.

But this also is familiar to the Dodgers, who among others already had greatly deferred the long-term contracts of Mookie Betts and Freddie Freeman to improve current cash flow and luxury-tax status.

Dodgers_stunning_Shohei_Ohtani_investment_takes_them_into_class_of_their_own 3Shohei Ohtani will join Freddie Freeman and Mookie Betts as stars in the Dodgers’ lineup. USA TODAY Sports via Reuters Con3It is possible that Ohtani by being willing to defer such an extraordinary amount in exchange for such a large total dollar figure has provided a blueprint for others.

For example, Yoshinobu Yamamoto probably will not need to follow such a path because the bidding on the star Japanese righty is going to be so intense that he might soar beyond $300 million in his final number without deferrals. But you can imagine teams that are stressed by the luxury tax and have interest in Yamamoto, like the Mets and Yankees, would love a way to lower his current annual average value and might be willing to pay more to do it with deferrals?

Of course, Ohtani can be more willing to defer than others because the estimate is he makes between $20 million-$30 million off the field as well. And the Dodgers were able to be more aggressive because Ohtani is the rare baseball player who brings in so many ancillary dollars to offset his contract.

But whatever is being done long term with Ohtanis money, the total still staggers. It is $26 million more than the $674 million pact that Lionel Messi signed with Barcelona. For North American team sports, it dwarfs what had been the highest the 10-year, $450 million Chiefs deal with Patrick Mahomes. And also obliterates what was the MLB record, the 12-year, $426.5 million of his now former Angels teammate Mike Trout and the free-agent record pact that Aaron Judge received of nine years at $360 million last offseason.

Maybe another way to consider it all is: What would Babe Ruth receive today in free agency?

Because Ohtani has been Ruth-ian in his ability to hit, pitch and rise above the game in popularity. Ohtani will not pitch in 2024 following his second Tommy John surgery another reason the Dodgers need to add starters. But the only player in MLB history to twice win an MVP unanimously (including in 2023) will join former MVPs Betts and Freeman in what feels a little like Kevin Durant joining the Warriors considering Betts and Freeman just finished second and third, respectively, for NL MVP.

Dodgers_stunning_Shohei_Ohtani_investment_takes_them_into_class_of_their_own 3Shohei Ohtani’s megadeal with the Dodgers obliterated the previous MLB record set by Mike Trout. Corey Sipkin for the NY PostOhtani does not talk much to reporters but has said winning was central to his desires. He played six years with an Angels team that never finished above .500, much less reached the postseason. He stayed in the same southern California region, picking a team that has made the playoffs 11 straight seasons, including 10 as NL West champs. Still, the Dodgers have only one World Series since 1988, in the pandemic-shortened 60-game 2020 campaign.

The investment in Ohtani, of course, screams that the Dodgers hunger for more. And now the inability of teams such as the Blue Jays and Cubs to land Ohtani will force a seismic pivot that should fully unlock offseason business. Ohtani is so special that he was holding up so much as players and teams were determining just who would be left with how much money and what needs.

On this historic Saturday, though, the biggest business of this offseason and arguably ever was completed. Ohtani landed the largest contract ever though with a delayed-release element.

And the Dodgers so overinflated their star power that even while awarding so much money for so long, it nevertheless was a case of the rich getting richer.

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