Sports Illustrated, one of the most iconic sports magazines in the world, has laid off its entire staff. The news came as a shock to many, as the magazine has been a staple in the sports industry for over 80 years.
The layoffs were announced via email to staffers on Friday, leaving many employees devastated and uncertain about their future. The decision was made by Authentic Brands Group (ABG), the licensing group that purchased Sports Illustrated for $110 million five years ago.
The layoffs were a result of a termination of the licensing agreement between ABG and The Arena Group, which owns and operates Sports Illustrated. The Arena Group missed a $2.8 million payment to ABG, breaching the 10-year licensing deal. This comes shortly after The Arena Group also laid off 100 employees from its other publications, including Men’s Journal and Parade.
The layoffs mark another difficult chapter in Sports Illustrated’s recent history. Under the ownership of The Arena Group (previously known as The Maven), the magazine has faced numerous challenges. Earlier this year, Sports Illustrated was caught publishing AI-generated content under writers’ names that did not exist. While the company denied that the work was written by AI, it acknowledged that a third party created content for their website under pseudonyms.
Sports Illustrated has a rich history in sports journalism, dating back to its first issue in 1936. The magazine has covered some of the most memorable moments in sports and has awarded the prestigious “Sportsperson of the Year” title annually. However, its digital identity has struggled under new ownership, with the magazine’s website becoming a hub for other smaller sites.
The future of Sports Illustrated remains uncertain. The staff layoffs have raised concerns about the magazine’s ability to continue serving its audience in the same way it has for nearly 70 years. The Sports Illustrated Union has called on ABG to ensure the continued publication of the magazine and to honor all terms of the union contract.
The layoffs at Sports Illustrated serve as a reminder of the challenges faced by traditional media outlets in the digital age. As the industry continues to evolve, it is crucial for organizations to adapt and find sustainable models to thrive in the ever-changing landscape.
