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    LIV Golf Talks a Big Game to the Global Elite. Now Come the Majors.

    Despite setbacks, LIV’s executives insist the Saudi-backed league is soaring. For many fans, the rhetoric is less important than results at events like the Masters Tournament.MIAMI BEACH — On Thursday afternoon, one week before the Masters Tournament, Greg Norman sat not at a golf course, but in a building populated that day by billionaires, royals and former prime ministers.He had a case to make: that LIV Golf, the insurgent circuit that he has built with a 10-figure pot of money from Saudi Arabia’s sovereign wealth fund, has made itself into a muscular, undaunted rival to the PGA Tour.Norman might have been too sanguine at times — in court documents, LIV’s own lawyers said the league had been relegated to a “secondary” television network and that it had faced revenues of “virtually zero” — but it may matter only so much. For many casual fans, LIV’s legitimacy, if the league lasts, is most likely to be settled at places like Augusta National Golf Club, not at meetings of the global elite or in a thicket of antitrust case filings.LIV players have competed in major tournaments since their defections from the PGA Tour with varied results: Bryson DeChambeau and Dustin Johnson finished in the top 10 at last July’s British Open, where Brooks Koepka and Phil Mickelson missed the cut. This year, though, offers a more formidable test because it will be the first time some of the Saudi-backed league’s golfers will play the full cycle of the Masters, the P.G.A. Championship, the U.S. Open and the British Open, after months of reveling in a slimmer competition schedule.If one of the players can break through and claim a green jacket or a claret jug or one of golf’s other great prizes, LIV will have achieved its mightiest measure of vindication to date.A major championship would not solve LIV’s myriad troubles, including executive upheaval, exclusion from the Official World Golf Ranking and a product often drowned out by a PGA Tour loath to acknowledge that it has maybe taken a few recent cues from a new rival. Such a victory would certainly not extinguish the perception among critics that the league is tarnished by its association with Saudi Arabia.But it could enchant fans and encourage at least some of them to keep tabs on a league that has, so far, largely been marked by bravado. It could intensify the pressure on the organizers of the major tournaments to find ways to keep LIV golfers more easily in the qualifying mix, and it would curb the notion that 54-hole tournaments are no way to prepare for golf’s most pressurized tests.“Anytime you win the Masters or the Open, that’s usually a pretty big statement,” Koepka, who won two P.G.A. Championships and two U.S. Opens before he switched to LIV, said ahead of the circuit’s pre-Masters competition near Orlando, Fla. Even PGA Tour stalwarts have begrudgingly acknowledged that a LIV victory in a major, especially an early one like the Masters, would unleash a shower of athletic attention on a league that has frequently drawn more headlines for its finances.Cameron Smith, who won the 2022 British Open, may have the best chance of being LIV Golf’s first major winner.Mike Ehrmann/Getty ImagesThe league’s best chance may come in Cameron Smith, whose thrilling Sunday showing at last year’s British Open earned him his first major title less than two months before he moved to LIV. But Johnson, who won the 2020 Masters with the lowest score in the event’s history, lurks. LIV will have five other past Masters champions in Augusta and an array of past major winners, such as Koepka and DeChambeau, looking to prove that they can contend again.“At least for myself, it’s going to be business as usual going out and playing,” said Patrick Reed, who won the 2018 Masters. “Would I like to have LIV be up at the top? Of course. But really at the end of the day, it’s all of us going in there and just trying to play the best golf we can and be ready for the four biggest weeks of the year.”Mickelson, who has six major tournament victories over his long career, the most of any LIV golfer, recently shrugged off the chatter about whether the league’s players will be prepared as “tongue in cheek.” Johnson has done much the same.“Doesn’t make a bit of difference, no sir, not to me,” he said in an interview last month. “It’s golf. You play how many ever days you can.”The results will bear out whether that talking point has any staying power, the evidence available for anyone to evaluate. LIV may not require an outright victory at Augusta, where PGA Tour stars such as Scottie Scheffler, Rory McIlroy and Jon Rahm are arriving after months of generally excellent outings. But if the league’s players are well clear of the top of the leaderboard, the snickers will grow as much as some of the golfers’ bank accounts have.LIV executives and Saudi officials have known for years that for a league to prove viable, it would have to include the biggest names in golf. LIV has attracted some, but relevancy is fleeting, and the majors represent the league’s best opportunity to dazzle people into interest in a new product. But if players such as Smith and Johnson are unable to recreate their past magic sooner than later, the league’s prospects could diminish into a circuit of also-rans.Yasir al-Rumayyan, left, the governor of the Public Investment Fund in Saudi Arabia, with Majed Al Sorour, then the chief executive of Golf Saudi, and Norman at the Bedminster Invitational in Bedminster, N.J., in 2022.Seth Wenig/Associated PressNorman did not mention that possibility during his appearance on Thursday in Florida. Instead, he talked of administrative and operational “headwinds,” which he blamed on the PGA Tour, such as the challenge of securing vendors and sponsors.But Norman’s presence on the stage in Miami Beach was somewhat remarkable, following months of a lower profile after he provoked broad condemnations for statements that downplayed Saudi Arabia’s record of human rights abuses. (In perhaps the gravest conflagration, he appeared to diminish the gravity of the murder of the Washington Post columnist Jamal Khashoggi, saying, “Look, we’ve all made mistakes.”)Norman’s appearance on Thursday carried the imprimatur of Yasir al-Rumayyan, the wealth fund’s governor who took the stage hours before Norman declared that “our partnership and our investor is 100 percent sustainable — we are not going to go anywhere.”LIV’s star turn at the event in Florida could be seen as a vote of confidence in Norman, who has defied months of speculation that his ouster as LIV’s commissioner was imminent. It was also a signal that Saudi Arabia’s interest in global sports has not vanished amid plentiful turbulence, not least in an American court system that has dealt the kingdom a series of blows.Al-Rumayyan, who in addition to being LIV’s patron and the chairman of the English soccer team Newcastle United, said nothing in public about whether he intends to steer the wealth fund toward new sports investments. Before the audience of tastemakers and sought-after investors, though, Norman appeared to suggest that some in the Saudi orbit regard LIV much like a test drive.“We know as we look at our platform and our business model, that can be replicated in other sports as well,” said Norman, a three-time runner-up at Augusta National. “Our first proof point is proving out what we’re doing.”For the people who ultimately dictate a product’s significance — fans, not investors — the majors would be a good place to start. More

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    Forged After a Tumultuous Era, World Golf Championships Fade in Another

    A match play event in Texas may be the last W.G.C. event, ending an international competition that preceded golf’s high-rolling present.AUSTIN, Texas — It was not all that long ago — Tom Kim, after all, is only 20 years old — but before Kim emerged as one of the PGA Tour’s wunderkinds-in-progress, he would watch the World Golf Championships.“For sure, 100 percent,” Kim cheerfully reminisced as he clacked along this week at Austin Country Club, the site of the championships’ match play event. “There was W.G.C. in China. There was Firestone before. You had Doral. You had this.”Had, because once one man wins on Sunday, the championships appear poised to fade away. An elite competition forged, in part, because of another era’s tumult has become a casualty of this one’s.“Everything runs its course and has its time,” said Adam Scott, who has twice won W.G.C. events. Barring a resuscitation, which seems improbable given the PGA Tour’s business strategy these days, the W.G.C.’s time was 24 years.The W.G.C. circuit was decaying before LIV Golf, the Greg Norman-fronted league that is cumulatively showering players with hundreds of millions of dollars from Saudi Arabia’s sovereign wealth fund, cleaved men’s professional golf last year. Two W.G.C. events vanished after their 2021 iterations, and a third, always staged in China, has not been contested since 2019 because of the coronavirus pandemic.And as the PGA Tour has redesigned its model to diminish LIV’s appeal, even the Texas capital’s beloved match play competition has become vulnerable to contractual bickering and shifting priorities.“We’ve had great events and great champions, but the business evolves and it adapts,” Jay Monahan, the PGA Tour commissioner, said this month, when the tour reinforced its decision to wager its future on “designated events” that should command elite fields and, in some cases beginning next year, be no-cut tournaments capped at 80 players or less. (LIV, whose tournaments always have 48-man fields and no cuts, responded with a wry tweet: “Imitation is the greatest form of flattery. Congratulations PGA Tour. Welcome to the future.”)With a $20 million purse, doubled in size from five years ago, the match play competition that began on Wednesday is a designated event under the 2023 model. Next year, though, it will not be on the calendar at all, winnowing the W.G.C. to one competition. And Monahan has said it would be “difficult to foresee” when his circuit’s schedule might again include the HSBC Champions, the W.G.C. event in China that will be the last remaining event formally existing in the series.The Chinese tournament’s website has had few updates in recent years, and an inquiry with the event’s organizers went unanswered. HSBC, the British banking powerhouse that is the tournament’s title sponsor, declined to comment.But the PGA Tour’s freshly calibrated distance from the Shanghai competition is fueling what looks to be an unceremonious end for the W.G.C., which were announced to immense fanfare in 1997, when the tour and its allies were smarting over Norman’s failed quest to start a global circuit for the sport’s finest players. The events, which debuted in 1999 with a match play event that sent some of the game’s best home after the first day, were intended to entice and reward the elite without challenging the prestige of the four major tournaments, as well as to give men’s professional golf a greater global footprint.It worked for a spell, and five continents hosted W.G.C. events, many of which Tiger Woods dominated. With the exception of the Chinese tournament, though, the circuit had lately been played in North America.“The ‘world’ part of the World Golf Championships wasn’t really in there,” Rory McIlroy, the four-time major tournament winner whose W.G.C. résumé includes a victory in the 2015 match play event, mused in an interview by the practice putting green.McIlroy, among the architects of the tour’s reimagining as Norman’s unfinished ambitions proved more fruitful this time around, said he had also worried that the W.G.C. events had come to lack “any real meaning,” even as they had been “lovely to be a part of, nice to play in and nice to win.” The tour’s emphasis on select tournaments, many executives and top players like McIlroy believe, will lend more consequence to its season and make it a more appealing, decipherable and concentrated product that can fend off the assault by a LIV circuit bent on simplifying — its critics say diluting — professional golf.“Your casual golf fan knows the majors, the Ryder Cup and maybe the events that are close to their hometown,” said McIlroy, who is among the players devising a new weeknight golf competition that is expected to start next year. “I get it: Professional golf is a very saturated market with a ton of stuff going on, and people have limited time to watch what they want to watch.”The Austin tournament’s end will, at least for now, reduce match play opportunities on the circuits that have been aligned with the W.G.C. Though the Austin event — which has three days of group-stage play, followed by single-elimination rounds — has a field of only 64 players, less than half of the size of last year’s British Open, it has been larger and more accessible than other signature match play tournaments.Rickie Fowler hits from the rough during the first round of W.G.C. match play.Eric Gay/Associated PressBut given the format’s popularity, it will linger, if a little less, on the international golf scene. The Presidents Cup, Ryder Cup and Solheim Cup will remain fixtures — the Solheim will be contested in Spain in September, with the Ryder decided soon after in Italy — and more modest events, such as the International Crown women’s tournament that will be played in May, still dot the calendar.Some players this week appeared more mournful than others about the erosion of the W.G.C. and the decline of match play. Scott said he hoped the tour’s new system would be able to accommodate the next generation of ready-for-stardom players from around the world, as the W.G.C. did, even as he said he was not insistent that match play be a staple.“We don’t play much match play, so the kind of logic in me questions its place in pro golf, but also we’ve got to entertain as well, and if people like to see it and sponsors want to see it, yep, I’m up for it,” Scott said.He grinned.“Maybe we should have some more, get a bit more head-to-head and see if guys like each other so much after,” he offered mischievously. “The year of match play!”The PGA Tour has not ruled out a return to the format, though it would assuredly be limited. LIV could also eventually try to tap into interest. At an event in Arizona last week, Phil Mickelson, a LIV team captain, said that match play was “certainly something that we are discussing as a possibility for the season-ending event.”But the W.G.C. appear effectively finished. Kim, the youngest player this week, was delighted that he had arrived just in time.“I played once before it all goes away,” said Kim, who has six top-10 finishes in his early tour career and expressed confidence in the circuit’s direction. “I played once in my life.”He wandered off to practice. A round against Scottie Scheffler, the reigning match play champion and the No. 1 player in the Official World Golf Ranking, loomed soon enough. More

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    LIV Golf Series Reaches TV Deal With The CW

    After its debut season was relegated to internet platforms, the circuit that includes Phil Mickelson and Cameron Smith will be on the CW network in 2023.LIV Golf, at last, has a television deal.The new circuit, bankrolled by Saudi Arabia’s sovereign wealth fund and the catalyst for a year of turmoil in men’s professional golf, said Thursday that its 54-hole, no-cut tournaments would air on the CW network and its app beginning next month.Although the arrangement is a milestone for LIV Golf, whose tournaments last year were relegated to internet streams even as it showcased stars like Brooks Koepka, Phil Mickelson and Cameron Smith, the deal also underscores the circuit’s short-term limitations and the challenges any alternative league faces in gaining entry into the American sports market.America’s top broadcasters were unlikely candidates for LIV Golf. CBS and NBC appeared unwilling to consider airing its events because of their close ties to the PGA Tour, and Disney-owned ABC was seen as a seemingly improbable landing spot because ESPN, which Disney also controls, streams many tour events. Another potential suitor, Fox, has stepped back from golf coverage in recent years.LIV Golf and CW officials did not immediately disclose the financial terms of the agreement, but a person familiar with the arrangement, who spoke on the condition of anonymity because the contract’s details were confidential, said LIV had not purchased airtime from the network. Instead, the person said, the terms offered both sides mutual financial benefits.“Our new partnership between the CW and LIV Golf will deliver a whole new audience and add to the growing worldwide excitement for the league,” Dennis Miller, the network’s president, said in a statement. “With CW’s broadcasts and streams, more fans across the country and around the globe can partake in the LIV Golf energy and view its innovative competition that has reimagined the sport for players, fans and the game of golf.”The agreement is a reprieve for LIV, which has spent recent months staring down its skeptics who have criticized the new tour’s absence of a television deal, its limited attendance at tournaments and the PGA Tour’s retention of many of the world’s top players. LIV Golf is hoping that its second season, which will begin with a tournament in Mexico in late February, will lead to fan and financial breakthroughs, especially as it more fully embraces a model that emphasizes franchises..css-1v2n82w{max-width:600px;width:calc(100% – 40px);margin-top:20px;margin-bottom:25px;height:auto;margin-left:auto;margin-right:auto;font-family:nyt-franklin;color:var(–color-content-secondary,#363636);}@media only screen and (max-width:480px){.css-1v2n82w{margin-left:20px;margin-right:20px;}}@media only screen and (min-width:1024px){.css-1v2n82w{width:600px;}}.css-161d8zr{width:40px;margin-bottom:18px;text-align:left;margin-left:0;color:var(–color-content-primary,#121212);border:1px solid var(–color-content-primary,#121212);}@media only screen and (max-width:480px){.css-161d8zr{width:30px;margin-bottom:15px;}}.css-tjtq43{line-height:25px;}@media only screen and (max-width:480px){.css-tjtq43{line-height:24px;}}.css-x1k33h{font-family:nyt-cheltenham;font-size:19px;font-weight:700;line-height:25px;}.css-1hvpcve{font-size:17px;font-weight:300;line-height:25px;}.css-1hvpcve em{font-style:italic;}.css-1hvpcve strong{font-weight:bold;}.css-1hvpcve a{font-weight:500;color:var(–color-content-secondary,#363636);}.css-1c013uz{margin-top:18px;margin-bottom:22px;}@media only screen and (max-width:480px){.css-1c013uz{font-size:14px;margin-top:15px;margin-bottom:20px;}}.css-1c013uz a{color:var(–color-signal-editorial,#326891);-webkit-text-decoration:underline;text-decoration:underline;font-weight:500;font-size:16px;}@media only screen and (max-width:480px){.css-1c013uz a{font-size:13px;}}.css-1c013uz a:hover{-webkit-text-decoration:none;text-decoration:none;}What we consider before using anonymous sources. Do the sources know the information? What’s their motivation for telling us? Have they proved reliable in the past? Can we corroborate the information? Even with these questions satisfied, The Times uses anonymous sources as a last resort. The reporter and at least one editor know the identity of the source.Learn more about our process.In December, when The New York Times disclosed a confidential McKinsey & Company analysis from 2021 that suggested that a Saudi-backed, franchise-filled golf league would face a tricky path to profitability and relevancy, a spokesman for the circuit said LIV was “confident that over the next few seasons, the remaining pieces of our business model will come to fruition as planned.”The McKinsey analysis considered a television deal a vital ingredient for a league’s success and suggested that the concept that became LIV could earn as much as $410 million from broadcast rights in 2028, if it settled into what it called a “coexistence” with the PGA Tour. But if the league remained mired in “start-up” status, the consultants wrote, it could expect no more than $90 million a year for its broadcast rights in 2028.In its antitrust case against the PGA Tour, which is not scheduled to go to trial before next January, LIV Golf has used its struggles to secure a television deal as evidence of what it sees as the long-dominant tour’s monopolistic behavior.The tour, which has television deals that will pay it billions of dollars in the coming years, has denied wrongdoing. But in a filing in August, LIV Golf’s lawyers asserted that the tour had “compromised” the new league’s prospects to reach a rights agreement and said that the tour had “threatened sponsors and broadcasters that they must sever their relationships with players who join LIV Golf, or be cut off from having any opportunities with the PGA Tour.”LIV also said that CBS officials had said “they cannot touch LIV Golf even for consideration” because of the network’s ties to the PGA Tour. (Paramount Global, which controls CBS, holds a minority stake in the CW. The tour also has a contract with Warner Bros. Discovery, another minority stakeholder in the CW.)LIV’s pursuit of a television deal proved more turbulent — or at least more public — than the last time its chief executive, Greg Norman, tried to build a rival to the PGA Tour. In 1994, when Norman rolled out plans for a new tour, he had buy-in from Fox, which had extended a 10-year commitment. The uprising ended quickly anyway.Despite the headwinds this time, Norman had projected confidence for months that LIV would secure some kind of contract. In November, he called a television deal “a priority” and predicted that one would be locked down “very, very soon.” More

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    Masters Tournament Will Let LIV Golf Players Compete in 2023

    The decision by Augusta National Golf Club is an interim victory for the upstart circuit, but other troubles loom.Augusta National Golf Club will allow members of the breakaway LIV Golf league to compete in the Masters Tournament, the first men’s golf major of 2023.The decision by the private club, which organizes the invitational tournament and has exclusive authority over who walks its hilly, pristine course each April, is an interim victory for LIV, the upstart operation bankrolled by Saudi Arabia’s sovereign wealth fund to much of the golf establishment’s fury.“Regrettably, recent actions have divided men’s professional golf by diminishing the virtues of the game and the meaningful legacies of those who built it,” Fred S. Ridley, Augusta National’s chairman, said in a Tuesday statement. “Although we are disappointed in these developments, our focus is to honor the tradition of bringing together a pre-eminent field of golfers this coming April.”But the approach announced by the club on Tuesday — continuing to rely on qualifying categories that often hinge on performances in PGA Tour competitions or other majors, or on certain thresholds in the Official World Golf Ranking — threatens to limit access for LIV players as more years pass, which could ultimately make it more difficult for LIV to attract new golfers.Ridley said Augusta National evaluates “every aspect of the tournament each year, and any modifications or changes to invitation criteria for future tournaments will be announced in April.”LIV declined to comment on Tuesday.The organizers of the British Open, the P.G.A. Championship and the U.S. Open have not said how or whether they will adjust their 2023 entry standards in the wake of LIV Golf’s emergence this year. Augusta National, though, has now offered what could be a template for LIV’s short-term relationships with the major tournaments.Augusta National, for instance, did not abandon its tradition of offering past winners lifetime entry into the tournament, a reprieve for the six LIV players who have already earned green jackets: Sergio Garcia, Dustin Johnson, Phil Mickelson, Patrick Reed, Charl Schwartzel and Bubba Watson. Recent winners of other majors will still qualify for the 2023 Masters, clearing the way, for at least a little longer, for players like Bryson DeChambeau, Brooks Koepka and Cameron Smith.And Augusta, which has become entangled in the Justice Department’s antitrust inquiry into men’s professional golf, will continue to admit players who are in the top 50 in the world rankings at certain times.The world ranking system is a weapon that is as subtle and technical (and disputed) as it is consequential and, for some golfers, determinative. LIV players do not currently earn ranking points for their 54-hole, no-cut events, and they have fallen in the rankings as other golfers have kept playing tournaments on eligible tours. In July, LIV applied to be included in the rankings, and more recently, it partnered with the MENA Tour, which is a part of the system, to try to keep its players in the mix.But the board that oversees the rankings includes golf executives whose reactions to the breakaway series have ranged from skeptical to hostile, and the group has not embraced LIV’s requests. If major tournaments like the Masters continue to use world ranking points as a qualifying method, at least some players will see their entry prospects evaporate. A sustained reliance on PGA Tour events as other qualifying avenues will also stanch access for LIV players.Whether LIV golfers can play the majors may be crucial to the upstart’s prospects in the years ahead. Beyond golfing glory, major championship winners earn heightened public profiles, and they are more likely to attract lucrative sponsorship arrangements. If LIV’s players face extraordinary constraints on their chances simply to reach a major tournament field, much less to win the competition, the league may have trouble recruiting new players.The possibility of exclusion from the majors was enough to warrant a brief legal spat over the summer, when the LIV players Talor Gooch, Matt Jones and Hudson Swafford asked a federal judge to order their participation in the PGA Tour’s FedEx Cup playoffs. Gooch, Jones and Swafford had all failed to qualify for the 2023 majors through other means, and their lawyers warned that keeping them from the playoffs would probably end their chances at doing so. Heeding the arguments of the PGA Tour, which said that “antitrust laws do not allow plaintiffs to have their cake and eat it too,” the judge turned back their request.Augusta National’s decision on Tuesday, fleeting as it might ultimately prove, is still a milestone for LIV, which has not signed a television contract or attracted marquee sponsors. Those symptoms of trouble have only deepened concerns about the long-term viability of the new tour, which many critics regard largely as a means for Saudi Arabia to sanitize its reputation as a human rights abuser. Last week, the circuit acknowledged that its chief operating officer, who was widely seen as integral to its business ambitions, had resigned.In recent months, Greg Norman, LIV’s chief executive, urged major tournaments to “stay Switzerland” and allow his circuit’s players to participate.“The majors need the strength of field,” Norman, a two-time British Open victor and three-time runner-up at the Masters, said last month. “They need the best players in the business. They want the best competition for their broadcasting, for their sponsors, all the other things that come with it.”But LIV stands to benefit, too. A victory in a major by one of its players, LIV supporters have said, would give the circuit greater legitimacy.“If it is a LIV player who wins a major next year,” Norman said, “that goes to show you how we work within the ecosystem.” More

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    Atul Khosla, Chief Operating Officer of LIV Golf, Exits Saudi-Backed League

    The executive’s departure is the latest turmoil for LIV, which has drawn plenty of attention but no major television or sponsorship deals.Atul Khosla, the veteran sports executive who was expected to guide LIV Golf into the franchise model on which it has staked its viability, has resigned from the venture that Saudi Arabia’s sovereign wealth fund financed in a challenge to the PGA Tour.Khosla’s exit, just more than a year after LIV announced his appointment as its chief operating officer, comes as the start-up struggles to gain sustained traction and, confidential records reported by The New York Times this week suggest, is far from reaching the benchmarks that would make it successful.“At the conclusion of LIV’s successful inaugural season, Atul Khosla decided to move on,” Greg Norman, LIV’s commissioner, said in a statement on Friday, days after players and agents were privately told that Khosla would step down. “We respect A.K. and his personal decision.”Khosla is not the first senior official to leave LIV this year, and the outfit has faced questions over the future of Norman, a two-time winner of the British Open and a vociferous critic of the PGA Tour’s design. But while a departure by Norman would threaten to deprive LIV of one of men’s golf’s most familiar and time-tested voices, Khosla was increasingly seen as the LIV executive most integral to fashioning a way forward.At the same time, suspicions about the true scope of his power swirled in the weeks before he left LIV. In a recent court filing, the PGA Tour accused the governor of Saudi Arabia’s Public Investment Fund, as the wealth fund is formally known, of having an outsize role in managing an operation that has attracted a handful of the world’s top players, including Dustin Johnson, Brooks Koepka, Phil Mickelson and Cameron Smith.But even with the defections of those players and some others from the PGA Tour, LIV has not secured the television and sponsorship arrangements that are the lifeblood of top-tier professional sports. Such deals were seen by McKinsey & Company consultants, in an analysis privately prepared for Saudi officials last year, as vital to the new league’s prospects for success.Moreover, LIV, which some experts regard as little more than an effort by Saudi officials to sanitize the country’s reputation as a human rights abuser, has not achieved other benchmarks identified by McKinsey as crucial to realizing even a “coexistence” with the PGA Tour, including signing most of the world’s top 12 golfers and facing “no/mild response” from the golf establishment.LIV has insisted, though, that it remains on track as it heads toward a system in which its teams will act as franchises. In a statement to The Times last week, Jonathan Grella, a LIV spokesman, said that it “has repeatedly made clear that our stakeholders take a long-term approach to our business model.”“Despite the many obstacles put in our path by the PGA Tour, we’re delighted with the success of our beta test year,” Grella said. “And we’re confident that over the next few seasons, the remaining pieces of our business model will come to fruition as planned. Our business plan is built upon a path to profitability. We have a nice, long runway and we’re taking off.”One week later, word of Khosla’s departure became public.In his statement on Friday about Khosla’s resignation, Norman asserted that some of LIV’s “most trusted partners” were “supporting our structural transition and introduction of exciting new developments.” More

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    Confidential Records Show a Saudi Golf Tour Built on Far-Fetched Assumptions

    McKinsey documents suggest the Saudi league is far off-track for success. Experts say the analysis shows it was never just about profits.Early in 2021, consultants working for Saudi Arabia’s sovereign wealth fund studied an audacious idea: The desert kingdom wanted to become the world leader in the hidebound realm of men’s professional golf.If the idea seemed unlikely, records show that the benchmarks for success bordered on the fantastical. A new Saudi league would need to sign each of the world’s top 12 golfers, attract sponsors to an unproven product and land television deals for a sport with declining viewership — all without significant retaliation from the PGA Tour it would be plundering.The proposal, code-named Project Wedge, came together as Saudi officials worked to repair the kingdom’s reputation abroad, which hit a low after the 2018 assassination of the Washington Post columnist Jamal Khashoggi by Saudi agents. The plan was the foundation for what became LIV Golf, the series whose debut this year provoked accusations that Saudi Arabia was trying to sanitize its human rights record with its deep pockets, former President Donald J. Trump’s country clubs and a handful of big-name golfers. Some of those golfers have publicly played down Saudi abuses, as has Mr. Trump.The league’s promoters say they are trying to revitalize the sport and build a profitable league. But hundreds of pages of confidential documents obtained by The New York Times show that Saudi officials were told that they faced steep challenges. They were breaking into a sport with a dwindling, aging fan base — if one with plenty of wealthy and influential members — and even if they succeeded, the profits would be a relative pittance for one of the world’s richest sovereign wealth funds. Experts say that these make clear that Saudi Arabia, with a golf investment of least $2 billion, has aspirations beyond the financial.An unidentified man trying to hold back the press as Saudi investigators arrived at the Saudi consulate in Istanbul in April 2019 amid a growing international backlash to the disappearance of Jamal Khashoggi.Chris Mcgrath/Getty Images“The margins might be thin, but that doesn’t really matter,” said Simon Chadwick, a professor of sport and geopolitical economy at Skema Business School in Paris. “Because subsequently you’re establishing the legitimacy of Saudi Arabia — not just as an event host or a sporting powerhouse, but legitimate in the eyes of decision makers and governments around the world.”The documents represent the most complete account to date of the financial assumptions underpinning LIV Golf. One of the most significant was prepared by consultants with McKinsey & Company, which has advised the kingdom’s leaders since the 1970s. McKinsey, which has worked to raise the stature of authoritarian governments around the world, was key to Vision 2030, Crown Prince Mohammed bin Salman’s plan to diversify the kingdom’s economy and turn it into a powerful global investor. Worldwide sports have become a pillar in that plan, with Saudi officials even discussing the possibility of someday hosting the World Cup.McKinsey, which declined to comment, analyzed the finances of a potential golf league, but pointedly said in its report that it was not examining whether it was a strategically viable idea. And many of Saudi Arabia’s rosy assumptions, McKinsey added, “have been taken for granted and not been challenged in our assessment.”Indeed, LIV Golf appears far from meeting the goals that the Project Wedge documents laid out. After an inaugural season that cost in excess of $750 million, the league has not announced major broadcasting or sponsorship deals. And its hopes for a surrender by, or an armistice with, the PGA Tour have instead collapsed into an acrimonious court battle.Mr. Trump with Yasir Al-Rumayyan, the governor of Saudi Arabia’s Public Investment Fund, right, at a LIV tournament at Trump National Golf Club Bedminster in July.Seth Wenig/Associated PressMoreover, the league is nowhere near having signed all of the elite players who Saudi advisers said were required for success. In one presentation slide, as McKinsey projected one of its more optimistic financial forecasts, the participation of Tiger Woods, Phil Mickelson and Rory McIlroy — who have combined to win 25 major championships — was included under the headline “What you need to believe.”Of those stars, only Mr. Mickelson joined LIV, with a deal that is reportedly worth at least $200 million.Mr. Woods, with his ability to attract fans and sponsors, was seen as essential. Even though the league offered Mr. Woods a long-term plan that could have made him “in the neighborhood” of $700 million to $800 million, according to Greg Norman, LIV’s chief executive, the league has found Mr. Woods to be one of its greatest public antagonists.“I don’t know what their end game is,” Mr. Woods said of LIV last month in the Bahamas, where he was hosting a tournament on the PGA Tour schedule. Mr. Woods acknowledged that the PGA Tour “can’t compete dollar for dollar” with the Saudis, but he said that “an endless pit of money” was not a surefire means to “create legacies.”Saudi soccer fans celebrating during a World Cup match against Argentina in Qatar last month. Worldwide sports have become a pillar in the plan to raise Saudi Arabia’s global stature.Tasneem Alsultan for The New York TimesNot long after Mr. Woods spoke, LIV announced details for several of the 14 tournaments it expects to be the proving grounds for $405 million in prize money next year, in addition to the guaranteed payouts it has promised players. It has said it will release its full schedule “in the coming weeks.”The season will unfold as LIV’s business evolves toward its planned franchise model. Although professional golf has some signature team events like the Ryder Cup, the PGA Tour generally relies on players competing for themselves. LIV, whose music-blasting gatherings feel little like traditional tournaments, is betting that fans will prefer to watch a dozen four-player teams competing against each other.“LIV has repeatedly made clear that our stakeholders take a long-term approach to our business model,” Jonathan Grella, a spokesman for LIV, said in a statement. “Despite the many obstacles put in our path by the PGA Tour, we’re delighted with the success of our beta test year. And we’re confident that over the next few seasons, the remaining pieces of our business model will come to fruition as planned. Our business plan is built upon a path to profitability. We have a nice, long runway and we’re taking off.”Prince Mohammed, the kingdom’s 37-year-old de facto ruler, often gravitates toward splashy ventures and has repeatedly said that he sets sky-high targets in hopes of motivating officials to achieve a fraction of them. In its analysis, McKinsey called the golf league “a high-risk high-reward endeavor.”The consultants detailed three possible outcomes for a franchise-driven league: languishing as a start-up; realizing a “coexistence” with the PGA Tour; or, most ambitiously, seizing the mantle of dominance.In the most successful scenario, McKinsey predicted revenues of at least $1.4 billion a year in 2028, with earnings before interest and taxes of $320 million or more. (Federal records show that the PGA Tour, a tax-exempt nonprofit, logged about $1.5 billion in revenue and posted a net income of almost $73 million for 2019.)By contrast, a league mired in start-up status — defined as attracting less than half of the world’s top 12 players, navigating a “lack of excitement from fans,” reeling from limited sponsorships and confronting “severe response from golf society” — stood to lose $355 million, before interest and taxes, in 2028.The American golfer Phil Mickelson, right, at LIV Golf’s inaugural event in St. Albans, England, in June.Adrian Dennis/Agence France-Presse — Getty ImagesFor now, LIV’s standing tilts sharply that way. Its tournaments have not commanded large crowds, and its broadcasts are largely limited to YouTube. The PGA Tour suspended players who defected, and it is not yet clear whether the organizers of the four major men’s tournaments will allow LIV golfers to participate.Of the top 12 players on a roster in the McKinsey report, LIV has attracted four: Sergio Garcia, Dustin Johnson, Mr. Mickelson and Henrik Stenson.McKinsey’s work on the golf project is part of a longstanding pattern of foreign consultants providing rationales for Gulf States’ multibillion-dollar projects, some of which become white elephants. When the crown prince announced plans to build a futuristic city called Neom, McKinsey was among the companies that helped envision proposals for robotic dinosaurs, flying taxis and a ski resort that officials say will host the Asian Winter Games in 2029.The Project Wedge analysis was conducted for Saudi’s sovereign wealth fund, which is led day to day by its governor, Yasir al-Rumayyan. Mr. al-Rumayyan, a longtime golf enthusiast, is also chairman of the Saudi Arabian Golf Federation. In 2019, he hosted a “Golf Means Business” tournament at the crown prince’s annual investment conference in Riyadh. The PGA Tour describes Mr. al-Rumayyan in court documents as a micromanager whose “daily involvement and influence bears on everything from LIV’s global strategy to the tiniest detail.”Tiger Woods at the Hero World Challenge at Albany Golf Course in Nassau, Bahamas, this month.Mike Ehrmann/Getty ImagesOne document obtained by The Times shows that LIV organizers considered assembling an all-star board of business, sports, legal and political titans. But nine of the people who were identified as possible board members, including Ginni Rometty, the former IBM chief executive, and Randall Stephenson, the former AT&T chairman, said they had never been approached about joining.“I didn’t know I was on the list, and I have never been approached,” Mr. Stephenson, who is a member of the PGA Tour’s board, said in an interview. If asked, he said, he would decline. “It would be a quick conversation,” he said.Most others listed in the document, including the basketball legend Michael Jordan; former Secretary of State Condoleezza Rice; and Mark Parker, the executive chairman of Nike, did not respond to requests for comment. McKinsey did not appear to prepare the document, which carries the logo of Golf Saudi, which Mr. al-Rumayyan leads.Mr. Grella, the LIV spokesman, did not answer inquiries about the current composition of a board, which a player handbook said would initially have up to 10 members, including Mr. al-Rumayyan and Mr. Norman.Despite its struggles, LIV is making plans for tournament venues years into the future and is trying to sign more stars. Mr. Norman said in November that a television deal was “a priority,” and as the new season nears, golf fans and executives alike have debated what boost the new league might get if one of its players captured a major championship in 2023.That, Mr. Norman has suggested, would be proof of “how we work within the ecosystem.”It would also be a sign that an outright ban of LIV players from the sport’s biggest stages, one of the gravest hazards that McKinsey flagged, had so far been avoided.Greg Norman, center, the chief executive of LIV Golf, has said that a television deal is “a priority.”Glyn Kirk/Agence France-Presse — Getty ImagesKevin Draper More

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    For 2022, LIV Golf Was the Story

    The Saudi-backed tour, which has used big payments to attract players, has upended the gentlemen’s game.Golf is an individual sport, so any year-end reflection is going to be about the people who stood out.But this year many of the top names who defined the year in golf are past their prime or don’t play professionally.Pride of place goes to Greg Norman, the former world No. 1 and two-time major champion whose last PGA Tour win came 25 years ago at the 1997 NEC World Series of Golf. In that victory, Norman beat a young Phil Mickelson, who was just at the start of his career that would include six major championships and more than double the PGA Tour victories of Norman.Now the pair are linked in the creation of the Saudi-backed LIV Golf and roiling the established PGA and DP World Tours. LIV made headlines as much for paying golfers tens or hundreds of millions of dollars to join the league as it did for the source of the support, Saudi Arabia’s sovereign wealth fund.Add to that a rollout and public relations campaign that was bumpy — including one golfer who took $200 million to join LIV, while saying their move was to grow the game — and it made for a very unexpected year.“Golf was puttering along in its normal boring sport way, and then everything exploded,” said Alan Shipnuck, whose book “Phil: The Rip-Roaring (and Unauthorized!) Biography of Golf’s Most Colorful Superstar” and subsequent reporting for The Fire Pit Collective, a golf news site, was at the center of the story. “This was the most fascinating and chaotic season in golf history. The gentlemen’s game has never seen this kind” of news conference sniping.The league brought fresh attention to the human rights records of Mohammed bin Salman, Saudi Arabia’s crown prince. It also held several events at golf courses owned by former President Donald J. Trump, who didn’t shy away from criticizing the PGA Tour.Phil Mickelson was paid a reported $200 million to join LIV Golf.Patrick Smith/Getty ImagesWhile a rival golf league had been talked about for years, just as LIV was set to start at the beginning of the year, Shipnuck published an interview with Mickelson on The Fire Pit Collective that criticized the Saudi government over its human rights record.“Knowing all of this, why would I even consider it?” Mickelson said. “Because this is a once-in-a-lifetime opportunity to reshape how the PGA Tour operates.” He joined LIV in June.From that moment, the story on the men’s and women’s game has been Saudi money and LIV Golf.It overshadowed Rory McIlroy becoming only the second player to win both season-long events on the PGA and DP World Tours in the same year. Henrik Stenson, who now plays on LIV, was the first in 2013.It put the game’s administrators, Jay Monahan, commissioner of the PGA Tour; Keith Pelley, chief executive of the DP World Tour; and Peter Dawson, chairman of the Official World Golf Ranking, front and center.It spilled over to women’s golf, where talk focused on what might happen if the Saudis took a similar interest in top L.P.G.A. players. (The consensus has been Saudi money would decimate a tour that doesn’t have the financial reserves or lucrative television rights to fend off a rival league buying up players the way the PGA Tour has.)And it got young professional and amateur players thinking about their future in professional golf after a few unproven players — namely the 2019 and 2021 U.S. Amateur Champions Andy Ogletree and James Piot and a top-ranked college player Eugenio Chacarra — took LIV money and bypassed the traditional route of trying to make their way on the PGA or DP World Tours.“I spoke to some friends and coaches who said if LIV contacts you go there,” said Filippo Celli, who won the silver medal as the low amateur at this year’s British Open and is trying to play his way onto the DP World Tour.“You go there and even if you finish last in the tournament you can earn $150,000, which is a lot of money, especially at 22 years old,” he said. “When you’re young you’re thinking about the money. It’s normal. My dream is to play on the DP World Tour and then the PGA Tour.”But the threat of a rival league forced changes on both of the main men’s tours. Many of those changes were announced after an August meeting of PGA Tour players in Delaware before the BMW Championship.The increased money was the main issue, more prize money for the top players and also guaranteed minimum pay for golfers still making their way. That helped defer six-figure costs just to compete, and the money was a carrot to the elite players.Of course, plenty of good players have not been asked to go to LIV and have said they are not interested. Sam Ryder, who has played on the PGA Tour for six seasons, is one of them.“I’m not on the players council of the PGA Tour,” he said. “I’ve been trying to stay in my lane and play good golf. I’ve not been concerning myself too much with all that’s been going on. I just know that everything will sort itself out.”His playing status on the PGA Tour has earned him a new multiyear sponsor this year: Ryder, the transportation company. “Both Ryder and Sam Ryder remain committed to the PGA Tour,” said J. Steve Sensing, president of supply chain solutions for Ryder System.Some of the top players have not been as politic in their rhetoric. McIlroy, who reclaimed the world No. 1 spot this year, became the de facto player-defender of the PGA Tour. He and Tiger Woods were at the center of the meeting in Delaware, and he’s spoken forcefully in defense of the tour. Recently, McIlroy and Woods called for Norman to step down as LIV commissioner as a necessary first step in negotiations.Dustin Johnson was reportedly paid up to $150 million to join LIV Golf.John David Mercer/USA Today Sports, via ReutersBut there are knock-on effects of losing older but well-known players, like the future of PGA Tour Champions. It is where many of the game’s greats go to play when they turn 50. Each year the tour gets marquee players who are suddenly relevant again. This year, it was Padraig Harrington, a three-time major winner and Ryder Cup captain, who won four times on the Champions Tour.Yet some of the first players who went to LIV were close to Champions Tour eligibility, including Lee Westwood, Henrik Stenson, and Ian Poulter, with players like Sergio Garcia and Paul Casey not too far behind them. It’s those big names that sell tickets.At a news conference in August for a Champions Tour event in Jacksonville, Fla., Jim Furyk, the 2003 U.S. Open champion and the tournament’s host, talked about the course and the fan experience. He even talked about Notah Begay III, a former player turned Golf Channel commentator who was returning to professional golf on his 50th birthday.What Furyk or anyone else at the event did not talk about was the previous year’s winner: Mickelson. That victory was his third win in four starts on the Champions Tour and augured well for his transition to the tour, and for the tour itself.But right now, the focus is on the main tours and seeing what LIV does next year. There has been little interest in actually watching LIV events. The league has no television contract and worldwide viewership numbers for streaming have declined with each event, particularly after the initial player announcements were made.Still, the PGA Tour, which had been slow to respond at first, seems to be taking no chances. It recently hired a lobbyist in Washington who is close to Kevin McCarthy, the House minority leader who hopes to become speaker when Republicans take control of the chamber in January.“The tour has always been all powerful,” Shipnuck said. “Now there’s a competition.” More

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    LIV Golf Continues to Try New Ways to Be Noticed

    Whether it’s the team concept or a decision to allow its golfers to play in shorts, the breakaway Saudi-backed series so far sees itself as the anti-PGA Tour.BOLTON, Mass. — The LIV Golf event outside Boston was minutes from beginning on Friday, and Greg Norman, the frontman for the insurgent Saudi-backed circuit, needed a new, showy way to make an entrance in the rancorous battle for the future of men’s golf.How about jumping from an airplane and parachuting onto the first tee? Surely, Norman’s nemesis, PGA Tour Commissioner Jay Monahan, had never done that?So it was that the hundreds of fans crowded around the first tee lifted their eyes to the sky to watch as Norman, who was harnessed to a retired military parachutist, dropped across the backdrop of a clear blue sky until he touched down in front of the tee.Separated from his escort, Norman bolted upright and raised both fists triumphantly. As he marched toward the tee, a fan yelled: “Greg, the PGA Tour is done. You did it, baby!”Looking a bit stunned, if delighted, Norman turned in the direction of the voice. He pointed a finger and flashed the widest of smiles.The scene could have been a metaphor for the most turbulent season in modern professional golf history: When LIV Golf suddenly appeared on the horizon this spring, the risk was manifest as the circuit searched for a welcoming place to drop into an occasionally inhospitable sport. In a surprise, LIV Golf has not only landed on its feet, it is defiantly celebrating.Despite the volume of one fan’s shout, the PGA Tour is far from done or even from losing the clash with its rival. Last week, it began a muscular counterattack. But as the fourth LIV Golf event concluded at the International Golf Club on Sunday, the evidence was mounting that the rebel tour was not retreating either. In fact, it continues to find new ways to be noticed.Consider the great dump-the-trousers crusade that unfolded here in Saturday’s second round. In its unceasing effort to be the anti-PGA Tour, which includes not having large tournament crowds or a broadcast TV contract, the LIV Golf leaders decided Saturday to allow players to wear shorts.The PGA Tour does not allow its members to show legs in competition. The LIV Golf decision moved players on the circuit to say they felt freer, an odd choice of words for a group guaranteed at least $120,000 (with expenses paid) for their appearance at the tournament.“This is a long time coming in the game of golf; I think it just takes a disrupter like LIV to get things done,” Phil Mickelson said of wearing shorts.Phil Mickelson wore shorts on Saturday and Sunday after the LIV Golf leaders decided to allow it.Mary Schwalm/Associated PressThere was only one snag in the dress code golfing revolution that LIV Golf was hoping to ignite. The majority of the golfers kept their pants on. Maybe these guys like golf tradition more than anyone suspected.I have now spent six days (two tournaments) inside the LIV Golf bubble since late July, and there are certain evident, noteworthy truths. One is that the rival circuit is clearly attracting a younger, more boisterous crowd than the typical PGA Tour gallery, portions of which can be reserved and sometimes removed, i.e., watching from an air-conditioned corporate box. LIV Golf’s chief motto is “Golf, but louder,” and with a recurring thunderous soundtrack of Beastie Boys, Twisted Sister and AC/DC, the circuit is living (no pun intended) up to its billing.Asked about the thumping music that can be heard on all 18 holes, Sergio García quipped, “I’m trying not to dance too much.”Cameron Smith, who is ranked second in the men’s worldwide rankings and who was the breakaway tour’s splashy new acquisition last week, refuted the suggestion that the music is a diversion or a gimmick. “To me,” Smith said, “it feels like the course has a bit of heartbeat.”The LIV Golf leadership is also convinced that the key to the tour’s success is its team concept, which is new to golf. The goal is to replicate the success of the Formula 1 team model. But the LIV Golf teams had a clunky rollout earlier this year when team members kept changing, which further confused potential fans who already could not identify or remember the 12 team names, let alone their four-man rosters.As an example, I stopped 10 fans on the golf course Sunday and asked them to name just one LIV Golf team. Three could do it, six could not and one grinning guy astonishingly started rattling off the team names one by one until I realized he was looking over my shoulder at a scoreboard with all the team names and scores.But next year, LIV Golf, whose major shareholder is the sovereign wealth fund of Saudi Arabia, will expand the number of tournaments, and the four-player teams will remain unchanged tournament to tournament, barring injury. Players on each team may even wear matching outfits of some sort, like a uniform, to drive home the team concept. The plan is also to make teams have a unifying theme: Four Australians led by Smith, a South African team headed by Louis Oosthuizen, and other teams bound by nationality. LIV Golf has heavily recruited Hideki Matsuyama, the 2021 Masters champion, in hopes of heading a Japanese team.The LIV Golf crowds at events are still sparse despite tickets being exceedingly cheap on the secondary ticket market. The attendance, which LIV Golf does not announce, is roughly one-fourth of what would be expected for a PGA Tour event.The LIV Golf version of a fan village alongside the golf course has considerable energy, with myriad golf skill contest booths and food trucks that might evoke a county fair. There also seems to be a bar, with a line, at every turn.But there is something else noticeable about the fan village. A giant screen was showing the golf taking place over on the course. I checked several times over three days, and while there were hundreds of fans standing and sitting around inside the village, it was rare to see anyone even glance briefly at the screen.The competition, for all its newness, does resemble an elite golf tournament with the kind of booming drives and deft short games that only the world’s best players hit. Dustin Johnson won the 54-hole event on Sunday in a playoff over Joaquin Niemann and Anirban Lahiri.But especially early on, some of the usual tension of a PGA Tour event, where the understanding is that a victory can be career-changing, was missing. On the driving range and the practice putting green before play begins, the atmosphere was unusually light and carefree — as if most of them knew that they had already been paid handsomely with guaranteed, upfront money. Which, of course, is the case.But LIV Golf is in its infancy, and its baby steps have included the successful, stunning recruitment of a sizable number of prominent golfers — a flock that very few thought could be assembled so rapidly. The circuit has now played half of its scheduled tournaments, and it is not going away.Monahan, the PGA Tour chieftain, is highly unlikely to consider Norman’s jumping out of an airplane a challenge that he must respond to in kind. But gaudy gestures aside, the new reality of men’s golf is that neither LIV Golf, which seemed to drop out of nowhere, nor the established PGA Tour is backing down. More