In an interview with CNBC earlier this year, New York Mets owner Steve Cohen articulated his vision for the team, describing his ownership as a “philanthropic” venture aimed at bringing joy to fans. Cohen emphasized, “I don’t care about the cost side… If I can make millions of people happy, how cool is that? I actually do it as a civic responsibility.” This perspective has undoubtedly influenced his approach to team spending, including the record-setting contract recently signed by outfielder Juan Soto.
Soto’s new contract, which is the largest in baseball history, totals $765 million over 15 years and comes with a $75 million signing bonus. With the opportunity for the deal to exceed $800 million, this contract not only sets a new benchmark in Major League Baseball but also reflects Cohen’s willingness to invest heavily without deferring payments. Unlike the $700 million contract of Los Angeles Dodgers star Shohei Ohtani, which includes significant deferred payments, Soto will receive the entirety of his earnings while active on the roster.
While Soto will contribute to a hefty tax bill given New York’s high-income tax rates, he retains the option to opt out after five years if he believes he can negotiate an even higher payout in free agency. Moreover, the Mets have the power to ensure his continued presence by increasing his annual salary if he opts to remain with the team.
Cohen’s commitment to spending has made the Mets the team with the highest annual payroll in baseball since 2023. Despite the increased expenditure, the Mets have had their share of playoff disappointments, including a lackluster 2023 season that ended with their elimination by the Dodgers. Since Cohen’s acquisition of the team for $2.4 billion five years ago, he has become notably engaged with fans and has maintained a reputation as one of baseball’s most extravagant owners.
Interestingly, while financial investment in player contracts often correlates with success, the unpredictability of winning in baseball is ever-present. The lessons of previous seasons suggest that spending does not guarantee championships, yet Cohen’s bold moves, including the addition of Soto, signify a determined pivot toward creating a consistently competitive team.
The signing of Soto, who arrives as a dynamic young talent compared to legends like Ted Williams and Barry Bonds, also showcases the timing of the deal. With a lack of competing mega free agents this year, Soto’s marketability surged. His record contract could soon be challenged, as analysts predict that Toronto’s Vladimir Guerrero Jr. may seek similarly significant compensation upon his free agency after the 2025 season.
In the realm of professional sports, Major League Baseball continues to stand out with its absence of a salary cap, allowing owners like Cohen the freedom to invest significantly in their teams. This trend ensures that baseball will maintain its reputation for eye-popping contracts, giving fans hope that substantial investments—like Soto’s contract—can ultimately lead to long-awaited victories on the field.
The Mets’ future looks promising with their considerable talent acquisition, and fans can remain optimistic that Cohen’s financial commitment will not only elevate the team’s performance but also revive its championship aspirations.