The NFL Players Association has agreed to a $50 million settlement with Amazon.com Inc. that would award $50.5 million in prizes to players who recycle or buy their own computers.
The settlement is the largest from the NFLPA, which previously had settled with Amazon for $300 million, and represents a major step toward reaching an agreement that will allow the NFL to sell computers to players and provide a profit-sharing plan for teams.
Under the settlement, which was announced Monday, Amazon will pay the NFL $5 million for every computer sold through the platform.
The company will also pay the league $25 million for each of the computers it buys through the network.
Players will also receive $20 million in scholarships for the first five years of the deal, with an additional $50m guaranteed over that period.
The NFLPA has long maintained that the league’s business model is based on players using the platform to get free, easy-to-use computers.
That model has also caused some tension with Amazon, which has a stake in the league.
The agreement was announced shortly after Amazon announced it was ending its partnership with the NFL and giving its business to a third-party, the Electronic Arts Inc., in a deal that could bring Amazon’s business to the league by 2021.
The league’s next commissioner, Roger Goodell, said the deal is an important step toward an agreement.
Goodell said the agreement is the best option available for the league, adding that Amazon’s actions are a violation of the collective bargaining agreement.
“It is disappointing that the NFL is continuing to pursue this dispute through the courts,” Goodell said in a statement.
“As we have said repeatedly, we will resolve this issue through the appropriate channels, including litigation.
The settlement is an acknowledgement that the parties must resolve this dispute expeditiously.
We appreciate the NFL’s efforts to reach an agreement and appreciate the efforts of Amazon and EA, and look forward to the day when we can begin to sell the games we love.
This is a huge day for the NFL.
We have a shared interest in working collaboratively to provide the best game experience possible, and we look forward the continued success of the game and the players who play it.
The Associated Press