Oklahoma State and Mike Gundy end $25M dispute with amicable move

The Oklahoma State Cowboys and Mike Gundy settled their issues so that the coach could return next year. Oklahoma State had a disappointing season, with the worst record in the Big 12.

The program wanted Gundy to either take a pay cut on his $7.7 million annual salary or let him go. After a brief standoff, both sides agreed on a restructured deal.

Pokes Report's Zachary Lancaster reported Saturday morning that Oklahoma State and Gundy settled on a new contract. The new deal will see the coach return for his 21st season with the team but with a lower salary.

In addition, Oklahoma State will reportedly monitor his decision on who the coach signs for his staff. He fired offensive coordinator Kasey Dunn and defensive coordinator Bryan Nardo on Dec. 4.

The Cowboys' coach is trying to find their replacements for the 2025 season. However, Lancaster notes the lengths to which the program will monitor or control their long-tenured coach's decisions are unclear.

ESPN's senior college football writer Pete Thamel reported Saturday morning on "College GameDay" that the coach would've received a $25 million buyout if he had been let go. He noted that the long-tenured coach cooperated and was willing to compromise on the restructured deal to stay with the team.

The new agreement ends the financial issue from both sides, as they hope to have a better season next year.

Oklahoma State Cowboys suffer worst season under Mike Gundy's leadership

This season was a significant setback for Oklahoma State (3-9, 0-9 Big 12). The team won their first three games, including a dominant 45-10 victory over the Tulsa Golden Hurricanes (3-9, 1-7 American Athletic Conference) in Week 3 on Sep. 14. After the Week 3 win, the Cowboys lost every game for the rest of the season.

Gundy led the team to some close matchups that didn't go their way, like the 38-35 defeat to the No. 18 BYU Cougars (10-2, 7-2 Big 12) in Week 8 on Oct. 18. However, Oklahoma State losses mostly came from being overwhelmed by opposing teams. The Cowboys' last game was a 52-0 blowout loss to the No. 23 Colorado Buffaloes (9-3, 7-2 Big 12) in Week 14 on Nov. 29.

The season marked the team's worst record under their accomplished coach. Gundy's decision to fire his offensive and defensive coordinators could be a good sign for fans, as he wants the team to compete like it has in his 20 years as the Oklahoma State leader. He'll try to prove to the program that he was worth keeping for the 2025 season.