Baltimore Orioles owner David Rubenstein said Thursday that MLB team owners are highly profitable, contradicting the league's messaging as it heads toward a likely lockout with players over a salary cap.
Speaking at the Economic Club of Washington, D.C., Rubenstein said, "A lot of my friends were buying teams, and I realized they're making money. They're making more money than I'm making in private equity." According to Yahoo Sports and CBS Sports, Rubenstein co-founded The Carlyle Group and has an estimated net worth above $4 billion.
The collective bargaining agreement expires at 11:59 p.m. ET on December 1. All indications point to an MLB lockout once the 2026 season ends, according to Yahoo Sports.
The owners' shifting financial argument
MLB owners have long pushed for a salary cap, framing it as necessary for competitive balance and financial sustainability. The league previously claimed that owning a team "isn't very profitable," but has since shifted its messaging to focus on competitive balance, according to CBS Sports. Rubenstein's public admission that team ownership generates substantial profits undermines the financial necessity argument owners plan to emphasize in negotiations.
The league has used its social media accounts to publicly negotiate with the MLB Players Association, according to Yahoo Sports. However, the actual labor talks will occur between representatives of both sides behind closed doors.
What Rubenstein paid for the Orioles and why
Rubenstein purchased a majority stake in the Orioles from the Angelos family in 2024 at a valuation of $1.725 billion, according to Yahoo Sports. He said he bought the team "for a philanthropic purpose" and grew up in Baltimore, according to CBS Sports.
Despite framing the purchase as philanthropic, Rubenstein acknowledged that owners are primarily driven by competitive ambition. "The owners care more about winning than making money. They're not against making money. Of course, they don't want to lose money. The obsession with winning and beating your competitors is really what drives these people who own these teams. There's nothing as satisfying as winning a championship," he said, according to Yahoo Sports.
Rubenstein's record with the Orioles
Rubenstein inherited a 101-win team in 2023 but has presided over a steady decline. The Orioles won 91 games in 2024, 75 wins in 2025, and 79 wins in 2026, according to CBS Sports. The team missed the playoffs in both 2025 and 2026.
Rubenstein has called for a salary cap multiple times, according to Yahoo Sports, even as his own team's performance has deteriorated under his ownership.
A small-market World Series complicates owners' messaging
The 2026 postseason is producing a small-market matchup that further complicates the owners' salary cap argument. The Milwaukee Brewers swept the Los Angeles Dodgers in the NLCS and will face either the Cleveland Guardians or Tampa Bay Rays in the World Series. All three teams are in the bottom 12 in payroll, according to CBS Sports.
MLB has used the Dodgers—a large-market, high-payroll team—as a cautionary example in salary cap messaging. The Brewers' sweep of Los Angeles, combined with the success of other low-payroll teams, may force the league to adjust its competitive balance argument, though it will not deter the owners' pursuit of a salary cap, according to CBS Sports. The owners have wanted a salary cap since the beginning of professional baseball to control costs and boost franchise values.