MLB Rumors: Blake Snell deferred money, Red Sox backup plan, Juan Soto impact

After weeks of speculation, the MLB Hot Stove is officially lit. We got our first free-agent blockbuster of the winter on Tuesday night, and of course the Los Angeles Dodgers were responsible, responding to their World Series win by signing two-time Cy Young winner Blake Snell to a five-year, $182 million deal.

We knew that Los Angeles would be looking for at least one big addition to its starting rotation this offseason, and sure enough, Andrew Friedman and Co. wasted no time addressing the biggest weakness on an absolutely loaded roster. Now it's up to the rest of the league to respond, and with Snell off the market, every contender shopping at the top of the starting pitcher market now has to scramble to find a plan B.

This deal is already having ripple effects around the league. Here's everything to know, from the structure of Snell's contract to the a potential Boston Red Sox backup plan to how it might affect the Dodgers' pursuit of Juan Soto.

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MLB Rumors: Blake Snell contract includes substantial deferred money

The Dodgers have done it again. Snell's contract might not be as backloaded as the one Shohei Ohtani signed last offseason, but it still includes a significant amount of deferred money: $60 million, to be precise, just under a third of the total value.

MLB.com's Mark Feinsand reports that Snell's payroll number, for Competitive Balance Tax purposes, will be around $32-33 million, slightly lower than the average annual value of $36.4 million. That's obviously not a huge difference, but every little bit helps as the team looks to add talent while trying to circumvent the CBT threshold (estimated at $241 million for 2025).

To be clear, the Dodgers aren't the only team structuring its contracts in this way, and it's worth reiterating that players advocate for deferrals as much as teams do (especially in California, where deferring some money allows for a friendlier tax situation). But L.A. already has enough structural advantages without adding another one, and it's going to be tough to stop Friedman's momentum any time soon.

MLB Rumors: Red Sox eyeing Max Fried with Blake Snell off the market

Snell being taken off the market means that the pressure ratchets up for every other team with money to spend and a need in its rotation. One of those teams: the Boston Red Sox, which were among those most heavily linked to Snell — and just about every other big-name starter — since the offseason began.

Now there's one fewer of those big-name starters available, so if chief baseball officer Craig Breslow wants to make good on his promises of a big offseason, he has to move quickly. And it sounds like he's doing just that, with recent reports linking Boston to the other top lefty free agent this winter: former Atlanta Braves All-Star Max Fried.

With an enticing young core in place and one of the game's top farm systems ready to add reinforcements, Boston is one frontline starter away from really taking off. And between Tanner Houck, Brayan Bello, Kutter Crawford and the returning Lucas Giolito, the rotation skews very right-handed, making a lefty an ideal fit. With Snell still available, the team could afford to wait out the market a bit. Now, though, Fried is too good a fit and too crucial an addition for the team to afford being passive.

MLB Rumors: How Blake Snell signing impacts Dodgers' pursuit of Blake Snell

Snell would be the crown jewel of most teams' offseasons. But he isn't even the biggest name that L.A. has been linked to this winter, as the team scored an in-person meeting with Juan Soto earlier this month. So what does this new development mean for the Soto sweepstakes? The Dodgers couldn't possibly afford another $700 million deal now, could they?

Los Angeles was already considered something of a long shot to land the superstar outfielder, given his affinity for New York and the desperation that the Yankees and Mets are feeling right now — desperation that figures to only get stronger now that the Dodgers have signed Snell. And the Snell deal does make the math a bit tougher, even for a team that's printing money right now; if we estimate Snell's tax number at $32.5 million, that brings Los Angeles' tax number to $280 million already, just $60 million below where the team finished last season.

Soto reportedly wants a contract in the neighborhood of 15 years and $700 million, and he seems likely to get something like it given who's in the running for his services. Even with deferrals (something Soto is said not to have too much interest in), it would be hard for the Dodgers to fit that deal in without going well beyond last year's payroll. Maybe the team has no problem doing so — Ohtani has taken their revenue into the stratosphere — but there are other holes to fill, and even L.A. has to budget at some point.