Report: Steelers, Watt agree on historic 3-year, $123M extension

The Pittsburgh Steelers agreed to a record-breaking three-year, $123-million extension with star pass-rusher T.J. Watt, sources told ESPN's Adam Schefter.

The contract, which includes $108 million fully guaranteed, makes Watt the highest-paid non-quarterback in NFL history, Schefter adds. It's the second time in his career that Watt's become the highest-paid non-QB ever.

Watt's deal averages $41 million per year, which surpasses Cleveland Browns pass-rusher Myles Garrett's previous benchmark of $40 million annually.

Watt was entering the final year of a four-year, $112-million contract he inked in 2021. The two sides were trying to iron out an extension this offseason, and Watt skipped mandatory minicamp in June. Other teams reportedly discussed trading for Watt as uncertainty loomed over his contract situation.

The 30-year-old has been the NFL's most productive pass-rusher since the Steelers selected him in the first round of the 2017 draft. He leads the NFL in sacks (108), quarterback hits (225), tackles for a loss (126), and forced fumbles (33) since entering the league.

A former Defensive Player of the Year, Watt's best season came in 2021 when he tied Michael Strahan's single-season sack record with 22.5. He's also led the NFL in sacks three times (2020, 2021, and 2023).

He finished the 2024 campaign with 11.5 sacks. Watt has now eclipsed 10 sacks in six of his last seven seasons, an injury-riddled 2022 season being the only exception.

Watt's extension is expected to be the final domino in a busy offseason for the Steelers' front office and general manager Omar Khan. The franchise added wide receiver DK Metcalf, cornerback Jalen Ramsey, and tight end Jonnu Smith via trade and also signed quarterback Aaron Rodgers. Pittsburgh also traded away safety Minkah Fitzpatrick and wideout George Pickens while also allowing running back Najee Harris to walk in free agency.