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With OTAs underway, T.J. Watt has yet to work out an extension agreement with the Steelers. At least one offer appears to have been made in this case, however. 
During a recent episode of the Kaboly + Mack podcast, Mark Kaboly of the Pat McAfee Show reported that a “pretty significant” extension offer has been submitted to Watt (video link). It is unclear when it was made, but the offer is on the table at this point. Without a deal being signed, though, a gap clearly still exists between team and player in this situation.
Kaboly added it is unknown whether or not the current offer outpaces the extension Myles Garrett signed with the Browns this offseason. That four-year, $160MM pact ended speculation about his future in Cleveland – which was of course driven in large part by his trade request – and reset the edge rush market. Watt was once the league’s highest earner at the position, with that being the case for the first two years of his existing contract (four years, $112MM). A raise is in store once again, although it remains to be seen if surpassing Garrett’s deal will be required.
Team and player have expressed a desire to continue their relationship beyond 2025. That led to an expectation Watt would join the list of high-profile pass rushers receiving a new deal this offseason. The former Defensive Player of the Year remains a pending 2026 free agent at this point, though. Age (30) will be a key consideration in this case. Watt has nevertheless led the NFL in sacks three times since 2020 and has earned at least second-team All-Pro honors in five of the past six seasons.
The Steelers do not have a long history of committing guaranteed money beyond the first year of an extension for non-quarterbacks. Watt’s 2021 deal (signed days before the start of the campaign) represented an exception, but it will be interesting to see how far the team is willing to go on another monster extension. The seven-time Pro Bowler saw his sack total drop to 11.5 in 2024, and he was held off the statsheet in that regard for the team’s final four games last season.
An April social media post led to increased speculation about Watt’s situation, and he is among the veterans currently skipping OTAs while extension talks take place. Pittsburgh also has the likes of Alex Highsmith, Nick Herbig and – on a full-time basis starting this year – DeMarvin Leal as experienced pass rushers. Rookie Jack Sawyer will compete for a depth role in 2025, but much of the team’s success will depend on Watt’s production. That, in turn could be influenced by the nature of extension negotiations, a process which will clearly need to continue.