Colts, Daniel Jones Making Progress

The first quarterback to be transition-tagged since the Falcons cuffed ex-Colt Jeff George in 1996, Daniel Jones and Indianapolis began this process with considerable ground to cover. The Colts’ initial offer did not come close to Jones’ asking price.

Indianapolis made an offer in the Sam Darnold ballpark, according to Sports Illustrated’s Albert Breer, who confirms the team proposed an extension around the three-year, $100.5MM the Seahawks gave Darnold last year. Jones’ camp balked, citing the leverage a franchise tag would have provided and countered with an offer in another salary bracket.

A rather tough negotiator in 2023 with the Giants, Jones viewed his price closer to $50MM per year, Breer adds. This reminds of when the quarterback sought a deal north of $45MM per year back in 2023, when the $50MM-AAV club was not yet in place. The Giants settled on a four-year, $160MM pact that backfired quickly. Somehow, after an ACL tear, more neck trouble, a fibula fracture and an Achilles tear, Jones has moved into strong leverage position again. That led to the Colts transition-tagging their 2025 starter at last week’s deadline.

Given a one-year, $14MM deal in 2025, Jones is now tied to a $37.83MM tag. That number does give the veteran quarterback some leverage, as does the Colts having traded their 2026 and ’27 first-rounders for Sauce Gardner. It appears Jones, who was prioritized over Saquon Barkley three years ago, is not intent on a team-friendly deal here.

That said, veteran insider Jordan Schultz notes progress has been made since team and player were far apart. No extension has been reached, but it would certainly help the Colts — by reducing Jones’ cap figure — to complete one. Indy was able to retain Alec Pierce on a four-year, $116MM deal. But the team essentially gave away longtime No. 1 wideout Michael Pittman Jr. — whom Pierce arguably usurped atop the Colts’ pass-game hierarchy last season — in a pick-swap trade with the Steelers to create necessary cap space. Were Jones not on the transition tag, Indianapolis would be less restricted.

The Colts have not exactly kept their cards close to the vest; they are fairly committed to retaining Jones for a second season. Despite the 28-year-old passer going through another offseason of rehab, he is expected to be Indy’s 2026 starter. The Vikings, Jones’ brief employer late in the 2024 season, were believed to be monitoring this situation. But the prospect of Kyler Murray on a vet-minimum deal has emerged. That would be far less costly for Minnesota, though the Vikes out-offered the Colts for Jones in 2025. Jones chose Indy because he deemed Anthony Richardson as a less imposing hurdle to a starting job than J.J. McCarthy.

Indianapolis still holds more than $23MM in cap space as of Tuesday afternoon, but the team could make more roster improvements if Jones’ transition tag turns into a lower cap number on an extension during free agency. The clock is ticking there, and Jones’ camp may continue to exert leverage. It worked pretty well, contract-wise, when he proceeded that way with the Giants.