PNW introducing new funding model

[Monochron]

I'm excited to see something new being tried, and really hope that costs for teams (and for the organizers) will go down.

I am curious as to how those cost are expected to go down. As Karthik said, the change in price for teams is directly related to how much PNW can fund raise. In the previous model though, I assume that PNW would fund raise for the events and then give extra funds directly to teams. Now instead of frund-raised money going to the event, teams money goes to the event and then PNW "gives" money to teams (via lowering the cost of entry).

My point is, it seems like the same money is transacting around, just on different sides. I'm not sure where any money will be saved in this model. The events will cost the same, PNW will pay the same registration cost that it's teams usually pay, and fund raised money will still enter PNW. There has to be an amount of money that leaves this equation in order for cost to truly decrease right?

I'm not well versed in financial matters so I hope my point is clear. What I'm getting at is that if the total money in / out of the old model is the same as the total money in / out of the new model, then won't there be a net change of 0?