ESPN and Fox Sports are each pursuing Peyton Manning for a color analyst position and are prepared to pay him up to $10 million per year.

Jon Gruden was ESPN's highest-paid employee at $6.5 million per season as of 2015.

NFL ratings have declined and executives from both networks believe the presence of Manning in the booth would help their primetime telecasts.

Fox was the highest bidder for Thursday Night Football, while ESPN's Monday Night Football has a vacancy after the departure of Gruden. Fox will pay $550 million a year through the 2022 to air TNF.

"Peyton Manning is Tony Romo with a Super Bowl ring," said the source. "This is a battle for the Midwest. He's super-popular in the Midwest. He's got this 'Aw Shucks,' thing down pat. The Mannings are the first family of football."