This contract seems like it is worse than it actually is because of that Big 700M number. But a lot of this contract is deferred money so it will allow the Dodgers to have payroll flexibility in the short term to add on around him in the push for a title or two.
Plus the advertising reach into the Japanese market will make that 700M look like a steal in return for what it adds on to the Dodger brand. Add in the massive TV deal the Dodgers already have and this is like another team spending 200M on a SPer. Not that big of a deal for them even though it's a shit ton of money for Ohtani.