In a landmark development for professional basketball, the NBA has secured an immense new television deal that is poised to redefine its media landscape for the next decade and beyond. The agreement, valued at a staggering $76 billion, extends over an 11-year period and introduces new broadcasting partners to the NBA’s portfolio.
New Era of Broadcasting
Set to begin in the 2025-26 season, the new deal will run until the end of the 2035-36 season, replacing the current nine-year agreement worth $24 billion, which concludes at the end of the 2024-25 season. The new contract significantly boosts the league's revenue, marking a 2.6-fold increase in annual national media income.
Disney's ABC and ESPN will continue their long-standing role in disseminating NBA Finals games. Under the new terms, they will also broadcast one of the two conference finals series in 10 out of the 11 years covered by the contract. Additionally, ABC and ESPN will showcase marquee regular season matchups on Saturdays and Sundays, Christmas Day games, and approximately 18 games from the first two rounds of the postseason each year.
Other broadcasting responsibilities will be shared with a yet-to-be-named broadcasting company. This broadcaster will cover one of the conference finals series in six of the 11 years and provide extensive coverage of flagship events such as the All-Star Game, NBA All-Star Saturday night, opening night, and Sunday night primetime games. The same broadcaster and its streaming service will deliver around 28 games from the first two rounds of the playoffs each season.
Streaming Giants on Board
Prime Video has been brought into the fold, reflecting the NBA's strategy to adapt to evolving media consumption trends. This streaming behemoth will stream one of the conference finals series in six out of the 11 years. Moreover, Prime Video will carry NBA Cup games and Play-In Tournament games, constituting about one-third of the first and second rounds of the postseason each year. This addition is aimed at increasing the accessibility and reach of NBA games across different platforms.
In commenting on the new media agreements, NBA Commissioner Adam Silver remarked, "Our new global media agreements with Disney, NBCUniversal, and Amazon will maximize the reach and accessibility of NBA games for fans in the United States and around the world. These partners will distribute our content across a wide range of platforms and help transform the fan experience over the next decade."
Farewell to Turner Sports
As the NBA forges ahead with its new partners, it bids adieu to Warner Bros. Discovery's Turner Sports, a key broadcasting partner since 1989. The upcoming season is expected to be the last for the iconic show "Inside the NBA" in its current form. Reflecting on this transition, the NBA expressed, "We are grateful to Turner Sports for its award-winning coverage of the NBA and look forward to another season of the NBA on TNT."
Financial Implications
The deal promises to bring about substantial financial growth for the league and its teams. The combined earnings of the 30 NBA franchises were reported at approximately $10.6 billion in 2023, with national television revenue being the largest contributor to this figure. With the new agreement in place, franchise values and player salaries are expected to surge. However, the salary cap will not increase by more than 10% annually, and is anticipated to rise by this maximum each year starting in the 2025 offseason.
Maximizing Fan Reach
Throughout the negotiations, the NBA's focus remained on enhancing the fan experience. The league stated, "Throughout these negotiations, our primary objective has been to maximize the reach and accessibility of our games for our fans."
The inclusion of diverse platforms and media companies aims to cater to a broader audience, ensuring that NBA games are accessible to as many fans as possible. As the NBA steps into this new era of broadcasting, it positions itself at the forefront of sports media innovation, promising an enriched viewing experience for fans across the globe.