The NBA has secured a monumental new national television deal that redefines its media landscape and significantly boosts its financial prospects. The league's latest agreement, valued at a colossal $76 billion, ushers in new partners and extends existing relationships, heralding a new era for the sport and its fans.
The expansive deal spans 11 years, commencing in the 2025-26 season and concluding at the end of the 2035-36 season. This new contract not only dwarfs the current nine-year, $24 billion deal but also promises to increase the NBA's annual national media income by roughly 2.6 times. The league's enhanced revenue stream is anticipated to elevate franchise values and player salaries alike, reflecting the transformative impact of this agreement.
ABC and ESPN remain integral to the NBA's broadcasting framework. They will continue to televise the NBA Finals, ensuring that one of the cornerstone events in sports entertainment retains its prestigious platform. Additionally, ABC and ESPN will broadcast one of the two conference finals series in 10 out of the 11 years, along with Christmas Day games and marquee Saturday and Sunday regular-season matchups. They will also air approximately 18 games in the first two rounds of the postseason each year, maintaining a robust presence in the NBA's broadcast schedule.
New Media Partners and Enhanced Coverage
Joining the NBA's media family are a leading broadcasting company and a premier streaming service, indicative of the league's strategy to diversify and expand its reach. The broadcasting company will be responsible for covering one of the conference finals series in six of the 11 years. Moreover, it will take the reins on high-profile events, including the All-Star Game, NBA All-Star Saturday night, and opening night, as well as Sunday night primetime games. The company's streaming service will share the responsibility of broadcasting around 28 games in the first two rounds of the playoffs each season.
In a landmark shift towards the digital arena, Prime Video will stream one of the conference finals series in six out of the 11 years and will carry NBA Cup games and Play-In Tournament games. Notably, Prime Video will also stream about one-third of the first and second postseason rounds each year, marking a significant push towards online streaming platforms.
Transition from Turner Sports
This new deal signifies the end of an era with Warner Bros. Discovery, whose Turner Sports began broadcasting NBA games in 1989. The upcoming season is expected to be the last for the beloved "Inside the NBA" in its current form, a show that has become a staple of NBA coverage over the years. “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,” the NBA expressed, acknowledging the longstanding relationship.
Financial Implications and Strategic Vision
The terms of the deal reflect the NBA's strategic vision for sustained growth and accessibility. "Throughout these negotiations, our primary objective has been to maximize the reach and accessibility of our games for our fans,” the NBA stated. NBA Commissioner Adam Silver elaborated on this vision, stating, "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."
The new media deal is poised to trigger a maximum annual increase of 10% in the salary cap, starting in the 2025 offseason. The league's salary cap constraints are designed to ensure financial stability, while the surge in national television revenue, which remains the largest contributor to the NBA's combined earnings, will provide teams with the capital needed to improve and innovate.
In 2023, the combined earnings of the 30 NBA teams were approximately $10.6 billion, highlighting the sport's robust financial health. With the substantial boost from the new television deal, the NBA’s economic landscape is set for a significant uplift, promising an exciting future for teams, players, and fans.