The NBA has secured a groundbreaking new national television deal set to reshape the landscape of professional basketball broadcasting. The agreement, valued at a staggering $76 billion, spans 11 years and introduces new partnerships with a media company, a broadcasting company, and a streaming service. The deal is slated to commence in the 2025-26 season and will run through the end of the 2035-36 season, significantly boosting the NBA's revenue and expanding the reach of the league's content.
A New Era in Broadcasting
The current broadcasting agreement, a nine-year deal worth $24 billion, is set to expire at the conclusion of the 2024-25 season. The new deal, not only more lucrative but also more encompassing, includes Disney's ABC and ESPN, NBCUniversal, and Amazon's Prime Video among its key partners. This strategic expansion will broaden the audience base while enhancing the accessibility of NBA games.
ABC and ESPN will continue their tradition of airing NBA Finals games. Additionally, these networks will broadcast one of the two conference finals series in 10 out of the 11 years, televise Christmas Day games, and showcase marquee Saturday and Sunday regular-season matchups. They will also air approximately 18 games in the first two rounds of the postseason each year. Another broadcasting giant will be responsible for covering one of the conference finals series in six out of the 11 years, the All-Star Game, NBA All-Star Saturday night, opening night, and Sunday night primetime games. This broadcaster and/or its streaming service will televise around 28 games in the first two rounds of the playoffs each season.
Digital and Streaming Integration
Prime Video’s inclusion marks a significant advancement in the NBA's digital presence. The streaming service will stream one of the conference finals series in six out of the 11 years and carry NBA Cup games as well as Play-In Tournament games. Furthermore, Prime Video will stream about one-third of the first and second postseason rounds yearly, ensuring that the league’s reach spans various digital platforms.
Warner Bros. Discovery, despite a long history of broadcasting NBA games dating back to Turner Sports' initial engagement in 1989, is not part of this new agreement. The upcoming season is anticipated to be the last for "Inside the NBA" in its current form.
Financial Implications
With this massive influx of revenue, the NBA’s annual national media income is poised to increase by roughly 2.6 times. The salary cap, set to see a maximum annual increase of 10%, is expected to rise accordingly each year starting in the 2025 offseason. This financial boon is projected to drive up franchise values and player salaries, further energizing the economic landscape of professional basketball.
The combined earnings of the NBA's 30 teams were approximately $10.6 billion in 2023, with national television revenue being the largest contributor. As the new deal takes effect, stakeholders expect a further surge in these earnings, bolstering the league's financial stability and growth.
NBA’s Global Vision
"Throughout these negotiations, our primary objective has been to maximize the reach and accessibility of our games for our fans," the NBA stated. This sentiment was echoed by NBA Commissioner Adam Silver, who 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."
The NBA also expressed gratitude towards Turner Sports, saying, "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," acknowledging its long-standing partnership while paving the way for new beginnings.
As the new broadcasting era dawns, the NBA stands on the precipice of an exciting new chapter. This strategic and financially robust agreement not only promises to elevate the game's visibility but also to enhance the overall experience for fans globally. With such profound changes afoot, the NBA’s commitment to innovation and growth remains steadfast, heralding a bright future for the league and its enthusiasts.