• Loading stock data...
Sunday, December 15, 2024

NBA Appears to Be on Track to Double Media-Rights Fee Intake

  • New deals could easily pay the league $6 billion annually.
  • ESPN and TNT currently hand over roughly $2.7 billion per year.
Michael Laughlin-USA TODAY Sports

As more NBA teams continue sealing their places in the second round of the playoffs, the league appears to be getting closer to a win of its own—securing its next set of media deals and a substantial rights fee increase in the process.

Disney and Warner Bros. Discovery are currently paying the NBA rightly $2.7 billion combined annually to air games on ESPN and TNT, respectively. Nothing new has been officially agreed to or signed, but already, factoring in the reported values of potential deals on the table, the league can likely expect to at least double its intake. Disney is on track to renew for an average of roughly $2.6 billion per year, and NBC is prepared to bid $2.5 billion annually, according to The Wall Street Journal. WBD has the right to match a rival bid if it chooses, as does Disney.

Although no financial details of Amazon’s potential deal with the NBA have been reported, it’s safe to assume that the streamer would pay enough annually to get the league well over $5.4 billion, which would be double its current deals, and potentially closer to $6 billion, if not even more.

Trending Up

Such an increase for the NBA would be impressive, given the growing disruption in the current sports media landscape.

Earlier this year, the College Football Playoff struck an extension with ESPN that will be worth $1.3 billion a year beginning in the 2026–27 season. While that is more than double the $608 million that the network has been paying, the new deal is for 11 postseason games as part of an expanded 12-team playoff. That means four more game broadcasts than the seven (three playoff, four other New Year’s Six bowl games) that were included in ESPN’s CFP package.

Last fall, NASCAR struck new media-rights deals, expanding from two partners for its flagship Cup Series to four, similar to the NBA’s seemingly going from two to at least three. The $1.1 billion NASCAR will bring in annually, starting next year, is a 40% increase over its current deals.

With cord-cutting continuing to challenge the entire media industry, the profitability of streaming still something of an open question, and most major U.S. sports rights locked up for the next several years, the NBA rights negotiation has been widely seen as something of a litmus test on the health of the overall market. Thus far, it appears the league is showing its strength, and then some.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Mina Kimes and Ryan Clark at NFL draft

ESPN Talent Turns Its Fire on Aaron Rodgers

The network’s NFL talent ripped the QB as ‘hypocritical’ this week.

NBA Cup Prize: Every Player Wants the Money, But One Would Get..

Each player on the championship team will win nearly $515,000.

Manchester City Is a Mess. It’s Still Breaking Revenue Records

As on-field losses mount, the Premier League giant reports record revenue.
Dec 9, 2023; Las Vegas, Nevada, USA; Los Angeles Lakers forward LeBron James (23) hoists the NBA Cup and celebrates with teammates after winning the NBA In-Season Tournament Championship game against the Indiana Pacers at T-Mobile Arena.

NBA Cup Year 2: Tweaks, Schedule Concerns, and Growing Pains

While Vegas has been the event’s location for the last two years, that could change because the NBA may add an expansion team in Sin City.

Featured Today

Michigan signee Bryce Underwood smiles during national signing day at Belleville High School in Belleville on Wednesday, Dec. 4, 2024.

Reader Mailbag: Is the NIL Era Out of Control?

Readers had a lot to say about Ellison and the NIL era.
December 13, 2024

The Top-Secret Operation to Create the Army-Navy Football Uniforms

The two-year process includes dozens of employees, NDAs, and military historians.
Nov 2, 2024; Denver, Colorado, USA; Detailed view of a Wilson NBA basketball held by a referee during the second half between the Utah Jazz against the Denver Nuggets at Ball Arena
December 9, 2024

‘Obvious Weak Point’: Refs Remain an NBA Gambling Concern

A season after Jontay Porter, the biggest risk may not be players.
Nov 2, 2024; Ann Arbor, Michigan, USA; Michigan Wolverines cheerleader runs with a flag before the game against the Oregon Ducks at Michigan Stadium.
opinion
December 7, 2024

College Football’s Billionaire Backer Era Begins

Is this the new normal in CFB recruiting?
Dec 12, 2024; Chapel Hill, NC, USA; North Carolina Tar Heels new head coach Bill Belichick speaks to those attending his hiring announcement at Loudermilk Center for Excellence.

UNC Job Brings an End to Belichick’s Short-Lived Media Career

Bill Belichick had six media jobs this football season.
Nov 4, 2024; Kansas City, Missouri, USA; Broadcaster Scott Van Pelt prior to a game between the Tampa Bay Buccaneers and the Kansas City Chiefs at GEHA Field at Arrowhead Stadium.
December 12, 2024

Scott Van Pelt Headlines ESPN’s Talent Lineup for Tiger’s New Golf League

TGL launches in January with backing from Tiger Woods and Rory McIlroy.
December 12, 2024

YouTube TV Jacks Up Prices Again Before NFL Playoffs

The Google product has more than doubled in price over seven years.
Sponsored

How UBS Crafts Impactful Partnerships Across Sports, Arts, and Culture

As UBS continues to expand its impressive array of sports and entertainment partnerships, the company solidifies its position as a leader in wealth management.
December 11, 2024

NFL Scheduling Gambit Pays Off With Two Blockbuster Sunday Games

The Week 15 schedule has a game pairing seen only once since 1970.
December 11, 2024

Pat McAfee’s Kicking Contest Saw $650,000 Awarded—and $5 Million Missed

The weekly contest on ESPN’s “College GameDay” paid out $650,000.
December 11, 2024

F1’s TV Ratings Similar to 2023, but Still Below the Record Highs..

The F1 season averaged 1.1 million viewers in the U.S.
December 11, 2024

WBD Secures Comcast Deal, Readies for Future Without NBA Rights

The TNT Sports parent company continues to remake itself in dramatic fashion.