NBA Finalises New $76 Billion Media Rights Deal

The NBA has reportedly finalised a monumental media rights deal with ESPN, NBCUniversal, and Amazon, amounting to a staggering $76 billion over an 11-year term. This exhaustive negotiation process, lasting six months, is now poised for approval by the league’s Board of Governors on July 16 in Las Vegas. However, the deal may face uncertainties as it could encounter challenges post-approval.

While sources revealed that agreements with the three media giants were solidified over a month ago, complications arose due to an ambiguous matching rights clause held by current partner Warner Bros. Discovery since 2002. Legal teams within the league have diligently scrutinised and fine-tuned contractual language during these additional weeks. According to Sports Business Journal, all parties have reached a stage of finality, with ESPN, NBCUniversal, and Amazon awaiting or having already received official endorsement from their respective executive boards by Monday.

Following the expected ratification by the Board of Governors on Tuesday in Las Vegas, a series of events may unfold, potentially leading to delays or modifications in the deal. On July 17, the league intends to submit the approved agreement to Warner Bros. Discovery, triggering a five-day window for them to exercise their matching rights, a process Commissioner Adam Silver referred to as a “complex legal issue.”

Commencing from the 2025-26 season, ESPN’s substantial “A” package valued at around $2.6 billion annually encompasses coveted rights such as broadcasting the NBA Finals, international and digital rights, a schedule of weekly games on Wednesdays and Sundays, Friday night games post-NFL season, a special ABC Saturday night program, NBA conference finals, early playoff matches, and WNBA coverage. Concurrently, NBC’s “B” package worth $2.5 billion features a “Sunday Night Basketball” slate following the NFL season, weekly Tuesday games preceding the NFL season’s conclusion, alternate conference finals, early playoff fixtures, potential coverage of NBA All-Star Weekend, and potential exclusive Monday night games on Peacock. The WNBA could also come under NBC’s portfolio, as indicated by sources.

Amazon’s “C” package valued at $1.8 billion encompasses offerings like alternating conference finals, international rights, weekly broadcasts on either Friday or Saturday nights, Thursday night games post-NFL season, the Emirates In-Season Tournament, international streaming rights, and WNBA content. Amazon’s early playoff coverage is said to align with current NBA TV broadcasting standards.

Nonetheless, anticipation looms over potential litigation triggered by Warner Bros. Discovery upon officially reviewing the packages on July 17, a situation that could disrupt or recalibrate the NBA’s agreements. Sources intimate a sense of uncertainty surrounding Warner Bros. Discovery’s interpretation of the matching rights clause and their potential contention over specific packages or nights currently held by the network. The evolving situation underscores the complex dynamics at play, with possible outcomes ranging from broader negotiations to settlements of varied nature.

A pivotal asset in the NBA’s favour is its lead negotiator for media rights, Bill Koenig, a seasoned litigator well-versed in the intricacies of the matching rights agreement dating back to 2002. Koenig’s comprehensive understanding of the clause nuances and the evolving media landscape spanning two decades lends a strategic advantage to the league in navigating potential challenges.

Amidst these developments, Turner Sports’ acclaimed studio show, “Inside the NBA,” seems detached from ongoing negotiations. Speculations regarding the future of the show and its iconic cast members like Charles Barkley and Ernie Johnson have surfaced, with potential scenarios involving Amazon or NBC as promising destinations for the show post-agreement.

As discussions extend to the WNBA, which also faces media rights reshuffling, sources hint at a distribution of approximately 50% of the WNBA package among ESPN, Amazon, and potentially NBC, with further negotiations earmarked for the near future.