The National Basketball Association (NBA) is on the brink of finalizing groundbreaking media rights agreements with Comcast-owned NBC, Disney's ESPN, and Amazon.com, valued at approximately $76 billion over 11 years. This development, reported by The Wall Street Journal, signifies a major shift in the sports broadcasting landscape and underscores the enduring appeal of live sports content in an era of declining traditional TV viewership.
Under the proposed deal, NBC is set to pay an average of $2.5 billion annually to broadcast around 100 NBA games each season. About half of these games will air exclusively on Comcast's Peacock streaming service. This marks a significant return for NBC, which last held NBA broadcasting rights in 2002. The network plans to air games on Tuesdays and Sundays, avoiding conflicts with its "Sunday Night Football" commitments.
Amazon, meanwhile, will secure a package worth $1.8 billion per year, which includes regular-season and playoff games, the NBA In-Season Tournament, and the Play-In Tournament. The global e-commerce giant will also share broadcasting rights for the conference finals, which will be rotated among the media partners.
Disney's ESPN will retain its broadcasting rights, but at an increased cost of $2.6 billion annually, up from the current $1.5 billion. Although ESPN will continue to air the NBA Finals, it will see a reduction in the total number of games broadcast. The agreement will also facilitate the airing of games on ESPN's upcoming direct-to-consumer streaming service, slated for a 2025 launch. Additionally, the deal includes rights to Women's National Basketball Association (WNBA) games.
The new agreements are expected to significantly boost the NBA's annual media revenue, bringing it close to $7 billion per season, a more than 2.5-fold increase from the previous deal. This surge in revenue highlights the high demand and value of live sports content in an increasingly fragmented media environment.
The deal's announcement, however, casts uncertainty on the future of Warner Bros. Discovery's Turner Sports network, which has been a staple for NBA broadcasting for nearly four decades. Turner Sports' current contract, valued at approximately $2.2 billion per season, is set to expire after the 2024-25 season. Despite an opportunity to renew its deal, Warner Bros. Discovery, burdened by a substantial $40 billion debt, opted not to re-up, citing dissatisfaction with the value of the package relative to the cost.
Warner Bros. Discovery still holds the right to match competing offers from NBC or Amazon. However, options for creating a new package appear limited. This development has led to speculation that the beloved "Inside the NBA" show, featuring Charles Barkley, Shaquille O'Neal, Kenny Smith, and Ernie Johnson, could see its last season on TNT. Barkley has been vocal about his dissatisfaction with the network's executives, accusing them of diminishing the value of their programming.
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The NBA's move towards digital platforms like Peacock and Amazon Prime Video reflects broader industry trends as consumers increasingly shift towards streaming services. This strategy not only aligns with current viewing habits but also ensures broader accessibility and engagement with younger, tech-savvy audiences.
The anticipated deal is expected to be finalized within weeks, pending approval from NBA team owners. The agreement underscores the NBA's strategic adaptation to evolving media consumption patterns and positions the league for sustained growth in a digital-first era.
