In the wake of the National Football League (NFL) announcing their record broadcasting rights deal, the National Basketball Association (NBA) is aiming for a US$75 billion multiyear rights package with Turner Sports and ESPN.
If a deal of that value was to be secured, it would represent a US$51 billion increase on its current deals with the networks' respective parent companies, AT&T-owned WarnerMedia and Disney.
The deals would see the NBA receive US$8 billion per year over nine years, compared to the current US$2.6 billion-per-year contracts, which run through until the 2024-25 season. Additionally, the NBA has a streaming deal with Tencent.
The large US$75 billion figure does not appear to be too optimistic for the league. For each year of its new NFL rights package, Disney alone are set to pay US$2.7 billion, which is more than the NBA receives annually from all of its broadcast partners combined.
The asking price is determined by specific metrics for broadcasting rights, with the biggest metric being viewer hours, which swings in favour of the NBA who have seen an increase in ratings this season.
In 2016, the last deal between the NBA, Turner Sports and ESPN was worth US$24 billion over nine years, a 180 per cent increase from the deal prior in 2007.
“The partnership with the NBA is incredibly important to us, and we’re looking forward to getting back at the table with Adam [Silver] and his team when the time is right,” said ESPN president Jimmy Pitaro.
Author: Jake Wilkin