The NBA is preparing to shift most team-specific television rights to a single national partner when the bulk of existing regional sports network (RSN) contracts expire in 2027, according to ESPN’s Brian Windhorst.
League executives view the move as a long-term response to shrinking local media income, which has emerged as one of the NBA’s most pressing financial issues. One team president told ESPN the effort ranks among “the most significant financial things going on in the league right now.”
Local dollars trending down
RSN payments have fallen across the league. The New York Knicks, for example, accepted a 28 percent reduction from MSG Networks last year, cutting their annual local TV revenue by roughly $41 million, ESPN reported. Similar declines are affecting other franchises.
Salary cap restrained
The league’s salary cap rose by 6.7 percent this offseason, below the 10 percent maximum allowed under the current collective bargaining agreement. While a shorter postseason contributed to the slower growth, Windhorst noted that sagging local TV revenue remains the larger, longer-term factor.
National deals soften the blow
To offset local losses, the NBA struck 11-year national media agreements worth more than $77 billion with ESPN, NBC and Amazon two years ago. Those contracts boosted national income and prevented a steeper league-wide slowdown.
Bundling set for 2027
League officials believe combining individual team rights under one umbrella after 2027 will stabilize revenue and could influence the NBA’s plans for future expansion.
The initiative remains in the planning stage, with further details expected as current RSN deals wind down.
Source: Hoops Wire
