July 18, 2024

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The countdown is on for TNT Sports after NBA owners approved new media-rights deals with ESPN, NBC, and Amazon. … The Packers’ annual financial report reveals more about the NFL’s revenue goals. … We look back on a crucial decision for the MLB record books. … And Knicks stars Jalen Brunson and Josh Hart join Front Office Sports Today.

— David Rumsey [[link removed]], Eric Fisher [[link removed]], and Colin Salao [[link removed]]

NBA’s Blockbuster Rights Deal Faces Uncertainty, Potential Legal Threats [[link removed]]

Brad Penner-USA TODAY Sports

The arrival of the NBA’s new national TV rights [[link removed]] with Disney, NBC Sports, and Amazon should be a cause for celebration. The league has more than doubled its annual fees while posting lower ratings [[link removed]] in an increasingly disrupted media landscape.

But instead of universal praise for commissioner Adam Silver (above), league president of global media distribution Bill Koenig, and what they’ve achieved, the NBA’s media rights are instead a subject of considerable uncertainty and hurt feelings, and it could ultimately erupt into litigation.

Silver confirmed late Tuesday that the NBA’s board of governors approved the 11-year, $76 billion set of rights, advancing “this stage” of the process. But the agreements are not yet finalized, and the commissioner did not discuss by name any of the participating networks or the terms involved.

“Much of it is out of my control,” Silver said.

That stance, while perhaps not surprising, is a result of the highly delicate nature of the rights and what is now a potential war on two fronts that Silver and the league are fighting.

TNT Sports: As of early Wednesday, the Warner Bros. Discovery unit still hadn’t been presented with these BOG-approved rights deals. The network, however, fully intends [[link removed]] to exercise its matching rights, likely focusing on Amazon’s package, and what form that effort takes represents a key upcoming step in the saga. James Dolan: The Knicks earlier this week sent [[link removed]] an angry letter to the Board of Governors, in part arguing that the agreements are highly disruptive to local broadcasts that are still critical to individual teams. Silver acknowledged Dolan’s concerns were discussed among the broader group, adding, “We try to keep these issues in the family.” It’s uncertain where the matter goes from here, but historically, Dolan has shown little fear of pursuing litigation. What About NBA TV and NBA.com?

A large amount of the focus around the league’s media rights has been on the status of TNT Sports, the division of rights among the various partners, and the push to embrace streaming. But a critical, but less-discussed, element of the talks has been what becomes of the league’s in-house media properties, NBA TV and NBA.com. Since 2008, those outlets have operated [[link removed]] in a joint venture between the league and TNT Sports.

It’s unclear what becomes of those, particularly if TNT Sports is not otherwise involved with the NBA.

“I don’t know,” Silver said when asked about the two outlets. “There’s too much still in play.”

Expansion Talk

With the media rights reaching some type of conclusion, league expansion is assuming a heightened focus, with formal efforts now set to begin as soon as this fall. Expectation has already been building for many months around this subject, something Silver hasn’t avoided [[link removed]].

The general expectation, as it’s been for some time, is focused on Las Vegas and Seattle as the primary options [[link removed]] for new clubs.

But what is new, at least publicly, is a rising concern within the league about how to divide the largesse from the new rights deals with the incoming team owners.

“It’s a bit more complicated than is suggested sometimes,” Silver said. “Just think of the new media deals, for example. Once they’re completed, when you bring in new partners, you’re diluting those payments, of course, to teams. … It’s no different than selling equity in any business. I think there needs to be a fair amount of modeling at the league office, working with existing owners, and really thinking through the long-term prospects.”

Pulling Back the Curtain on the NFL’s $25 Billion Revenue Dream [[link removed]]

Kirby Lee-USA TODAY Sports

The NFL made nearly $13 billion last season before any of the league’s 32 teams sold a single ticket, hot dog, soda, or beer.

That information comes via the summertime tradition of the Packers releasing their annual financial report. Green Bay is the only publicly owned NFL franchise, and therefore releases key revenue figures that the other 31 teams keep private.

This week, the Packers reported a $60.1 million operating profit for the fiscal year ending on March 31. That came after bringing in $654 million in total revenue, up roughly 7% from the prior year. The majority of that came from Green Bay’s share of national revenue that the NFL distributed equally among its franchises. For the 2023 season, that payment was $402.3 million, up from $374.3 million in ’22.

Counting the Cash

From the Packers’ report, it can be determined the NFL made $12.87 billion in national revenue during the 2023 season. Media rights drove the majority of that, but things like official league sponsors and ticket sales for international and playoff games factored in, too. In ’22, the NFL’s national revenue sum was $11.98 billion.

The nearly $1 billion year-over-year jump came as the league’s new 11-year, $110 billion broadcast contracts officially kicked in, and more media revenue was realized through a $110 million sale of the first exclusively streamed playoff game [[link removed]].

The $25 Billion Goal

NFL commissioner Roger Goodell has said many times that the league’s ambition is to reach $25 billion in total annual revenue by 2027. That tally would come from national and local income, the latter of which varies from team to team. Green Bay’s financials offer insight into how the league is trending there but not a complete picture.

In 2023, the Packers’ local revenue sum was $251.8 million, which included regular-season ticket sales, concessions, and local sponsorships. Green Bay says its local revenue typically ranks near the top of the second quartile of the NFL’s 32 clubs—so somewhere between ninth and 12th.

If the Packers represented even an average NFL team, that would put the league’s total revenue in 2023 at nearly $21 billion. But it’s not that simple. Without knowing how much money enormously popular teams like the Cowboys—or how little the league’s smallest earners—are bringing in, it’s difficult to properly estimate an average local revenue figure across the league.

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FRONT OFFICE SPORTS TODAY Knicks Stars Talk Media Deals

Brad Penner-USA TODAY Sports

Knicks stars Jalen Brunson (above, left) and Josh Hart (above, right) join the show to discuss how the NBA’s latest media-rights deals and the league’s new CBA could affect their careers.

🎧 Watch, listen, and subscribe on Apple [[link removed]], Spotify [[link removed]], and YouTube [[link removed]].

TIME CAPSULE July 18, 1961: A Momentous* Decision

David Boss-USA TODAY Sports

On this day 63 years ago: MLB commissioner Ford Frick made one of the most impactful decisions of his 14-year tenure, and certainly the most-criticized one, ruling that Babe Ruth’s single-season home run record needed to be set in 154 games, instead of that year’s newly expanded length of 162 games. With Yankees sluggers Roger Maris (above) and Mickey Mantle both pacing ahead of Ruth by midsummer, Frick announced the record must be set within the prior season length, or otherwise be joined by “some distinctive mark” in record books. Sportswriter Dick Young quickly suggested an asterisk, and that notion took hold, at least in conventional wisdom.

Far from a simple pronouncement, Frick’s move carried widespread immediate implications. Frick held a prior relationship with Ruth, acting as his ghostwriter during a previous stint as a sportswriter, and was at the legend’s deathbed. The move helped codify public sentiment in many corners against Maris, who would ultimately hit his 61st home run and top Ruth on the season’s last day—despite receiving death threats and hate mail.

For all of the attention focused on the asterisk and Frick’s pronouncement, the force behind it was ultimately hollow. The asterisk never actually appeared [[link removed]] in official record books, with both Maris and Ruth appearing on separate lines for three decades until a league statistical committee ruled that a season is a season.

For Frick, meanwhile, the move would come to heavily define his legacy as commissioner that otherwise included expansion, team relocations, the development of several new stadiums, and further integration of the sport. The Baseball Hall of Fame award for broadcasters making “major contributions to baseball” bears Frick’s name. But his tenure remains heavily intertwined with the home run decision, which was further depicted in Billy Crystal’s 2001 movie, 61*.

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Conversation Starters The Angels and the city of Anaheim settled a two-year lawsuit—but the franchise’s future in the city remains a question. Learn more [[link removed]] here. Nike dropped an ad congratulating Carlos Alcaraz on winning his second consecutive Wimbledon title and fourth Grand Slam since 2022. Take a look here [[link removed]]. With the 2024 MLB All-Star Game wrapped up in Arlington, Texas, check out [[link removed]] the next two cities slated to host the All-Star festivities. Editors’ Picks What the WNBA’s Windfall Could Mean for Player Salaries [[link removed]]by Margaret Fleming [[link removed]]The WNBA could hit its first million-dollar annual salary as soon as 2026. Angel City FC Sale Official at Record $250 Million Valuation [[link removed]]by Margaret Fleming [[link removed]]Disney CEO Bob Iger and wife Willow Bay now control the club. ‘Only So Many Hours in the Day’: PGA Tour–PIF Talks Piling Up for Tiger [[link removed]]by David Rumsey [[link removed]]The golfer shed light on his off-course duties at the Open Championship. Question of the Day

Do you think TNT will find a way to keep NBA broadcast rights following the 2024–25 season?

Yes [[link removed]] No [[link removed]]

Wednesday’s result: 70% of respondents said they were already familiar with Olivia Dunne.

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