Warner Bros. Discovery is on the brink of losing the NBA broadcast rights, ending a 35-year legacy with Turner Sports. This shift is the result of negotiations gone awry, raising the stakes to sky-high levels as Warner Bros. lose the NBA. The NBA is finalizing deals with Walt Disney Co., Comcast Corp., and Amazon.com Inc. that will bring in around $7 billion annually over the next 11 years.
David Zaslav’s $200 Million Blunder: Will Warner Bros. Lose the NBA?
Disney is set to grab the biggest chunk, including the NBA Finals, while the others will share the rest of the playoffs and regular season. Warner Bros. will have a chance to match these deals, but the structure heavily favors its competitors.
Comcast, for instance, plans to broadcast games on NBC, which has a much larger prime-time audience than Turner. Meanwhile, Amazon’s deal focuses on streaming, a sector where Warner Bros. struggles to compete solely with its Max service.
Warner Bros. Chief David Zaslav is in a tight spot. The negotiations have been anything but smooth, with Zaslav famously claiming his company didn’t need the NBA—a statement he likely regrets now. Charles Barkley, a TNT star, has openly criticized Zaslav’s handling of the talks.
Adam Silver, the NBA Commissioner, aims to maximize both viewership and revenue for team owners. Cable is a sinking ship, so the NBA is moving towards broadcast TV and streaming, aligning with Silver’s vision for the future.
Comcast and Amazon, with their deep pockets and stability, pose significant threats to Warner Bros., which has undergone multiple ownership changes and constant deal speculation. Comcast’s proposed $2.5 billion annual deal far surpasses Warner Bros.’ current agreement, backed by its financial heft and extensive resources.
Yet, there’s still a slim chance for Warner Bros. They could carve out a smaller package or partner with another broadcaster. Losing the NBA would be a massive blow, considering TNT’s heavy reliance on NBA content for ad revenue and subscriber fees.
Zaslav has a $2 billion budget earmarked for sports rights, and he’s already secured some college football games. Future opportunities include deals with the Ultimate Fighting Championship, Major League Baseball, and tennis. None match the NBA’s value, but Zaslav might still pull a rabbit out of his hat.
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