The NBA has long been anticipated to consider expansion, especially following the sale of the Boston Celtics, valued at an impressive $6.1 billion. This sale will undoubtedly act as a benchmark for establishing any potential expansion fee. However, the league is taking its time, moving cautiously due to issues with regional sports networks.
Adam Silver addressed the situation by stating, “The short answer is there are no new developments.” He explained further, “We’re still processing the Celtics’ transaction this year. It’s inevitable that such a significant deal impacts our expansion considerations.”
He continued, “This deal is a recent presentation, so we’re in the midst of analyzing it. I believe we’ll delve more seriously into expansion once we’ve absorbed all the details.”
The league office has actively been examining what expansion might entail over the past year. Silver noted, “We’ve been modeling potential outcomes, considering economic dilution, especially now that we understand our national deals better. The player aspect is also a major consideration.”
He added a point of concern, saying, “Another factor causing us to hesitate is the uncertainty surrounding local media. Bill Koenig, our head of media, delivered an extensive presentation on the matter. It’s a well-known fact that there’s been a significant drop in this area. Almost two-thirds of our teams are dealing with regional sports networks that have recently faced bankruptcies or closures.”
Silver concluded, “While we have a grasp on the national media landscape, we need clarity on the domestic front for potential expansion. Understanding local media opportunities is crucial because it plays a vital role in the financial well-being of our teams.”
