Which teams benefit the most from the NBA’s reported new multimillionaire broadcast deal?

The global phenomenon of the NBA is on the verge of a major change. The uncertainty about who would secure the television rights once the contract with ESPN and TNT expired has now dissipated. The NBA is set to welcome Amazon Prime Video and NBC as new partners in an 11-season broadcasting deal worth $76 billion, marking a significant shift in the league’s broadcasting landscape.

This new contract ends the previous nine-year deal, announced in 2014 and worth $24 billion ($2.6 billion annually), with Disney (ESPN and ABC) and TNT Sports as main partners. However, the Mouse House will keep the broadcasting rights of one Conference Final and the NBA Finals every season. What’s more, Amazon is expected to pay $1.8 billion every season, while NBC will spend $2.5 billion per year. This significant increase in broadcasting revenue is set to have a profound impact on the league’s financial landscape.

On the other hand, things are not looking good for Warner, the group TNT belongs to, which lost the chance to negotiate with the NBA between March and April due to their $40 billion debt. TNT Sports is on the edge of ending its long-term relationship with the NBA after four decades, having only five days to match the offers.

Let’s look at what this means for the NBA teams.

How does the NBA’s new broadcasting deal favor teams?

As expected, this new deal will impact BRI (Basketball Related Income – the amount teams receive from broadcasting rights, advertising, merchandising, etc.) and, consequently, the salary cap and players’ salaries. If Jaylen Brown’s $285 million 5-year deal and his teammate Jayon Tatum’s $315 million contract with the Boston Celtics set a record in NBA history, the numbers look set to continue to grow considerably in the coming seasons with the influx of new cash.

Teams will have a salary cap above $200 million in 2028; for 2022-23, it is projected to ascend to $300 million, and contracts are expected to be close to the $500 million total contract and $100 million annual barrier. Therefore, this means that the NBA’s new deal will benefit, for example, teams like the Boston Celtics in retaining crucial players for the future, while others will be able to offer supermax contracts to key players, as is the case of Dallas Mavericks with Doncic or Wembanyama for San Antonio Spurs.

What is a supermax contract?

The NBA’s famous supermax contract, also known as the Designated Veteran Player Extension, was introduced in 2017 to help teams retain their best figures by offering them a lucrative contract that counters other teams’ offers. Supermax allows teams to re-sign a player in a five-year deal with a salary of up to 30% and 35% of the total salary cap.

Since Supermax’s establishment seven years ago, several players have signed this profitable contract, as is the case of:

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Which NBA teams have the highest salaries?

For the 2024/25 season, Pheonix Suns sit at the top of the list as the team with the highest payroll in the NBA, having contracts like Kevin Durant’s ($51 million) or Bradley Beal ($50 million).

Teams like Minnesota Timberwolves ($209 million), Boston Celtics ($206 million), Milwaukee Bucks ($194 million), and Los Angeles Lakers ($189 million) are also at the top of the list.