NBA players and owners can look forward to higher salaries and profits in the near future, following a media rights extension with partners ESPN/ABC/Disney and TNT/Turner Broadcasting.
The new deal is expected to nearly triple annual revenue from $930 million to $2.67 billion through 2025.
According to the New York Times, the 9 year, $24 billion deal will take effect after the 2015-2016 season. The league’s current contract with Disney is worth $485 Million per annum, while Turner Broadcasting shelled out $445 million. That being said, how the two companies plan to divide spending for the next deal has yet to be reported.
The primary impact of the massive infusion of funds will benefit player salaries and free agents the most, though its also expected to have a ripple effect within the NBA and throughout the sports world as well.
With broadcast revenue set to blow up by nearly $1.74 billion, players stand to gain an additional 870 Million Dollars. NBA says it will work together with player’s unions, in preparation for a “profound effect” that the deal will have on salaries, and to avoid a dramatic change in the salary structure.
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