NBA expected to boast $5 billion revenue

RONALD BLUM
Last updated 14:02 14/11/2012

Relevant offers

Basketball

Champion NZ Breakers striving to be even better as they shoot for another crown Tall Blacks guard Jarrod Kenny completes Perth Wildcats NBL roster Judd Flavell named Southland Sharks coach NZ Breakers big man Alex Pledger takes first steps back on the comeback trail NBA giant Enes Kanter gets dwarfed by world's tallest man Manawatu Jets coach Darron Larsen takes up college gig in the United States Wellington Saints up and down at the William Jones Cup Breakers import Charles Jackson happy to make it off struggle street NBA star Steven Adams a no-show at Motueka High School Mystics upsize shooting with signing of 2.04m Tall Fern Megan Craig

NBA Commissioner David Stern estimates revenue will be a record US$5 billion in the current season, an increase of about 20 per cent from the league's last full season in 2010-11.

Speaking at Beyond Sport United, a gathering of global team, league and industry executives at Yankee Stadium that focuses on social responsibility, Stern said NBA expansion to Europe is probably at least a decade away and that it likely would make sense to add several clubs there at once.

"I think for us the thing that would make the most sense would be a division in Europe at the time that it comes," he said. "I don't see that for another decade at least. Not one team."

Stern announced last month that he will retire on February 1, 2014, 30 years after he took over from Larry O'Brien, so international expansion will be passed on to Adam Silver, who has been deputy commissioner since 2006.

"It's not something we've done a lot of looking at, but it's something that we've had people approach us with," Stern said. "We obviously keep pretty close tabs on how our attendance is in our overseas games, what the pricing structure is, what the fan affinity is, what the television arrangements are, what the ratings are, all of the metrics of the business in a place or places. It's a pretty sophisticated enterprise."

The league's revenue estimate is for the year ending next September 30. That puts the NBA third among the major North American leagues, trailing the NFL (US$9 billion) and Major League Baseball (US$7.5 billion), but ahead of the NHL (US$3.3 billion).

"I would say that China, which is the largest segment outside the US, is doing very well. I would say we'll see that to some degree as well in Turkey, in Africa, in Brazil," Stern said. "The components are broadcast, digital, merchandise, marketing partnerships and events, which can be games and the 3-on-3 tournaments and clinics, any variety of events that draw people."

Stern said the NBA is broadcast in 46 languages to 216 nations or territories.

A year after a lockout that delayed the start of the season to December 25, Stern was critical of hockey union head Donald Fehr for his side's negotiating stance in the current NHL lockout. Fehr said that sports with salary caps are more prone to lockouts because of their labour structure.

Stern disagreed and said the 50-50 sharing arrangement agreed to by the NFL and NBA, and proposed by NHL owners, was fair.

"They have no choice but to stand and protect such business model as will be left when the negotiations finish," he said.

Ad Feedback

- AP

Special offers
Opinion poll

How do you expect the Breakers to perform in this season's Australian NBL?

Last season was a blip, they'll be champions once again

They'll go close to another title, beaten finalists I'd say

Playoffs for sure, but can't see them going any further

Not too excited, they'll miss the playoffs again

Vote Result

Related story: (See story)

Featured Promotions

Sponsored Content