NBA Faces Financial Shakeup: TV Deals Soar, Local Networks Struggle Amid Cord-Cutting Crisis

October 31, 2025
NBA Faces Financial Shakeup: TV Deals Soar, Local Networks Struggle Amid Cord-Cutting Crisis
  • Broad trends show regional sports networks nationwide facing headwinds from cord-cutting, with some networks folding or seeking bankruptcy protection, reducing local media revenues.

  • The deal eclipses other regional agreements, even as the New York Knicks accepted a sizable local rights reduction due to MSG Network’s financial struggles.

  • The Los Angeles Lakers’ RSN deal with Spectrum SportsNet averages about $150 million per year through 2032, and Charter Communications is exploring a sale of the RSN, creating potential uncertainty for the team.

  • The national rights deal now averages roughly $110 million per team annually, rising to over $140 million under the 11‑year, $77 billion pact with ESPN, Amazon, and NBC, reshaping league-wide financial dynamics.

  • The NBA views 2027 as a critical milestone when many RSN deals expire and is weighing packaging local streaming rights, signaling potential shifts in distribution models (e.g., external control of NBA League Pass by platforms such as Amazon outside the NBA App).

  • The RSN situation affects the NBA salary cap, which rose about 10% this season thanks to the new TV deal; next year’s projection is a 7% rise, with a roughly 3% dip tied to declining RSN revenue across the league.

  • The RSN payments to teams are roughly three times the NBA league average and are a major factor in the Lakers’ financial edge over other franchises.

  • Local rights concerns are a major source of franchise financial instability and could influence ownership decisions, including talks among the Buss family about selling.

Summary based on 1 source


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