NBA Commissioner Adam Silver recently addressed the status of potential league expansion. Despite ongoing speculation about cities like Seattle and Las Vegas being potential new homes for teams, Silver stated that the league has not yet formally begun the process of adding new franchises. However, this could change as early as next month.
Speaking before Game 1 of the NBA Finals, Silver indicated that there`s a prevailing sentiment that expansion should be explored. He highlighted that adding expansion teams is effectively selling a stake in the league, which requires careful consideration about bringing in new partners. Conversely, he acknowledged that several markets, both within the U.S. and internationally, are currently underserved and could support NBA teams – perhaps even more markets than the league could realistically accommodate if it were to expand.
Silver mentioned that expansion will be a topic on the agenda for the owners` meeting scheduled for July in Las Vegas. This meeting will serve to gauge the collective opinion of team owners. While league committees are already discussing the matter, Silver expects that at the July meeting, owners will likely direct the league office to proceed with further exploration.
The commissioner emphasized his preference for a measured, step-by-step approach to expansion. Should the owners decide in favor of deeper investigation, the subsequent phase, involving the league office and presumably a committee of team owners, would constitute a more formal process.
Silver noted that there has been significant interest in hosting an NBA team, with numerous unsolicited inquiries received from representatives of various cities. He explained that he has consistently responded by saying the league is not currently engaging in formal discussions to ensure fairness to all potential candidates. However, once the league officially enters a more formal exploratory phase, these meetings would commence. Additionally, the league would likely enlist outside consultants to thoroughly analyze potential markets, evaluating their economic viability, media opportunities, and other relevant factors.
The topic of expansion, Silver added, is interconnected with another significant issue facing the league: the uncertain future of regional sports networks (RSNs). Several team-specific RSNs have ceased operations, others have emerged from bankruptcy, and some appear to be in precarious positions. Silver described this as a transition period in media distribution.
Despite the disruption, Silver asserted his belief that local media rights offer the best value in sports today due to the unparalleled fan engagement a team generates within its home market. The current challenges stem from a sharp decline in traditional television viewership and the fact that major streaming services, primarily focused on national or global reach, have not yet fully developed localized strategies for team-specific broadcasts. However, Silver anticipates that this will change, expressing confidence in the enduring value of local team content.
Beyond potentially adding more teams within North America, Silver reiterated that the league is also exploring the possibility of creating a new league in Europe. He views this initiative as another form of expansion, aimed at enhancing the service provided to fans in that region. This European league concept is another area the NBA is actively considering.
Jasper Hawthorne