The ball is there as sports rights prove to be small screen game changers disneyin court of NBA.
‘We are interested in renewing our contract with the NBA,’ said CEO Bob Chapek Today after the company released a surprisingly strong quarterly earnings report. But while applauding the Golden State Warriors’ performance in this year’s basketball league finals, the almost always cautious executive added a caveat: “Only do it if it increases shareholder value.”
Disney is paying about $2.5 billion a year under a nearly 10-year deal between House of Mouse, which now owns ESPN, and Adam Silver, who now runs the NBA for Warner Bros. Discovery. increase. That hoop deal is set to expire after the 2024-2025 NBA season, and it’s unclear if Stephen Curry The Warriors will win again. The NBA is looking to significantly raise his current $24 billion contract, given the sheer amount of money the NFL has collected from networks, streamers and others in recent negotiations.
Disney’s streaming service overtakes Netflix in total subscribers
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Whispers are that the league is looking at payments of up to $75 billion from potential bidders. “We think our continued relationship with the NBA will be really compelling for us,” the CEO added.
“We have always been fascinated by the power of sport. Disappointing financial results. He also frankly admitted that his sports success helps pay some of the bills for the Disney-owned linear network. It presented a consumer-facing future, but as usual, the CEO hedged his bets with forward-looking statements. Chapek said the company’s ESPN plan would “proactively prepare in advance without prematurely interrupting the flow of cash from its linear network.”
In corporate parlance, that means not passing the ball until Disney knows it will score.
