Adam Silver: NBA Expansion Not Likely Until After New TV, Labor Deals

NBA commissioner Adam Silver made it clear the league is open to expansion, though several factors will have to be taken into account.

Namely, the league’s main source of revenue, which just happens to be its broadcast and media rights deals. The current such contracts expires after the 2024-25 season.

Also, the league and union will have to agree on a new labor deal — which most don’t suspect will be an issue — before bringing in new teams can be considered.

“In order to evaluate any teams coming in, we need to know where we stand from a media standpoint; that’s obviously our most significant form of revenue overall,” Silver said in a meeting with Suns employees, via Baxter Holmes of ESPN.

The NBA has television deals with both ESPN and TNT, and both contracts expire at the same time. With the league off to a hot start ratings-wise, it may have rebounded from a tough few years during the peak of the COVID-19 pandemic. 

If this continues, there should be no shortage of money thrown the NBA’s way from potential media rights partners.

That very well could then open the door to expansion, with Las Vegas and Seattle being mentioned most as possible locations for new teams.

Of course, it’s not only the dollars that would have to make sense. According to Silver, the NBA doesn’t want a “dilution of talent,” a risk of having too many teams.

“None of us can remember going into a season where there was a perception of so much competition, but, still, the goal is to have 30 competitive teams, not 20, or whatever it is, so think we do pay attention to the dilution factor,” Silver said, via Holmes.

Silver adds in his appearance on @espn that Las Vegas "will make a great location from a franchise someday" but reiterates that the next round of NBA expansion is unlikely to happen until after the league has secured new labor and television contracts. https://t.co/x0716QUDYV

— Marc Stein (@TheSteinLine) October 24, 2022