Warner Bros. Discovery has settled a lawsuit with the NBA, ending their longstanding partnership. This settlement marks a significant shift in the sports broadcasting landscape.
Warner Bros. Discovery had filed a lawsuit in July, claiming that the NBA had not honored its matching rights for a package of live games. As part of the settlement, Warner Bros. Discovery will no longer pursue a package of NBA games for the 2025-26 season and beyond. Instead, the NBA will partner with Disney, Comcast’s NBCUniversal, and Amazon Prime Video for the U.S. distribution of live games over the next 11 years. The total value of the new broadcasting deal, which includes WNBA games, is reported to be approximately $77 billion. This agreement reflects the NBA"s strategic shift away from traditional cable television and towards more modern distribution channels to engage a younger audience.
Despite losing live game broadcasting rights, Warner Bros. Discovery will still have a presence in the NBA ecosystem through various content agreements. TNT Sports, the company"s sports division, will have access to highlights for its Bleacher Report digital news site and the social media platform House of Highlights for the next 11 years. Warner Bros. Discovery will also have the rights to license, create, and distribute NBA content across its media assets in select international markets. The settlement also extends the partnership between NBA Digital and TNT Sports for five seasons, allowing the NBA to leverage Warner Bros. Discovery"s promotional capabilities and production services.
The popular studio show "Inside the NBA" will now be licensed to Disney"s ESPN and ABC for premier NBA games during the regular season and playoffs. TNT Sports will retain editorial control over the show, and the hosts are expected to remain with the show for the duration of their contracts. The settlement strengthens the partnership between Disney and Warner Bros. Discovery, as both companies have collaborated on various initiatives in recent years. In addition to the NBA agreements, the settlement allows TNT to broadcast Big 12 football and men"s basketball games starting in 2025. This move aligns with Warner Bros. Discovery"s strategy to diversify its sports offerings and engage a wider audience.
The evolving landscape of sports broadcasting reflects the challenges faced by traditional cable networks in the face of streaming services and changing viewer habits. The implications of this settlement for Warner Bros. Discovery and its sports division will be closely monitored by industry analysts and stakeholders.