NBA expects big television revenue jump, which complicates lockout

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Nothing runs professional sports in the United States like television and television money. And it’s right in the middle of the NBA lockout.

That starts with the current television deal, set to pay the league $930 million next season (assuming there is a next season). We told you before about how the NBA’s television networks — TNT, ESPN/ABC — are set to lose $1.25 billion in revenue if there are no games.

Over at Hoopspeak, Ethan Sherwood Strauss explains how the NBA has missed the boat on its national television deal (first signed in 2007).

Ad Week reports that ESPN/ABC and TNT would miss out on up to 1.25 billion dollars from a year with no basketball ad money. If the 2011-2012 season actually happens, those channels would collectively pay 930 million dollars for that 1.25 billion return in broadcast revenue, a potential 320 million-dollar gap between what the NBA sells TV content for and what broadcasters make off of it. This is a quite a steal for the TV side considering that broadcasters often overpay for the privilege of attaching themselves to sports. For perspective, networks give the NFL 4 billion dollars in return for 3 billion in ad money. My suspicion is that pro basketball could easily make up the 300 million they claim to be losing–if only the league had a mulligan on TV rights negotiations.

They don’t get to redo those rights until 2016, although the current partners may be willing to do an earlier renegotiation to keep the rights without opening up the bidding.

But when they do, the NBA will see a big jump in revenue, according to Forbes.

The buzz in broadcasting circles is that the National Basketball Association’s terrific television ratings and greater competition for sports programming are going to result in at least a $3 billion increase in the league’s next deal (30 percent more a year than the current deal)…

While buzz sometimes nothing more than just buzz, in this case a 30% increase might be too conservative. The Los Angeles Lakers reportedly inked a new cable deal in February that will pay the team an average of $150 million a year, five times their current fee. Almost immediately after Peter Guber and Joe Lacob bought the Golden State Warriors last summer the team inked a new cable deal with Comcast. Although the figure has not been reported, I have been told the deal paid the new owners between $40 million to $50 million upfront, plus a more than 100% increase in the annual rights fee. Heck, even the National Hockey League just got a new deal with Comcast that will pay the league 170% more than its current agreement.

What Forbes is writing about both the owners and players realize — the league had the best ratings it had seen in a decade last year and they will be getting more television money in the future. Which brings us to the current Collective Bargaining Agreement negotiations and lockout.

The last offer from the owners wanted to cap annual player salaries at $2 billion (they made $2.17 billion this past season) for a decade. Meaning that player salaries would remain flat an all of the money from the increased television rights deal would go into the owners pockets.

The players currently get 57 percent of the gross Basketball Related Income that comes into the league, a figure that includes the national television revenue. While the players have offered to lower their share down to 54 percent, they want it to remain a percentage because they want to share in the increased television revenue when it comes.

And that is part of the standoff. There will be more revenue for the league in future seasons, but who gets the lions share of it has to be hammered out.

If back in 2007 the league had not signed such a long television deal, one that had more flexibility, we might not be dealing with the threat of such a protracted lockout.

From Kyrie Irving to Jae Crowder, no love lost between Celtics and Cavs

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The first night of the NBA is here. Now you can stop pretending that you are going to win your NFL fantasy league and pay attention to something important.

Tuesday night’s opening matchup between the Cleveland Cavaliers and Boston Celtics was of course one of intrigue for many reasons. The teams have new rosters after a trade involving Kyrie Irving, Isaiah Thomas, and Jae Crowder, just to name a few.

The NBA likes to open its seasons with matchups like this, and the crowd at The Q in Cleveland did not disappoint when they saw Irving once more.

There did not appear to be bad blood on the court between LeBron James and Irving, and the two exchanged a friendly fist bump as is customary before the tip.

Via Instagram:

Of course, Cavaliers fans did not hold back once the Celtics won the tip off and Kyrie handled the ball for the first time.

There was also myriad technical fouls, including one on Irving after a timeout and one on Al Horford for clapping at Crowder. The latter gave us this gem:

Is an absolute bummer that the Celtics will be without Gordon Hayward as he recovers from a broken left ankle. But, at least there will be some bad blood remaining between these teams to entertain us over the course of the regular season.

NBA rallies for Gordon Hayward on social media after broken ankle

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Everyone has been waiting for the start of the NBA season, but nobody wanted it to start this way.

During Tuesday’s opening game against the Cleveland Cavaliers, Boston Celtics forward Gordon Hayward suffered a horrific injury after cutting back door.

Hayward suffered a broken left ankle according to the team. Meanwhile, if you want to see video of the injury, you can do so here.

Of course, everyone was waiting in anticipation for Tuesday, including players and not hooping. There was immediate reaction by other NBA players on social media wishing Hayward a speedy recovery.

Via Twitter:

Gordon Hayward breaks left ankle against Cavs in first game with Celtics

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The Boston Celtics season has taken a turn for the worse.

During Tuesday’s opening game against the Cleveland Cavaliers, new Boston Celtics forward Gordon Hayward broke his left ankle after landing following a leaping back cut to the basket.

It became immediately apparent to those in the arena, and the broadcast angle of the left leg injury was not pretty.

Just be warned here, the resulting photo and media is pretty disgusting. I let out a big yell when I saw it live, so it’s not for the faint of heart.

Via TNT:

This is just the most awful way to start the NBA season, for all of us. Get well soon, Gordon.

Kings’ rookie De’Aaron Fox commits California mortal sin, slams In-N-Out

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We Californians take a few things seriously. Surf reports, for one. Winemaking/tasting. Tech toys. Coming up with potential blockbuster movie franchise ideas, getting a star to buy in, then maybe or maybe not worrying about getting a decent script.

Also, In-N-Out Burger. If there is one thing all Californians can agree on, it’s that In-N-Out is the best burger chain in the world. It’s not up for debate.

Apparently Kings’ rookie De'Aaron Fox did not get that memo. He did a Q&A with Rolling Stone’s Seerat Sohi and crossed a sacred line.

“All I gotta say, you can tell everybody that lives in the state of California this: In-N-Out is not good.”

What’s your beef with In-N-Out Burger?
“Their burgers are overrated. They’re OK.”

Even Animal Style?
“Yes. People always say, you haven’t tried this. You haven’t tried that. I’m like, “Yeah, I looked up the secret menu. I’ve tried it all. It’s just not good.”

That’s controversial. What’s the best fast food spot then?
“Honestly, for me, I don’t count Chick-fil-A, because it’s way too good to be considered fast food. So I’m gonna say Wendy’s. Fat Burger in L.A. is better than In-N-Out.”

It’s this simple: Fox is flat-out wrong.

First off, Chick-fil-A is wildly overrated, so we know the taste of the 19-year-old point guard is off. Fat Burger is legit. But Wendy’s? Come on now, that’s just average.

If Fox had tried to argue Five Guys, I would have let it slide — I don’t think they’re as good, but I will admit a California bias. But Wendy’s? You lose the entire argument right there. It’s like saying Pixels was the best movie ever.

In-N-Out is the best. Fox needs to get on board with this.