The NBA is thriving overall with a league-wide valuation averaging over $6 billion per team and a record-setting broadcast partnership worth $76 billion over 11 years, highlighting national media success. The 2026-27 season kicked off amid strong viewership, such as the Knicks vs. 76ers prime-time opener drawing 7.7 million viewers, reinforcing confidence in the league’s lucrative deals with ABC/ESPN, NBC/Peacock, and Amazon. These national TV contracts have elevated team incomes by 40% since their inception, with each franchise earning nearly $150 million last season from those agreements alone.

Despite this national boom, the NBA is grappling with a severe local TV rights downturn, losing approximately $450 million in revenue across all 30 teams from 2023-24 to 2025-26. Sixteen teams formerly associated with the collapsing FanDuel Sports Network regional sports networks (formerly Bally Sports) experienced the steepest losses, with the Dallas Mavericks’ local TV revenue plummeting 84% from $96 million to just $15 million as RSNs struggled under the weight of cord-cutting and lost cable subscribers. Even other teams outside of this group, including the Knicks, Jazz, and Trail Blazers, agreed to significant reductions in local broadcast fees amid RSN financial instability.

This plunge in local TV revenue contrasts with the NBA’s otherwise robust growth in ticket sales, merchandise, sponsorships, and premium seating, which together continue driving overall league revenue near $14 billion. The drop in local deals poses a threat to franchise valuations and salary cap increases since local rights once accounted for up to 13% of team revenue. The crisis stems from the industry-wide shift away from cable towards streaming and more budget-friendly content bundles, eroding the guaranteed steady payments RSNs previously made based on subscriber fees.

To combat the local TV revenue decline, NBA teams are experimenting with new models such as launching proprietary streaming platforms, digital subscription services, and partnerships for over-the-air broadcasts. The league is also exploring bundling multiple teams’ local rights into a single streaming hub by the 2027-28 season to negotiate higher collective payouts. While the future of local broadcasts remains uncertain, experts argue that the high demand for live sports experiences will continue to underpin the NBA’s economic strength, encouraging teams to innovate revenue streams beyond traditional cable deals.