NBA Plans New Streaming Service for Local Games Due to Network Problems

The NBA might launch a new streaming service for local games next season. This is because the current regional sports networks are having money problems.

The NBA is aggressively exploring a centralized streaming platform for local team broadcasts, with potential launch as early as the upcoming season, driven by the impending dissolution of regional sports network operator Main Street Sports Group. This swift pivot, fueled by the potential loss of broadcast rights for 13 teams currently aligned with Main Street, signals a profound shift in how professional basketball reaches its audience. League discussions are reportedly underway with major streaming entities including Amazon, YouTube TV, ESPN, and DAZN.

NBA in talks with several outlets to house local team broadcasts - 1

The NBA has informed teams of its contemplation to launch this streaming hub, a move accelerated by Main Street's potential demise in April. This consolidation could encompass rights for up to 22 NBA franchises, creating a unified package potentially valued in the billions and fundamentally altering local game distribution. While Main Street teams are reportedly considering supplementary over-the-air options, the league's ultimate aim appears to be greater direct control over fan access in an increasingly digital media environment.

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NBA in talks with several outlets to house local team broadcasts - 2

Streamer Engagements and Complex Negotiations

The league's outreach to platforms like Amazon, YouTube TV, ESPN, and DAZN indicates a search for a significant distribution partner, or partners, capable of managing this expansive content library. Negotiations are complex, with implications for existing services like NBA League Pass, which currently offers out-of-market games and is licensed to Amazon. A successful centralized hub might require renegotiating or integrating this existing product.

NBA in talks with several outlets to house local team broadcasts - 3

Some teams, already independent of the traditional regional sports network (RSN) model, are further pushing the league towards this centralized approach. The potential for this new hub to offer both in-market and out-of-market streaming options on a single platform is a stated ideal for the NBA.

Background: A "Broken" System Under Pressure

The current regional sports network model, which has historically served as the primary conduit for local NBA broadcasts, has been increasingly described as "broken" by league officials. Main Street Sports Group, operating under the FanDuel Sports Network banner, holds local broadcast rights for a significant portion of the league's teams – 13 NBA franchises. The group's financial precariousness has become a catalyst, forcing the NBA to expedite its contingency plans.

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Several teams have already departed the RSN structure, opting for alternative distribution methods. For instance, some teams have previously entered into lucrative contracts with FanDuel Sports Network, with deals ranging from tens of millions of dollars. The network itself has explored partnerships and expansion, even as its parent company faces uncertainty.

The emergence of direct-to-consumer streaming options for individual teams, such as Jazz+, alongside national broadcast deals with services like Peacock, Prime Video, and ESPN, illustrates a broader trend of fragmentation and league-driven innovation in sports broadcasting. The NBA's push for a centralized streaming hub appears to be a decisive move to navigate this evolving landscape and assert greater control over its valuable broadcast rights.

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Frequently Asked Questions

Q: Why is the NBA planning a new streaming service for local games?
The NBA is planning a new streaming service because the company that owns many regional sports networks, Main Street Sports Group, might close. This means local games might not be shown on TV anymore.
Q: When will the NBA's new streaming service for local games possibly launch?
The NBA is thinking about launching this new streaming service as soon as the next basketball season. They are talking to big companies like Amazon and YouTube TV.
Q: How many NBA teams could be affected by the NBA's new streaming service plan?
Up to 13 NBA teams are currently linked to the regional sports networks that might close. The new streaming service could show games for these teams and maybe more.
Q: What is happening with the current regional sports networks for NBA games?
The company that owns many regional sports networks, Main Street Sports Group, is having money problems and might close in April. This is why the NBA is looking for a new way to show games.
Q: Will NBA League Pass change with the new NBA streaming service plan?
It is possible that NBA League Pass, which shows games from other cities, could be part of the new streaming service. The NBA needs to talk to companies about how this will work.