NBA Expansion Is Happening for Billions, Not Basketball

Key Points:

• The NBA is likely to add two new teams within the next two to three years, probably in Las Vegas and Seattle, driven primarily by the potential $20 billion in franchise fees, which would be shared among the current 30 teams.
• NBA Commissioner Adam Silver emphasized the global growth of basketball and the increased international talent pool as reasons to believe there is enough talent to support expansion, though concerns about talent dilution and the impact on competitive balance remain largely unaddressed.
• Critics within the league worry that adding two teams will lead to more poor-performing franchises and exacerbate existing issues like tanking, as the pool of high-level NBA talent has remained relatively flat despite global growth.
• While some executives see expansion as neutral or positive due to increased interest and better markets, others acknowledge it is mainly a financial decision, with no strong basketball case supporting it.
• The NBA has only approved exploration of expansion, not the actual addition of teams, with a final decision expected by the end of the year; the league aims for new teams to start by the 2028-29 season, but some owners remain opposed due to concerns about revenue dilution and competitive impact.