The NBA Salary Cap could go down by 10-15% next year. The Rockets are capped out anyways

sorry, my bad. Yes we did. lulz. I've been traveling too much, lately.

And now that I think about it, Silver will probably lower Tax Penalties temporarily for all teams except the Rockets, saying Morey caused the drop.

 

They will end up working something out.

 

Sucks for PJ Tucker, I hope he gets a good contract.

 

Below are calculations to say the NBA can withstand this loss in revenue. It just puts them back to 2018 levels.

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The OP says the high-end reduction of salary cap is 10-15%.

From that, we can actually say what $ impact China has.

Back of napkin calculations

• Current Salary Cap projection = $116m Cap
• $116M times 30 teams = $3.480B
• Per the CBA, Cap Pool ($3.480B) is 44.74% of Total NBA Revenue (BRI) =~ $7.8B

• 10% Reduction
  = $104.4m CAP =~ $7B Total NBA Revenue (per calculation above)
• that is a loss of $800m or $26m per team = 50/50 split $13m loss to owners and $13m loss to players
  
  
• 15% Reduction
  = $98.6m CAP =~ $6.6B Total NBA Revenue (per calculation above)
• that is a loss of $1.2B or $40m per team = 50/50 split $20m loss to owners and $20m loss to players

​

So, High-end, worst case says China total revenue is between $800m-1.2B per year. By contrast, US National Broadcasts are $2.6B/yr and Ticket Sales/Concessions are higher, as well.

Bottomline: I think (per team) the owners and players can withstand $13-20m losses each year, and learn to compensate or live with the reduction. They'd simply be back to 2018 numbers. AND, again ... that's reported as worst case in the OP​

 

It was nice while it lasted, but the NBA doesn't need China. There are other untapped foreign markets. India has just under 1.4 billion people. Put in the work like they did in China and they'll reap similar rewards in the future.

 

I would like to think that, but I can't possibly see how the NBA can cede anymore than they have without looking like complete kneelers.

My only hope is that China considers it's message sent and "takes the high road" or at least that how they can sell it to their fans.

 

LOL..Indians are more into cricket. Europeans are all about soccer.

Good luck with getting another market as big as China.

 

And how much bball did China play before Yao?