Former Microsoft CEO Steve Ballmer to buy L.A. Clippers

Lin for CP3? I'd do it

 

Did Gatorade cut its deal with the NBA because of Sterling?

 

Plus what ads were pulled? Local TV ads? Those TV deals are years long. In arena ads? They share an arena. National TV ads?

The NBA wasn't losing anything.

 

Crazy!

The NBPA will take much harder line next time. IMO, this makes it certain they will opt out in 2017 and owners won't have a leg to stand on with valuations exploding like this.

 

Agree, to a certain extent.

The damages to the league, as characterized by Adam Silver, are losses in potential future ad revenue. This had to do with the loss of existing (as well as future) marketing partnerships.

As far as the commercial sponsors pulling out being a 'publicity stunt'... well, yes, I'd say these companies were simply following smart PR 101 protocol. Hardly a stunt though. I'd rather get on the 'front page' for selling out -- instead of buying in. The risk of doing nothing far outweighs the risk of distancing your brand from a publicly scandalized brand like that of Sterling's Clippers.

It's just smart business sense, nothing more.

As far as not being sure if 'there's any legit quantitative analysis on lost revenue yet', one has only to calculate the known losses in future ad revenue attributed to those corporations that did end their marketing partnerships with the Clippers.

That does not begin to estimate the loss of fan appeal should Doc Rivers, Blake Griffin and Chris Paul file grievances with the NBA in efforts to become free agents this summer. The Clippers would be bottom-feeders once again and league owners would stand to lose hundreds of millions in future earnings. Los Angeles is a tremendous market. The NBA has worked hard to build up the Clippers' franchise (see David Stern's 'basket reasons'), and so it can ill-afford to stand idle as the Clippers' brand is destroyed in that market -- even by a senile old man who's alienated his business partners.

It's reasonable to conclude that Sterling had little to do with the Clipper's emergence (see Elgin Baylor's testimony). IMO, the league owners (in coordination with David Stern) are responsible for the inflated value (estimated at $2B) we've seen today. Sterling can have his money. The owners, themselves in smaller markets outside of LA, just want to protect their future billions.

That's really what this is all about. The media will sensationalize anything -- in this case racial bigotry -- to generate revenue. But this is really about protecting the current and future financial interests of billionaire owners -- nothing more.

 

Did Gatorade have an exclusive marketing partnership with the Los Angeles Clippers? That's the relevant question.

 

I sure hope he runs the Clips better than he ran Microsoft but him paying 2B for the Clips is exactly the kind of thing that made investors want to get rid of him as CEO of Microsoft.

 

Isn't Doc Rivers pretty much in charge of running the team?

 

Yes, Doc Rivers is running the team.

He is not running the business side of things.

 

In that case Sterling with just open up commercial towers called the "Racial Slur" Towers. He'll stick to what he knows with that money.

 

he doesn't care about the finances

 

Ballmer is Ballin'...

 

World's richest racist...

 

An nba franchise is like free money. I've never heard of an owner LOSING his investment. Hell, he could have bought it for 3 billion and still would make money on it.

Probably the safest investment he has in his entire portfolio.

 

eh? Time value of money? If you're making under the risk free rate, you're losing money.

 

How is the last tweet possible if he is the majority owner?

 

he's not the owner, the trust is

 

I still wouldn't sell if I were him. He's already a billionaire and he's old. The Money will just sit in the bank with his other dough. I'm doing everything to keep that asset in my family if I'm him.

 

Lakers aint worth 2 bill.