We all know that the NBA owns all rights to broadcasts, and TV revenue is shared throughout the league. My question is: while certainly local broadcast deals is probably part of this league-wide revenue sharing, do the franchises get to cut their own TV deals for broadcasting their games, and what if any restrictions apply? How much freedom do they have to sell their games outside their local region? Is that allowed? For instance, the Seattle Mariners games are all televised in Japan. Can the Rockets cut a deal with Oriental TV (the owner of the Sharks) to broadcast all Rockets games, or does OTV have to do that through the league office, only. If NBA franchises can negotiate independent deals for their games with any TV company who would buy them, then *there* is your compensation deal to negotiate full and complete release of Ming from the Sharks. Of course, we would have to share revenue with the league office, the point is that if Les is the one signing the contract, then he has the power that he needs to free Ming. The CBA wants their franchise to make money, giving one of their franchises rights to broadcast all Rockets games is a huge bargaining chip to get them to sign a contract to never ask Ming to play games during his NBA obligations. My gut instinct is a business deal will clear the path. And it is best that Les is in charge of signing that deal, not waiting around for Stern to do it; Nike, or Houston business men. Go Les!
hellofa idea... what do ya figger the odds are for something like that to happen? and how will this deal fulfill the Sharks desire for monetary compensation? If you have explained that, sorry I'm obviously not understanding that part.
That would be bizarre..imagine. The only phrases they would have to use would be: "Where are the cookies?" "Ball movement, ball movement"
LOL Major, Rockets2K, Let me do one of those obnoxious Socratic Method discourses with you. If the Rockets land Ming, do you think FoxSW and UPN will fight over the local TV contract the Houston area? Why? If Les can negotiate a TV deal directly with Oriental TV within the rules of the league office, that's it. That's the answer.
I don't think it would be much of a fight, I don't think UPN has the kind of money that Fox has. As for why..... for the guaranteed ratings that would come from having every Asian b-ball fan watching the games? That would be my best guess, but as I'm sure u know, I'm nowhere near as knowledgable as others here about stuff like that. Your take? So basically, Les gives OTV the right to sell the broadcasts to other Asian markets? Therefore, making them the money that they desire? I'm I even in the ballpark?
I seriously doubt it's possible or else it would have been done before with Vlade, or Kukoc, Sabonis, the Bulls, the Lakers, etc. It wouldn't be good for the league anyway.
Yes, ratings provides OTV with the power to significantly increase their advertisement deals. Further, Les can sell media-table banner space to Chinese companies if he knows they are all being broadcasted in China. It's a "win-win" deal. hehe!!! I don't think OTV could turn around and sell the rights. That's proabably a NBA no-no. But they don't have to. They are in direct "competition" with Shanghai TV, and I know STV has over 100 million viewers. OTV would merely expand their markets rather than resale rights. again, this is all contingent on whether league rules allow franchises to cut TV deals for their own games to be shown outside their local markets. What is beautiful about this is that the advertisers in China will apply a lot of pressure to make sure Yao does not miss any televised games! It could all take care of itself.
Isn't that what Japanese televison does with Ichiro and the Mariners? If the Sharks and/or ChBA can get part of this action, it sure seems like it would go a long way in smoothing some of the negotiations. Maybe even solve it all.
So you think since Vlade didn't land a TV deal, that means the NBA is blocking those deals, or maybe those deals didn't happen because there is no money in it. Yeah, like the TV markets in those countries compare to China. Those guys don't have the marketing value of Ming, and even if they did, their local TV markets pale in comparison to the bonanza waiting in China. Are you kidding? Shanghai TV has 100 million viewers...that's a fact.
heypartner, This topic is on the edge of some deep water. 1) If Les could do a deal for the TV rights with Orient TV, would it be for the length of Yao's rookie contract? 2) Would the TV rights deal be transeferred to his new team if he was traded to the Warriors two years from now? 3) If the NBA cuts a deal for the TV rights rather than Les, then the revenue would be shared amongst all teams and lessen the important subtleties that a direct Rockets - Orient deal would provide. 4) Would the NBA <i>give away</i> the TV rights to Orient for gratis or some nominal fee? 5) If the NBA is involved, wouldn't they write all of the addendum details to the standard Player contract rather than the Rockets? They would only do the TV part and leave the rest to the Rockets? Mango
My point is basically that there have been major TV ops for certain players and teams before and those things haven't gone down. If the rules allowed it, the 90's Bulls could have signed deals with most of the world including China. I doubt the league would ever allow Houston to do it because it opens up other teams Spurs (France), Jazz (Russia), Lakers (everywhere).
"... And any publication, transmission or rebroadcast of this event without the expressed written consent of the NBA is strictly prohibited."
Mango, NBA franchises have to share local TV revenue, already, righ? This isn't about if Les gets an exclusive, this is about whether Les gets the freedom to negotiate by himself, so he can get this done on his schedule. He certainly does for hometown contracts. here's my answers: 1) negotiable. These contracts are often auto-renewable with the chance to renegotiate terms within defined limits. my gut instinct is Yao will stay put with Houston if we sign him...he seems like that type of player. And I don't think OTV will really view the Knicks as carrying more ratings for *their local markets* than Ming all by himself. Ratings will operate under unpredictable forces with this. Remember, the contract does not include nationally televised games. That's Stern negotiating directly with TNT and NBC. 2) irrelevant to us. OTV could demand a penalty clause for trading, I guess. 3) largely irrelevant, as long as the deal is cut. Any deal for all the Rockets games would stipulate that Yao not miss any, from both sides of the ocean, I'm sure...especially the advertisers. The only issue here is that if Les is allowed to do the deal, he can get it done faster. 4) No way for free, unless they can get a cut of all the advertising. Les would do it for free, probably, as long as they sign a standard player contract. 5) Two separate and independent contracts. I'm not suggesting any of this goes into the player contract, at all. I'm saying the two contracts are signed at the same time.
heypartner, I am under the impression that the local media revenue remains with the team rather put into a pool of funds to be distributed thoughout the league. Seems simlar to the MLB model in regards to local broadcasts. <A HREf="http://www.greaterlouisville.com/gli/news/archive/nba/feasible/nbaover.htm">A Quick Anaylsis of NBA Basketball in Louisville</A> <i>.........<b>.National Broadcast Revenues</b> The NBA negotiates national cable and broadcast rights contracts on behalf of its teams and generally represents one of the largest sources of revenues for a NBA franchise. These revenues are split equally between each team, regardless of market size. In 1997, the NBA negotiated a $2.6 billion, four-year national television rights agreement with NBC and Turner Broadcast Systems. Exhibit 2-4 provides a breakdown of the anticipated revenue per franchise during the four-year agreement. <b>Local Broadcast Revenues</b> While NBA data suggests that small-market NBA teams, particularly markets where the NBA team has no competition from other major-professional sports teams, compare favorably in terms of attendance, gate receipts, and other in-arena revenue, small-market NBA teams are at a disadvantage with respect to local media revenues. Traditionally, local media revenue has primarily encompassed: over-the-air television; cable television; and, radio. Furthermore, teams generate local media revenue by either selling the rights to broadcast their games to local affiliates (a ³rights² deal) or they retain their rights and buy air-time from the local affiliates (in-house production). Under a ³rights² deal, local affiliates are typically responsible for selling the advertising time and paying production costs. If a team elects to handle broadcasting in-house, the team is responsible for selling the advertising time, buying the air-time and paying production costs. Whether a team elects a rights-sale or in-house production, the amount of revenue will largely be determined by: market size; ratings; competition among broadcasters (especially if there is a new entrant such as a regional sports network); target audience demographics; and, other such factors. While it is difficult to assess the impact of competition, target demographics and other factors, comparisons of market size and ratings can be performed. Louisville is a borderline Top 50 U.S. media market, and would be the smallest media market in the NBA. As a result, the amount of money advertisers would be willing to pay for a 30-second commercial in Louisville would likely be one of the lowest in the NBA......... </i> Mango
From how I understand it, national broadcast rights are handled by the NBA. This includes the United States and Canada. Individual teams are left up to selecting local broadcast partners, of which the NBA signs off on the deal. In this case, I believe Chinese TV would be considered as a national entity and the NBA would be the group to negotiate broadcast rights with them. It's not in the Rockets' court, and the NBA isn't about to become partial and do one team a favor with TV rights.
GATER, The question is: is it expressly written in franchise licenses that they cannot cut deals for trasmission by local TV stations. That disclaimer is more to protect those deals than prohibit them, right? Timing, I'm sure you are right that Les can only negotiate TV contracts locally as the NBA squashed WGN's satellite feed, but I still say it is largely irrelevant. Doesn't matter if the league cuts the TV deal or Les does as a franchise that then shares the revenue, as long as the deal requires Ming to be available for an entire NBA schedule.
