Amazon, NBC secure NBA ad deals for next season as Disney holds off

Amazon, NBC secure NBA ad deals for next season as Disney holds off

  • 21.03.2025 00:00
  • sportsbusinessjournal.com
  • Keywords: Amazon, NBC, Disney, Warner Bros. Discovery

Amazon and NBC have secured NBA ad deals for next season, while Disney remains cautious despite strong revenue potential. The shift marks a significant realignment in media and advertising, with major companies vying for sports' lucrative audience.

Amazon NewsAMZNsentiment_dissatisfiedDISsentiment_satisfiedWBDsentiment_dissatisfied
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Estimated market influence

Amazon

Amazon

Negativesentiment_dissatisfied
Analyst rating: Strong buy

Amazon is trying to secure ad deals but hasn't yet matched Disney's success.

NBC

Positivesentiment_satisfied
Analyst rating: N/A

NBC has secured significant ad deals and is positioned for growth.

Disney

Disney

Positivesentiment_satisfied
Analyst rating: Buy

Disney has successfully sold out ad time and maintains strong revenue from NBA Finals.

Warner Bros. Discovery

Warner Bros. Discovery

Negativesentiment_dissatisfied
Analyst rating: Buy

Loses NBA rights, leading to potential revenue loss.

Context

Analysis of Amazon, NBC, and Disney's NBA Ad Deal Landscape

Key Ad Revenues

  • Amazon: Projected to secure $750M in ad revenue from the NBA partnership.
  • NBC: Expected to generate over $1B in ad revenue.
  • Disney: Currently capturing $1.25B annually in ad revenue, primarily from NBA Finals ties.

Market Shifts

  • The NBA is transitioning from Warner Bros. Discovery to NBC, Peacock, and Amazon Prime Video.
  • This shift is described as the "biggest transfer of audience and advertising dollars" since CBS lost the NFL contract to Fox in 1993.

Competitive Dynamics

  • Disney: Retaining its NBA partnership despite shedding less profitable games. Focus on high-value events like the NBA Finals.
  • Amazon & NBC: Leveraging existing sports properties (e.g., Amazon's Ring and NBC's other sports holdings) to attract ad dollars.

Strategic Considerations

  • Media companies are increasingly relying on sports to drive ad revenue growth.
  • The scramble for NBA ad dollars highlights the competitive intensity in the streaming wars.

Long-Term Implications

  • Disney's strategic focus on high-value events may solidify its position as a key player in sports media.
  • Amazon's investment in original content and sports partnerships could accelerate its growth in the streaming market.
  • The shift underscores the evolving role of traditional broadcasters (NBC) and new entrants (Amazon) in the sports media landscape.

Regulatory Impact

  • No direct mention of regulatory changes, but the competitive dynamics may influence future antitrust scrutiny or market consolidation.