Rising Popularity of WNBA Drives Reevaluation of Media Rights Deal
The WNBA’s new media rights deal, which is part of the broader $77 billion NBA agreement with media partners, includes a reevaluation of the price after the 2028 season. This reevaluation is in response to the league’s increasing popularity, according to sources familiar with the agreement. The WNBA-specific contract is worth $2.2 billion for 11 seasons, averaging $200 million per year.
When negotiating the deal, the new trio of NBA partners – Disney, NBCUniversal, and Amazon – did not assign specific values to the WNBA in their initial bids. Instead, the NBA collaborated with Endeavor Group’s media consulting team to assess the value of WNBA rights. Endeavor’s recommendation valued the rights at around $125 million per year.
However, the NBA pushed for a higher value for the women’s league, considering the surge of interest driven by star rookies Caitlin Clark and Angel Reese. In the end, the NBA convinced its media partners to allocate an average of $200 million per year for the WNBA.
As part of the agreement, Disney, NBCUniversal, and Amazon have agreed to reassess the value of the WNBA rights after the 2028 season. The $200 million-per-year cost will serve as a minimum value for the league’s rights. A third party will be involved in assessing a possible increase in rights based on factors such as TV ratings, expansion, and changes to the length of the regular season or playoffs.
While the media partners are not obligated to pay more based on the reevaluation, they will be incentivized to do so. The WNBA has already seen record-breaking viewership this season, with 16 nationally televised games surpassing 1 million viewers. This positive trend, along with high attendance numbers, prompted WNBA Commissioner Cathy Engelbert to express optimism about the league’s growth.
In addition to the media rights deal, the WNBA will have the opportunity to generate additional revenue through partnerships with other media companies, such as local broadcast station groups like Scripps and Ion. The league may also participate in an advertising revenue share if certain metrics are met. These outside media deals could potentially bring in an estimated $60 million in annual revenue.
The reassessment of the media rights deal and the potential for additional revenue streams demonstrate the WNBA’s efforts to capitalize on its growing popularity and secure a more lucrative position in the sports media landscape. With the support of its media partners and a focus on expanding its reach, the WNBA is poised for continued success in the coming years.
