1 00:00:00,560 --> 00:00:04,480 Speaker 1: This is the Business of Sports on Bloomberg Radio. Scott 2 00:00:05,160 --> 00:00:09,760 Speaker 1: and Michael Barr, Welcome to the show. We're so glad 3 00:00:09,800 --> 00:00:11,760 Speaker 1: you joined us. Each week we speak to the most 4 00:00:11,840 --> 00:00:14,600 Speaker 1: powerful people in the world of sports. This week, he 5 00:00:14,760 --> 00:00:18,120 Speaker 1: made his fortune as a venture capitalist for Kleiner Perkins. 6 00:00:18,320 --> 00:00:21,840 Speaker 1: He also owns one of the most successful sports franchises 7 00:00:21,960 --> 00:00:24,480 Speaker 1: in the world. He is Golden State Warriors owner Joe 8 00:00:24,560 --> 00:00:26,239 Speaker 1: Lake Up. Joe, welcome to the show. Thank you for 9 00:00:26,280 --> 00:00:29,080 Speaker 1: having me here. We do appreciate it, and I'm interested 10 00:00:29,120 --> 00:00:31,920 Speaker 1: in something you said about the world of venture capital 11 00:00:32,000 --> 00:00:37,360 Speaker 1: VC before we get to n b A. It's seven three. 12 00:00:37,600 --> 00:00:40,519 Speaker 1: Does that apply to professional sports as well? Maybe more 13 00:00:40,560 --> 00:00:43,640 Speaker 1: so than technology really? How so, when you get the 14 00:00:43,680 --> 00:00:46,120 Speaker 1: people to commit like this, you know, it is just 15 00:00:46,240 --> 00:00:48,600 Speaker 1: a it's a job that if you want to do 16 00:00:48,640 --> 00:00:51,240 Speaker 1: it right, which of course I like to do everything 17 00:00:51,320 --> 00:00:55,400 Speaker 1: right and be fully engaged, it just takes everything. Uh, 18 00:00:55,400 --> 00:00:59,320 Speaker 1: it's it's you know, the media, unlike most businesses, is 19 00:00:59,320 --> 00:01:02,640 Speaker 1: oliver sports on a minute by minute basis. And I've 20 00:01:02,640 --> 00:01:05,480 Speaker 1: actually had occasions where I was driving to the airport 21 00:01:05,480 --> 00:01:06,920 Speaker 1: and I heard that I was driving to the airport, 22 00:01:08,040 --> 00:01:14,200 Speaker 1: so uh just passed nine. Yeah, exactly. So I it 23 00:01:14,319 --> 00:01:16,039 Speaker 1: is something that you have to be engaged in all 24 00:01:16,080 --> 00:01:18,440 Speaker 1: the time. We are very very committed to what we're doing. 25 00:01:18,640 --> 00:01:22,040 Speaker 1: Our that's our our culture, and our organization is has 26 00:01:22,040 --> 00:01:24,760 Speaker 1: sort of become everything like that. And so it is 27 00:01:25,319 --> 00:01:27,480 Speaker 1: seven three sixty five, it's all the time. Is it 28 00:01:27,520 --> 00:01:29,520 Speaker 1: true that culture comes from the top, that you have 29 00:01:29,600 --> 00:01:31,759 Speaker 1: got to establish that culture. You can't count on anyone 30 00:01:31,760 --> 00:01:33,600 Speaker 1: else to do it. Well, I don't know that you can't, 31 00:01:33,880 --> 00:01:37,560 Speaker 1: but in our case, certainly, I believe that it has 32 00:01:37,560 --> 00:01:40,240 Speaker 1: a very big impact. And from the first day I 33 00:01:40,240 --> 00:01:41,760 Speaker 1: got there, and I remember I had been in venture 34 00:01:41,800 --> 00:01:44,479 Speaker 1: capital for you know, twenty five years and been involved 35 00:01:44,520 --> 00:01:46,960 Speaker 1: in the startup of a lot of companies, and so 36 00:01:47,040 --> 00:01:49,840 Speaker 1: I had seen a lot of this. And I do 37 00:01:49,920 --> 00:01:52,960 Speaker 1: believe that the leader of an organization really has to 38 00:01:53,040 --> 00:01:55,680 Speaker 1: establish a culture by the way he or she acts 39 00:01:55,720 --> 00:02:01,040 Speaker 1: and what they do every single day today compared to 40 00:02:01,080 --> 00:02:03,040 Speaker 1: what it used to be very different and is something 41 00:02:03,080 --> 00:02:05,680 Speaker 1: you said that was totally impressive. You grew up by 42 00:02:05,680 --> 00:02:08,720 Speaker 1: the way in New Bedford, Massachusetts, if I'm correct, and 43 00:02:08,760 --> 00:02:11,920 Speaker 1: you said that you were a very poor kid. You 44 00:02:12,040 --> 00:02:16,200 Speaker 1: had nothing and paid every time of my education through 45 00:02:16,280 --> 00:02:19,960 Speaker 1: college that's a lesson that a lot of people can learn. Well, 46 00:02:20,120 --> 00:02:23,320 Speaker 1: not the only one that has been in that situation, certainly, 47 00:02:24,040 --> 00:02:28,400 Speaker 1: but uh yeah, I do think it helps you to 48 00:02:29,080 --> 00:02:33,280 Speaker 1: be successful when you have no alternative, when you feel 49 00:02:33,280 --> 00:02:35,639 Speaker 1: as though you're you gotta do it, you gotta get 50 00:02:35,639 --> 00:02:40,560 Speaker 1: it done. And I've been very uh involved in my 51 00:02:40,639 --> 00:02:44,240 Speaker 1: own self creation and self success all the way, every 52 00:02:44,240 --> 00:02:46,079 Speaker 1: step of the way. I think other people have as well. 53 00:02:46,880 --> 00:02:48,919 Speaker 1: The hardest part, of course, is when you know, like me, 54 00:02:49,080 --> 00:02:50,799 Speaker 1: you have kids and you want to give them the 55 00:02:50,840 --> 00:02:55,359 Speaker 1: same kind of engagement, the same kind of desire to succeed. 56 00:02:56,000 --> 00:02:58,840 Speaker 1: When they don't come from that situation, it's hard to 57 00:02:59,720 --> 00:03:03,080 Speaker 1: tell them to do that. So it has been had 58 00:03:03,080 --> 00:03:05,880 Speaker 1: an big impact on my life. Gavin Malouf was a 59 00:03:05,919 --> 00:03:08,160 Speaker 1: guest on the show a couple of weeks ago. Joe 60 00:03:08,520 --> 00:03:10,440 Speaker 1: and I remember him telling me a story where his 61 00:03:10,480 --> 00:03:13,680 Speaker 1: father had the beer distributorship in New Mexico and he 62 00:03:13,760 --> 00:03:15,600 Speaker 1: said to his kids one day, well, we moved five 63 00:03:15,639 --> 00:03:18,919 Speaker 1: thousand cases this this week. And the kids didn't know 64 00:03:18,960 --> 00:03:21,160 Speaker 1: if that was a lot or a little. There was 65 00:03:21,200 --> 00:03:23,080 Speaker 1: nothing to measure because they've never done the job. He 66 00:03:23,120 --> 00:03:26,240 Speaker 1: made them start out sweeping the factory floor, then drive 67 00:03:26,280 --> 00:03:28,760 Speaker 1: the trucks, then unload the trucks. Is that sort of 68 00:03:28,840 --> 00:03:30,639 Speaker 1: thing you're talking about that you need to know every 69 00:03:30,639 --> 00:03:33,480 Speaker 1: facet of the business. I think you do. Um. You know. 70 00:03:33,600 --> 00:03:36,000 Speaker 1: In the case with my kids, uh, you know, it's 71 00:03:36,000 --> 00:03:38,440 Speaker 1: it's interesting come from obviously different background, a little more 72 00:03:38,440 --> 00:03:41,400 Speaker 1: success and their family were. When I was growing up, 73 00:03:41,440 --> 00:03:45,040 Speaker 1: we didn't really have much UM But I don't think 74 00:03:45,040 --> 00:03:48,119 Speaker 1: you can quite duplicate it, But I I do think 75 00:03:48,120 --> 00:03:50,160 Speaker 1: it's important for them to experience that and have all 76 00:03:50,240 --> 00:03:52,800 Speaker 1: kinds of jobs. Unfortunately, my kids seem to be very 77 00:03:53,000 --> 00:03:57,640 Speaker 1: uh motivated and uh very engaged and want to do 78 00:03:57,720 --> 00:03:59,640 Speaker 1: really want to have a lot of great desire to 79 00:03:59,640 --> 00:04:02,040 Speaker 1: do well. So I do think you have to to 80 00:04:02,040 --> 00:04:03,880 Speaker 1: to see every part of the business. You can't just 81 00:04:03,960 --> 00:04:06,440 Speaker 1: sort of walk into the top and expect someone to 82 00:04:06,640 --> 00:04:09,320 Speaker 1: run it as though they have been doing it all 83 00:04:09,320 --> 00:04:11,120 Speaker 1: their lives are prepared for it. Some of you mentioned 84 00:04:11,120 --> 00:04:14,760 Speaker 1: about your kids, and it's very true. Today kids have 85 00:04:14,880 --> 00:04:17,800 Speaker 1: so many things. You have video games, and you have 86 00:04:18,279 --> 00:04:21,280 Speaker 1: cell phones and all of this, and you've got flat 87 00:04:21,279 --> 00:04:24,640 Speaker 1: screen TVs. Well, back in the day, if you wanted 88 00:04:24,680 --> 00:04:28,159 Speaker 1: to have the channel changed, it was basically, Michael, go 89 00:04:28,200 --> 00:04:29,719 Speaker 1: over there and change the channel. You didn't have a 90 00:04:29,760 --> 00:04:33,280 Speaker 1: remote control, And I just wanted today the lesson that 91 00:04:33,320 --> 00:04:36,120 Speaker 1: you just mentioned about trying to teach your kids about 92 00:04:36,440 --> 00:04:38,520 Speaker 1: the value of a dollar. It's not an easy thing 93 00:04:38,560 --> 00:04:40,640 Speaker 1: to do. I think for a lot of people, you 94 00:04:40,680 --> 00:04:42,560 Speaker 1: have to start it right from the beginning. I think, 95 00:04:42,600 --> 00:04:46,000 Speaker 1: and um so so we're certainly I've tried to do that, 96 00:04:46,040 --> 00:04:49,280 Speaker 1: but I do think it's uh when you do it yourself, 97 00:04:49,320 --> 00:04:52,000 Speaker 1: you have gone through it, obviously, it's a lot of 98 00:04:52,040 --> 00:04:54,080 Speaker 1: Anyone who's done it will tell you that you know 99 00:04:54,080 --> 00:04:55,680 Speaker 1: every step of the way you had learned. Look, I was, 100 00:04:56,480 --> 00:04:58,040 Speaker 1: I hear. I am running a sports team, and I 101 00:04:58,520 --> 00:05:00,479 Speaker 1: love every minute of it. It's really one and all that. 102 00:05:00,520 --> 00:05:02,920 Speaker 1: It's a lot of work. But the truth is, you know, 103 00:05:03,480 --> 00:05:07,000 Speaker 1: I also sold peanuts at baseball games for seven years 104 00:05:07,680 --> 00:05:09,120 Speaker 1: when I was growing up, from the age of fourteen. 105 00:05:09,120 --> 00:05:10,680 Speaker 1: To give me, come on, Joe, give me your best yell. 106 00:05:10,880 --> 00:05:12,400 Speaker 1: If you can take me back, give me your best 107 00:05:12,440 --> 00:05:15,720 Speaker 1: yell for somebody down the give me give me your 108 00:05:15,720 --> 00:05:19,840 Speaker 1: best yell. Oh you're putting me on the spot here. Peanuts, peanus, peanuts. 109 00:05:20,480 --> 00:05:25,160 Speaker 1: I would buy well, it cost you a few peanuts 110 00:05:25,200 --> 00:05:27,599 Speaker 1: to buy this franchise. We're chatting with Joe lake Up, 111 00:05:27,640 --> 00:05:29,719 Speaker 1: the owner of the Golden State Warriors, and Joe, you 112 00:05:29,760 --> 00:05:32,279 Speaker 1: spent four hundred and fifty million dollars. It sounds like 113 00:05:32,279 --> 00:05:34,760 Speaker 1: a lot, but that was way back in the old 114 00:05:34,839 --> 00:05:39,240 Speaker 1: days we're talking. Could you have imagined that the franchise 115 00:05:39,480 --> 00:05:43,680 Speaker 1: valuations with skyrocket the way they have. Well, I did 116 00:05:43,839 --> 00:05:47,240 Speaker 1: have a sense that, uh, sports teams, if you had 117 00:05:47,279 --> 00:05:49,359 Speaker 1: looked I've been trying to buy one for ten years, 118 00:05:49,520 --> 00:05:51,800 Speaker 1: and if you had looked over the history of the 119 00:05:51,839 --> 00:05:55,359 Speaker 1: prior you know it's called twenty years years. You know, 120 00:05:55,400 --> 00:05:58,000 Speaker 1: obviously they had been um on the uptick in terms 121 00:05:58,040 --> 00:06:01,520 Speaker 1: of evaluation, pretty good, compounded your rates for a long time. Um. 122 00:06:01,560 --> 00:06:03,960 Speaker 1: And that what's happened is that was based on the media, right, 123 00:06:04,240 --> 00:06:06,799 Speaker 1: everyone getting these big local TV deals and national TV deals. 124 00:06:06,839 --> 00:06:09,640 Speaker 1: And you know, no, no, no question, you don't know 125 00:06:09,640 --> 00:06:11,400 Speaker 1: how long that's going to continue when you're looking at 126 00:06:11,400 --> 00:06:14,919 Speaker 1: sports teams. But we still feel that it was still 127 00:06:14,960 --> 00:06:16,800 Speaker 1: a trend. There only so many of these things. They're 128 00:06:16,880 --> 00:06:19,680 Speaker 1: they're great assets, and from a at least from an 129 00:06:19,680 --> 00:06:23,320 Speaker 1: investment standpoint, it's not why I did it. Necessarily, but uh, 130 00:06:23,480 --> 00:06:25,239 Speaker 1: from an investment standpoint, I felt it was a pretty 131 00:06:25,240 --> 00:06:27,000 Speaker 1: good area to invest. Otherwise I would not have brought 132 00:06:27,040 --> 00:06:29,240 Speaker 1: some of my friends in to be limited partners. We'll 133 00:06:29,240 --> 00:06:31,920 Speaker 1: have more with Golden State Warriors owner Joe Lake up 134 00:06:32,000 --> 00:06:34,599 Speaker 1: coming up next. Joe talked about what it takes to 135 00:06:34,600 --> 00:06:38,479 Speaker 1: be successful, not just in sports, but business and in life. 136 00:06:38,640 --> 00:06:41,560 Speaker 1: If you're engaged in the business, you better you had 137 00:06:41,640 --> 00:06:43,839 Speaker 1: better be thinking that you are going to try to 138 00:06:43,880 --> 00:06:45,880 Speaker 1: be ahead of the competition, that you are going to 139 00:06:45,920 --> 00:06:48,360 Speaker 1: try or hire the very best people, that you're going 140 00:06:48,400 --> 00:06:50,080 Speaker 1: to try to work harder than everybody else, as you 141 00:06:50,120 --> 00:06:53,360 Speaker 1: said three seven, that you're gonna do all those things. 142 00:06:53,400 --> 00:06:55,680 Speaker 1: That's the only way you get to be successful and 143 00:06:55,720 --> 00:06:58,200 Speaker 1: that you get to be the best. You are listening 144 00:06:58,240 --> 00:07:01,520 Speaker 1: to Bloomberg Business of Sports on Bomberg Radio around the world. 145 00:07:06,760 --> 00:07:10,720 Speaker 1: This is the Business of Sports on Bloomberg Radio. Scott 146 00:07:10,760 --> 00:07:16,480 Speaker 1: Sag and Michael Barr. Let's continue our conversation with Golden 147 00:07:16,520 --> 00:07:20,400 Speaker 1: State Warriors owner Joe Lincoln. Joe, earlier in the program, 148 00:07:20,680 --> 00:07:24,160 Speaker 1: you talked about the media deals and the uncertain future. 149 00:07:24,200 --> 00:07:26,240 Speaker 1: It's always gone up, up, up, and it is the 150 00:07:26,320 --> 00:07:29,600 Speaker 1: largest revenue source for pro sports. Can you walk me 151 00:07:29,640 --> 00:07:35,200 Speaker 1: through the landscape of ESPN layoffs while the Amazons the 152 00:07:35,280 --> 00:07:39,400 Speaker 1: Google's of the world are getting involved in live sports. 153 00:07:39,440 --> 00:07:43,040 Speaker 1: Walk me through what you're thinking and what you see 154 00:07:43,440 --> 00:07:46,960 Speaker 1: as the landscape of media and pro sports. Clearly you 155 00:07:47,120 --> 00:07:49,400 Speaker 1: kind of summarized it all right there very well, actually, 156 00:07:49,840 --> 00:07:52,520 Speaker 1: which is that there are new entities that are getting 157 00:07:52,520 --> 00:07:55,680 Speaker 1: into this the media business, uh, in a pretty striking way. 158 00:07:55,720 --> 00:07:58,880 Speaker 1: And these are very big companies with tremendous reach. It's 159 00:07:58,880 --> 00:08:02,200 Speaker 1: been talked about for a number over the years. The Amazons, uh, 160 00:08:02,240 --> 00:08:07,400 Speaker 1: you know, Google's Netflix. Uh. These guys are expanding into 161 00:08:07,400 --> 00:08:11,720 Speaker 1: this business in not so insignificant ways now and it 162 00:08:11,800 --> 00:08:14,800 Speaker 1: looks as though the sports landscape is changing quite a 163 00:08:14,800 --> 00:08:18,200 Speaker 1: bit now. You also, while that's going on, you've got 164 00:08:18,240 --> 00:08:21,679 Speaker 1: all these chord cutters and chord never's, people who really 165 00:08:21,680 --> 00:08:25,720 Speaker 1: don't watch TV off their TV on the cable. Uh. 166 00:08:25,800 --> 00:08:28,000 Speaker 1: And so you look at the two things going on 167 00:08:28,080 --> 00:08:31,440 Speaker 1: and you have to make the conclusion, um, and it 168 00:08:31,440 --> 00:08:33,680 Speaker 1: seems to be playing out to some extent, at least 169 00:08:33,800 --> 00:08:37,559 Speaker 1: so far, that these old way of doing business that 170 00:08:37,640 --> 00:08:39,280 Speaker 1: cable companies might be in a little bit of trouble. 171 00:08:39,960 --> 00:08:43,000 Speaker 1: And the world's changing. It always changes, it never stays 172 00:08:43,040 --> 00:08:45,600 Speaker 1: the same. And I'm not the expert in this area 173 00:08:45,640 --> 00:08:49,800 Speaker 1: by any means, but it certainly looks that way and 174 00:08:50,080 --> 00:08:53,280 Speaker 1: UH ESPN. You look at the layoffs, it looks to 175 00:08:53,280 --> 00:08:55,440 Speaker 1: be related to all the things I'm talking about, and 176 00:08:55,480 --> 00:08:57,960 Speaker 1: I think it it could be the formation of a 177 00:08:58,160 --> 00:09:01,080 Speaker 1: new series of events, new trend and I think we 178 00:09:01,120 --> 00:09:04,480 Speaker 1: as sports team owners need to be aware of that, 179 00:09:04,600 --> 00:09:06,839 Speaker 1: and we are, and we need to be thinking about 180 00:09:06,880 --> 00:09:09,840 Speaker 1: how our businesses are going to sustain and grow on 181 00:09:09,880 --> 00:09:12,720 Speaker 1: a going forward basis. UM. You can't just rely on 182 00:09:12,880 --> 00:09:17,240 Speaker 1: growth in these media UH values and media numbers to 183 00:09:17,320 --> 00:09:20,040 Speaker 1: necessarily propel your franchise. And that's one of the reasons 184 00:09:20,559 --> 00:09:24,200 Speaker 1: why we struck out on this path of building our 185 00:09:24,200 --> 00:09:27,320 Speaker 1: own arena UH and everything that goes around it, being 186 00:09:27,400 --> 00:09:31,719 Speaker 1: vertically integrated, if you will, although a tremendous expense, UH 187 00:09:31,760 --> 00:09:36,160 Speaker 1: and being a sports and entertainment company. Think of ourselves 188 00:09:36,160 --> 00:09:38,080 Speaker 1: more as that, more than just a basketball team. Even 189 00:09:38,080 --> 00:09:39,760 Speaker 1: though I love the basketball and that's what we're here for, 190 00:09:40,320 --> 00:09:43,079 Speaker 1: it's probably not what we will be known for ten 191 00:09:43,120 --> 00:09:46,000 Speaker 1: years from now. We'll probably be that and a lot 192 00:09:46,040 --> 00:09:48,679 Speaker 1: of other things. And that's why we're investing over a 193 00:09:48,720 --> 00:09:50,920 Speaker 1: billion dollars in a new a new center in San 194 00:09:50,960 --> 00:09:53,640 Speaker 1: Francisco with all kinds of things, uh there in terms 195 00:09:53,679 --> 00:09:56,640 Speaker 1: of retail and other businesses. Well, that's the thing is 196 00:09:56,720 --> 00:09:59,960 Speaker 1: like you bought the team four million dollars. The team 197 00:10:00,120 --> 00:10:02,640 Speaker 1: is estimated to be worth two billion dollars, and I 198 00:10:02,679 --> 00:10:05,360 Speaker 1: wonder how far it will go when this new arena 199 00:10:05,520 --> 00:10:08,480 Speaker 1: is built and completed. I don't know, I can be 200 00:10:08,559 --> 00:10:11,760 Speaker 1: honest with you. I don't really look at valuation. I 201 00:10:11,800 --> 00:10:14,280 Speaker 1: know that sounds funny, but it's not relevant to me 202 00:10:14,480 --> 00:10:18,319 Speaker 1: other than it means that we're doing something right maybe, 203 00:10:18,880 --> 00:10:22,720 Speaker 1: and other than it gets people excited and allows us maybe, 204 00:10:22,960 --> 00:10:25,920 Speaker 1: uh if we can figure out how to monetize that currency. 205 00:10:26,720 --> 00:10:29,640 Speaker 1: Speaking like a business guy here now, um to do 206 00:10:29,760 --> 00:10:31,920 Speaker 1: some other things. But other than that, you know, my 207 00:10:31,960 --> 00:10:35,480 Speaker 1: intention is to never sell. Our partners are very stable, 208 00:10:35,480 --> 00:10:37,560 Speaker 1: long term group that just love what we're doing and 209 00:10:37,800 --> 00:10:40,800 Speaker 1: we're trying to build something pretty interesting and creative. Let's 210 00:10:40,800 --> 00:10:43,280 Speaker 1: talk about that partnership group, because if you're going to 211 00:10:43,320 --> 00:10:45,400 Speaker 1: get a group of people together, you better be able 212 00:10:45,400 --> 00:10:50,200 Speaker 1: to work together. But money being equal, what does somebody 213 00:10:50,240 --> 00:10:52,880 Speaker 1: have to bring to the table these days, if they 214 00:10:52,920 --> 00:10:56,000 Speaker 1: want to impress Joe Lacob, if they want into the club, 215 00:10:56,720 --> 00:10:58,560 Speaker 1: it's not just enough to write a check, right Peter 216 00:10:58,640 --> 00:11:01,440 Speaker 1: Goober brings an entertain and expertise, you have to bring 217 00:11:01,559 --> 00:11:04,000 Speaker 1: something else. That's what I'm hearing from lots of owners, 218 00:11:04,120 --> 00:11:07,000 Speaker 1: lots of principal owners. They want expertise and something that 219 00:11:07,040 --> 00:11:10,040 Speaker 1: perhaps they don't have. Well. The first person I called 220 00:11:10,040 --> 00:11:11,679 Speaker 1: when we bought the Worriors, We're going to try to 221 00:11:11,720 --> 00:11:13,600 Speaker 1: bid on the words with Peter, who had known for 222 00:11:13,640 --> 00:11:15,679 Speaker 1: several years, and I really liked and I thought it 223 00:11:15,760 --> 00:11:20,040 Speaker 1: was very to your point, very complimentary to me. He 224 00:11:20,440 --> 00:11:22,480 Speaker 1: was something different than me in a big way. He 225 00:11:22,520 --> 00:11:24,600 Speaker 1: was from the entertainment industry, which I saw this going 226 00:11:24,640 --> 00:11:28,520 Speaker 1: that way, um he and uh. And I was really, 227 00:11:28,640 --> 00:11:32,520 Speaker 1: you know, sort of a finance, business guy, sports guy, 228 00:11:32,559 --> 00:11:34,840 Speaker 1: but not really in any of those other things. And 229 00:11:34,920 --> 00:11:39,200 Speaker 1: so from the get go, we went and looked for 230 00:11:39,280 --> 00:11:42,120 Speaker 1: some limited partners who were number one friends, because we 231 00:11:42,200 --> 00:11:44,960 Speaker 1: like people that we know, and secondly I want to 232 00:11:44,960 --> 00:11:47,840 Speaker 1: share this experience with and secondly that could bring something 233 00:11:47,880 --> 00:11:50,400 Speaker 1: interesting to the party, whether it be a real estate expertise, 234 00:11:50,720 --> 00:11:54,280 Speaker 1: whether it be you know, uh, debt in markets we 235 00:11:54,360 --> 00:11:56,440 Speaker 1: might know. Wen, we need debt someday to build the arena, 236 00:11:56,559 --> 00:11:58,680 Speaker 1: So what were the debt markets going to do? Um? 237 00:11:58,720 --> 00:12:01,040 Speaker 1: And we have a bunch of people that are frankly 238 00:12:01,040 --> 00:12:04,440 Speaker 1: world class in our limited partner group that are experts 239 00:12:04,480 --> 00:12:06,960 Speaker 1: in those areas along with being basketball fans and being 240 00:12:07,320 --> 00:12:09,920 Speaker 1: really interested in what we're doing. We're talking with Golden 241 00:12:09,960 --> 00:12:13,280 Speaker 1: State Warriors owner at Joe Laco and it's something you mentioned, 242 00:12:13,679 --> 00:12:18,320 Speaker 1: uh some times ago, several times months ago, you said 243 00:12:18,360 --> 00:12:23,120 Speaker 1: your team is structured light years in planning. Can you 244 00:12:23,360 --> 00:12:26,920 Speaker 1: talk about that? Oh, here we go the light years 245 00:12:27,080 --> 00:12:32,959 Speaker 1: thing before you wait a minute before you answer the 246 00:12:33,040 --> 00:12:35,400 Speaker 1: question that I didn't know Michael was going to as 247 00:12:35,440 --> 00:12:38,760 Speaker 1: a compliment. I really did. Would you tell me if 248 00:12:38,840 --> 00:12:40,840 Speaker 1: people who don't know in a New York Times magazine 249 00:12:40,920 --> 00:12:43,120 Speaker 1: article you said you were light years of light years 250 00:12:43,120 --> 00:12:45,839 Speaker 1: ahead and perhaps some other owners weren't so happy. Did 251 00:12:45,880 --> 00:12:50,200 Speaker 1: you catch grief for that? Oh? Yeah, um, you know, 252 00:12:50,240 --> 00:12:53,199 Speaker 1: I really didn't say it. Just to be very clear, 253 00:12:53,240 --> 00:12:55,319 Speaker 1: I did not say it too. In response to a 254 00:12:55,440 --> 00:12:58,400 Speaker 1: question to the guy was writing the article. He was 255 00:12:58,400 --> 00:13:02,040 Speaker 1: following me around to actually my morning basketball game with 256 00:13:02,120 --> 00:13:03,959 Speaker 1: a bunch of my buddies. Right, I played twice a 257 00:13:04,000 --> 00:13:06,720 Speaker 1: week at six thirty in the morning, and um, he 258 00:13:06,760 --> 00:13:09,040 Speaker 1: wanted to go attend. I said, Okay, it's kind of weird, 259 00:13:09,040 --> 00:13:10,840 Speaker 1: but we'll do that. And you know, he was there 260 00:13:10,840 --> 00:13:13,000 Speaker 1: and we're all having breakfast after and we're chatting back 261 00:13:13,000 --> 00:13:14,920 Speaker 1: and forth, and it was sort of a conversational thing, 262 00:13:15,440 --> 00:13:17,600 Speaker 1: and I said, I think we're light years ahead, you know, 263 00:13:17,640 --> 00:13:19,360 Speaker 1: in this way and this way. I was talking about 264 00:13:19,400 --> 00:13:22,840 Speaker 1: the business, Um, because we come from a different perspective, 265 00:13:23,559 --> 00:13:26,360 Speaker 1: and perhaps that all these other many of the sports teams, 266 00:13:26,600 --> 00:13:29,520 Speaker 1: some are really well run, some maybe or run by 267 00:13:29,600 --> 00:13:31,800 Speaker 1: people that have had him for thirty years, and just 268 00:13:31,840 --> 00:13:33,520 Speaker 1: like you know, you'r if we owned some for thirty years, 269 00:13:33,559 --> 00:13:35,400 Speaker 1: we might be doing it the same way. Right, It's 270 00:13:35,440 --> 00:13:37,560 Speaker 1: just nature. And I was trying to say that we 271 00:13:37,600 --> 00:13:40,480 Speaker 1: do things a different way, many different ways, but it 272 00:13:40,880 --> 00:13:43,120 Speaker 1: obviously got quoted and got made big into print, and 273 00:13:43,160 --> 00:13:44,840 Speaker 1: it sounded as that I was talking about we're light 274 00:13:44,880 --> 00:13:47,360 Speaker 1: years ahead on the basketball court, and we're light years 275 00:13:47,360 --> 00:13:50,120 Speaker 1: ahead and business, and we're Look, do I think we're better? Yeah? 276 00:13:50,240 --> 00:13:52,239 Speaker 1: I do. I think I'm really proud of our organization 277 00:13:52,679 --> 00:13:54,800 Speaker 1: and I think we're really well run. The numbers bear 278 00:13:54,840 --> 00:13:57,320 Speaker 1: it out, the championship in five years bears it out, 279 00:13:57,640 --> 00:14:00,400 Speaker 1: and that, But I'm not it's I was really trying 280 00:14:00,400 --> 00:14:02,440 Speaker 1: to put everybody down. I didn't mean it that way. Well, 281 00:14:02,440 --> 00:14:05,360 Speaker 1: of course it got taken with a good reason, probably 282 00:14:05,360 --> 00:14:08,439 Speaker 1: when the New York Times writes something like that. You 283 00:14:08,520 --> 00:14:10,600 Speaker 1: got taken a different way, and some people didn't like it, 284 00:14:10,840 --> 00:14:13,600 Speaker 1: And I can understand that. We'll have more With Golden 285 00:14:13,640 --> 00:14:16,360 Speaker 1: State Warriors owner Joe Lake up coming up next, Joe 286 00:14:16,480 --> 00:14:19,840 Speaker 1: talks about an owner being involved in the everyday operations 287 00:14:19,880 --> 00:14:22,600 Speaker 1: of the team. I don't believe at all, not even 288 00:14:22,680 --> 00:14:25,920 Speaker 1: one bit, this idea that owners should not be involved, 289 00:14:26,240 --> 00:14:28,120 Speaker 1: that they should stay after the sidelines, and that they 290 00:14:28,120 --> 00:14:30,200 Speaker 1: should let people do their job. Yes, I let people 291 00:14:30,200 --> 00:14:33,440 Speaker 1: do their job. I don't meddle. That's different. Um. But 292 00:14:33,640 --> 00:14:35,560 Speaker 1: you this idea that an owner should not know what's 293 00:14:35,560 --> 00:14:37,320 Speaker 1: going on as business, that should not be involved in 294 00:14:37,320 --> 00:14:39,800 Speaker 1: every day listen. Listening and understanding what's going on in 295 00:14:39,800 --> 00:14:41,760 Speaker 1: the business on a daily basis, I think is wrong. 296 00:14:42,040 --> 00:14:45,120 Speaker 1: You're listening to Bloomberg Business of Sports on Bloomberg Radio 297 00:14:45,200 --> 00:14:51,800 Speaker 1: around the world. How long does it take to get 298 00:14:51,840 --> 00:14:53,880 Speaker 1: to the forest that's not far. What are we going 299 00:14:53,920 --> 00:14:58,280 Speaker 1: to do right? Sure? Who is there yet? Yep, gets 300 00:14:58,280 --> 00:15:01,680 Speaker 1: a short drive from your neighbor to your naturehood. Doesn't 301 00:15:01,680 --> 00:15:03,600 Speaker 1: discover the forest dot Org. Brought to you by the 302 00:15:03,600 --> 00:15:06,880 Speaker 1: AD Council in the U Sports Service. This is the 303 00:15:06,920 --> 00:15:10,760 Speaker 1: Business of Sports on Bloomberg Radio with Scott Saik and 304 00:15:10,840 --> 00:15:15,000 Speaker 1: Michael Barr. Thanks for joining us. We are here each 305 00:15:15,120 --> 00:15:17,480 Speaker 1: and every week for you to speak to the most 306 00:15:17,520 --> 00:15:20,800 Speaker 1: powerful people in the world of sports. On this week's show, 307 00:15:20,880 --> 00:15:22,640 Speaker 1: we've been speaking to Joe lake Up. He's a partner 308 00:15:22,640 --> 00:15:24,840 Speaker 1: of Clan of Perkins and owner of one of the 309 00:15:24,840 --> 00:15:28,280 Speaker 1: most successful sports franchises in the world, the Golden State Warriors. 310 00:15:28,320 --> 00:15:32,200 Speaker 1: And Joe, we're talking about private equity VC owners. Those 311 00:15:32,240 --> 00:15:34,680 Speaker 1: are the new crop of owners. I hear that across 312 00:15:35,320 --> 00:15:38,680 Speaker 1: the platform of sports. These are private equity guys VC guys. 313 00:15:38,720 --> 00:15:42,760 Speaker 1: They do it differently. Is that just convenient to say 314 00:15:42,920 --> 00:15:46,640 Speaker 1: or is there really a difference between a VC private 315 00:15:46,640 --> 00:15:49,960 Speaker 1: equity guy or a real estate guy or the guy 316 00:15:49,960 --> 00:15:54,080 Speaker 1: who inherited the team from his father. Well, I would 317 00:15:54,200 --> 00:15:56,360 Speaker 1: probably ask that question a little differently than you did, 318 00:15:56,400 --> 00:15:59,440 Speaker 1: but go for new we ask, I'll answer, Yeah, I 319 00:15:59,440 --> 00:16:03,440 Speaker 1: mean First of all, I think the UH, there are 320 00:16:03,480 --> 00:16:06,200 Speaker 1: differences between these people, and there are different backgrounds in 321 00:16:06,240 --> 00:16:10,000 Speaker 1: terms of how they perhaps run an organization. UM, but 322 00:16:10,840 --> 00:16:13,880 Speaker 1: I would say private equity and venture capital. I would 323 00:16:13,880 --> 00:16:16,160 Speaker 1: not even put them in the same get them a 324 00:16:16,200 --> 00:16:18,480 Speaker 1: venture capital guy, right, but I would not put them 325 00:16:18,520 --> 00:16:21,160 Speaker 1: in the same bucket. They're very different venture at least 326 00:16:21,160 --> 00:16:23,200 Speaker 1: the way I practice venture for twenty five years and 327 00:16:23,200 --> 00:16:26,400 Speaker 1: I learned to do it was all about, you know, 328 00:16:26,400 --> 00:16:30,360 Speaker 1: building companies. It's not about investing. It's about building companies, 329 00:16:30,360 --> 00:16:33,800 Speaker 1: building organizations. That's what I learned how to do, hopefully 330 00:16:33,920 --> 00:16:37,640 Speaker 1: somewhat well over those many years. That's not necessarily what 331 00:16:37,680 --> 00:16:41,840 Speaker 1: a private equity person does. Private equity is investing really 332 00:16:41,880 --> 00:16:45,920 Speaker 1: at later stages. It's more of an investment thing, shorter 333 00:16:46,080 --> 00:16:49,000 Speaker 1: timeline and maybe perhaps look to get out after five 334 00:16:49,080 --> 00:16:52,720 Speaker 1: seven years. But more than that, it's a way of running. 335 00:16:52,720 --> 00:16:55,200 Speaker 1: You learn about way of running a business. I don't 336 00:16:55,240 --> 00:16:58,120 Speaker 1: think about, you know, the investment all the time. I'm 337 00:16:58,160 --> 00:17:00,360 Speaker 1: thinking about building the business, and the investment sort of 338 00:17:00,480 --> 00:17:02,480 Speaker 1: just happens as a good investment or not. And I 339 00:17:02,520 --> 00:17:06,399 Speaker 1: think that's the difference perhaps between let's say, private equity 340 00:17:06,520 --> 00:17:09,680 Speaker 1: and UH and venture capital. Now, real estate obviously is 341 00:17:09,680 --> 00:17:12,160 Speaker 1: a very different business, and you know it's a family 342 00:17:12,200 --> 00:17:14,400 Speaker 1: business and for many years that's different. All of these 343 00:17:14,400 --> 00:17:16,040 Speaker 1: things really get back to at the end of the day, 344 00:17:16,080 --> 00:17:18,840 Speaker 1: how do you run your business? Who do you hire? 345 00:17:19,440 --> 00:17:22,080 Speaker 1: What are your business principles? I think those are the 346 00:17:22,119 --> 00:17:24,960 Speaker 1: things that actually matter. And you can be from any 347 00:17:25,000 --> 00:17:29,160 Speaker 1: walk if for whatever reason, for however, you obtained those skills. 348 00:17:29,840 --> 00:17:31,639 Speaker 1: You have a certain way of running a business that 349 00:17:31,840 --> 00:17:36,600 Speaker 1: is positive, that is successful, then it works. We're talking 350 00:17:36,600 --> 00:17:39,800 Speaker 1: with Golden State Warriors owner Joe Lacob. You are the 351 00:17:39,880 --> 00:17:43,200 Speaker 1: CEO and chief owner of the Warriors with case people 352 00:17:43,280 --> 00:17:46,040 Speaker 1: do not know is it tough being both just you 353 00:17:46,080 --> 00:17:49,560 Speaker 1: mentioned that earlier about trying to run the team. You 354 00:17:49,600 --> 00:17:51,680 Speaker 1: know when I when we got involved in doing this, 355 00:17:51,920 --> 00:17:55,159 Speaker 1: um I, I knew it would be hard because it 356 00:17:55,240 --> 00:17:58,080 Speaker 1: was a big turnaround in terms of the business side 357 00:17:58,080 --> 00:18:01,639 Speaker 1: and the basketball side of the business. I knew that 358 00:18:01,680 --> 00:18:03,040 Speaker 1: we want to build an arena, and I knew that 359 00:18:03,040 --> 00:18:06,119 Speaker 1: would be something I hadn't done anything like that. Actually, 360 00:18:06,320 --> 00:18:07,880 Speaker 1: Peter or maybe one was really in a big way, 361 00:18:07,920 --> 00:18:11,080 Speaker 1: had done anything like that. Um So, But what I 362 00:18:11,119 --> 00:18:13,280 Speaker 1: didn't realize, it's just how much time it would take 363 00:18:13,280 --> 00:18:18,440 Speaker 1: and how hard it would be. So it became for me, Um, 364 00:18:18,440 --> 00:18:21,480 Speaker 1: not just an investment, not just a leader, you know, 365 00:18:21,560 --> 00:18:24,719 Speaker 1: leadership position, but rather more of a daily thing. And 366 00:18:24,800 --> 00:18:26,320 Speaker 1: for every year, I can tell myself, well, I'm not 367 00:18:26,359 --> 00:18:28,159 Speaker 1: going to have to work this hard anymore. I've got 368 00:18:28,160 --> 00:18:31,000 Speaker 1: these great people. But the truth is, you know, I'm 369 00:18:31,040 --> 00:18:33,000 Speaker 1: so engaged in it. I love it so much. And 370 00:18:33,080 --> 00:18:35,040 Speaker 1: so the truth is I'm CEO and I'm involved in 371 00:18:35,040 --> 00:18:37,360 Speaker 1: every aspect of the business every day. That's how companies 372 00:18:37,400 --> 00:18:41,080 Speaker 1: become successful when you're really engaged. I don't believe. Uh, 373 00:18:41,080 --> 00:18:43,159 Speaker 1: that's probably the most controversial thing I'll say today on 374 00:18:43,160 --> 00:18:47,639 Speaker 1: this broadcast. I don't believe at all, not even one bit. Uh, 375 00:18:47,720 --> 00:18:50,320 Speaker 1: this idea that owners should not be involved, that they 376 00:18:50,320 --> 00:18:52,479 Speaker 1: should say after the sidelines, and that they should let 377 00:18:52,480 --> 00:18:54,600 Speaker 1: people do their job. Yes, I let people do their job. 378 00:18:54,640 --> 00:18:58,240 Speaker 1: I don't meddle. That's different. Um. But you this idea 379 00:18:58,280 --> 00:18:59,920 Speaker 1: that an owner should not know what's going on is 380 00:19:00,000 --> 00:19:02,040 Speaker 1: business that should not be involved in every day listen, 381 00:19:02,080 --> 00:19:04,119 Speaker 1: listening and understanding what's going on in the business on 382 00:19:04,119 --> 00:19:06,479 Speaker 1: a daily basis, I think is wrong. The only way 383 00:19:06,520 --> 00:19:08,200 Speaker 1: you've become successful that like this is to be all 384 00:19:08,240 --> 00:19:12,639 Speaker 1: over it, every day thing, and I don't care what 385 00:19:12,680 --> 00:19:14,880 Speaker 1: business it is. Let me say right now, I am 386 00:19:15,000 --> 00:19:18,720 Speaker 1: hearing echoes of David Stern, of my twenty years dealing 387 00:19:18,760 --> 00:19:21,399 Speaker 1: with David Stern. Do you know his management philosophy? Have 388 00:19:21,440 --> 00:19:26,439 Speaker 1: you ever heard him tell it? Of course, management is 389 00:19:26,920 --> 00:19:30,120 Speaker 1: drastically underrated. That's what I'm hearing. You say. You need 390 00:19:30,160 --> 00:19:32,720 Speaker 1: to be, you need to hear, you need to touch, 391 00:19:32,800 --> 00:19:36,200 Speaker 1: you need to know. Well, I would not quite agree 392 00:19:36,240 --> 00:19:39,399 Speaker 1: with that, I would say, being one thing I am not, 393 00:19:39,640 --> 00:19:42,119 Speaker 1: I try not to be as a micromanager. You hire 394 00:19:42,240 --> 00:19:44,760 Speaker 1: great people in all their jobs, the best you can 395 00:19:44,800 --> 00:19:47,280 Speaker 1: possibly find, and you let them do their jobs. And 396 00:19:47,320 --> 00:19:50,399 Speaker 1: I always do that. Now, there's always someone who has 397 00:19:50,440 --> 00:19:52,280 Speaker 1: to make the final call, someone who has to make 398 00:19:52,280 --> 00:19:54,879 Speaker 1: the final decision, and you shouldn't be sloppy about that. 399 00:19:54,920 --> 00:19:57,320 Speaker 1: You should be understand it, and you should then make 400 00:19:57,320 --> 00:19:59,919 Speaker 1: those decisions rather quickly. And that's what I try to be, 401 00:20:00,040 --> 00:20:01,919 Speaker 1: try to be there to make the final decisions if 402 00:20:01,920 --> 00:20:03,760 Speaker 1: I'm needed to do that. But most of them almost 403 00:20:03,800 --> 00:20:06,960 Speaker 1: never overturned what has been decided by our group, by 404 00:20:06,960 --> 00:20:09,160 Speaker 1: our management team, because I know they've done their job. 405 00:20:09,560 --> 00:20:12,520 Speaker 1: Coming up more with the owner of the Golden State Warriors, 406 00:20:12,600 --> 00:20:15,640 Speaker 1: Joe lacom. Next, Joe talks about the Warriors being more 407 00:20:15,720 --> 00:20:19,080 Speaker 1: than just a sports team. Look, I do think that 408 00:20:20,200 --> 00:20:24,720 Speaker 1: we're a basketball team, but we're also entertainment and people. 409 00:20:25,280 --> 00:20:28,679 Speaker 1: From day one, we have been very, very focused on 410 00:20:28,720 --> 00:20:33,440 Speaker 1: not only being good, but also being liked and being 411 00:20:33,720 --> 00:20:36,679 Speaker 1: in something you can engage with and relate to and 412 00:20:36,720 --> 00:20:39,960 Speaker 1: be watchable. You're listening to Bloomberg Business of Sports on 413 00:20:40,000 --> 00:20:49,720 Speaker 1: Bloomberg Radio. Around the world. Sensory sensitivity, repetitious behavior, lack 414 00:20:49,760 --> 00:20:52,399 Speaker 1: of eye contact. You can see signs of autism and 415 00:20:52,480 --> 00:20:55,879 Speaker 1: children as young as eighteen months learn the signs at 416 00:20:55,920 --> 00:20:59,080 Speaker 1: Autism Speaks dot org slash signs brought to you by 417 00:20:59,080 --> 00:21:03,320 Speaker 1: Autism Speaks in the ad Council. This is the Business 418 00:21:03,320 --> 00:21:09,640 Speaker 1: of Sports on Bloomberg Radio. Scott and Michael Barr. Let's 419 00:21:09,680 --> 00:21:12,359 Speaker 1: wrap up our our conversation with Golden State Warriors owner 420 00:21:12,480 --> 00:21:15,240 Speaker 1: Joe Lincoln. All Right, Joe, you in the previous segment 421 00:21:15,520 --> 00:21:20,040 Speaker 1: mentioned basketball personnel and trades. That brings me to a 422 00:21:20,200 --> 00:21:22,920 Speaker 1: big part of your franchise, and that is one Mr 423 00:21:23,040 --> 00:21:27,280 Speaker 1: Steph Curry. I was told by another owner there's two things. 424 00:21:27,320 --> 00:21:29,080 Speaker 1: When I said how is your team going to be 425 00:21:29,119 --> 00:21:32,280 Speaker 1: this year, he said, there's only one way to answer that, 426 00:21:32,320 --> 00:21:35,720 Speaker 1: and it's one of two things. We're watchable or we're 427 00:21:35,840 --> 00:21:40,040 Speaker 1: not watchable. The Golden State Warriors, and largely due to staff, 428 00:21:40,080 --> 00:21:44,560 Speaker 1: are eminently watchable and entertaining. How important is it to 429 00:21:44,680 --> 00:21:47,800 Speaker 1: not just have a good basketball team, but to have 430 00:21:48,000 --> 00:21:51,520 Speaker 1: a superstar that transcends the game, Because I'll tell you, 431 00:21:51,520 --> 00:21:53,960 Speaker 1: in the New York City playgrounds, I don't see Carmelo 432 00:21:53,960 --> 00:21:58,480 Speaker 1: Anthony Jersey's I see Steph Curry. That's pretty amazing, isn't it. 433 00:21:59,040 --> 00:22:03,760 Speaker 1: Um I'd look. I do think that we're a basketball team, 434 00:22:03,800 --> 00:22:08,840 Speaker 1: but we're also entertainment and people. From day one, we 435 00:22:08,960 --> 00:22:12,040 Speaker 1: have been very, very focused on not only being good, 436 00:22:12,880 --> 00:22:16,800 Speaker 1: but also being liked and being in something you could 437 00:22:16,840 --> 00:22:20,240 Speaker 1: engage with and relate to and be, as you said, watchable. 438 00:22:20,760 --> 00:22:23,880 Speaker 1: We're very fortunate I didn't do this. I can't take 439 00:22:23,880 --> 00:22:25,640 Speaker 1: credit for it. Steph Curry was the only the only 440 00:22:25,640 --> 00:22:27,000 Speaker 1: guy on our team that was there when we bought 441 00:22:27,000 --> 00:22:29,520 Speaker 1: the team. He was a rookie. We're very fortunate that 442 00:22:29,560 --> 00:22:33,280 Speaker 1: he was here. We're smart to bet our chips on 443 00:22:33,359 --> 00:22:36,200 Speaker 1: him going forward um and and we did that and 444 00:22:36,240 --> 00:22:38,399 Speaker 1: built around him and we have this incredible, you know, 445 00:22:38,480 --> 00:22:42,160 Speaker 1: great team right now. But the truth is that that matters. 446 00:22:42,200 --> 00:22:43,879 Speaker 1: I'll tell you when I go to a game and 447 00:22:43,960 --> 00:22:46,720 Speaker 1: I sit with friends, or I sit with season ticket holders, 448 00:22:46,840 --> 00:22:49,720 Speaker 1: or I sit with my kids even or my the 449 00:22:49,800 --> 00:22:52,160 Speaker 1: wife of my one of my friends or whatever, and 450 00:22:52,200 --> 00:22:55,320 Speaker 1: they are there and so engaged because they love watching 451 00:22:55,359 --> 00:22:58,320 Speaker 1: our team. They love who they are as much as 452 00:22:58,359 --> 00:23:03,720 Speaker 1: how they play. Culture is recognized by others, and we 453 00:23:03,800 --> 00:23:05,520 Speaker 1: try to have a good culture. A lot of that 454 00:23:05,640 --> 00:23:07,960 Speaker 1: is Steph Curry. I mean it's not just Stef Curry, 455 00:23:08,000 --> 00:23:10,560 Speaker 1: but a lot of it is. And he is a 456 00:23:10,600 --> 00:23:13,800 Speaker 1: fantastic human being, not just a great basketball player. He's 457 00:23:13,800 --> 00:23:16,520 Speaker 1: got a great family, he is every He's real, He's 458 00:23:16,560 --> 00:23:19,600 Speaker 1: everything you see and think he is. That's who he is. 459 00:23:20,000 --> 00:23:23,760 Speaker 1: That is authentic. People see it, they like him, and 460 00:23:23,840 --> 00:23:26,440 Speaker 1: that really does help. I think being watchable does matter. 461 00:23:26,440 --> 00:23:28,359 Speaker 1: To answer your question, I'll toot your horn for you 462 00:23:28,400 --> 00:23:29,760 Speaker 1: so you don't have to. But this is how I 463 00:23:29,800 --> 00:23:31,800 Speaker 1: know the Warriors are doing something a little bit better. 464 00:23:32,280 --> 00:23:34,640 Speaker 1: Because there's this big debate in sports about the at 465 00:23:34,680 --> 00:23:37,760 Speaker 1: home experience versus the in arena experience. You know what 466 00:23:37,880 --> 00:23:40,119 Speaker 1: you don't get at home. You don't get Steph Curry 467 00:23:40,119 --> 00:23:42,680 Speaker 1: warming up, you don't see the dribbling exhibition, you don't 468 00:23:42,680 --> 00:23:44,520 Speaker 1: get the half court shots, you get the start of 469 00:23:44,560 --> 00:23:47,560 Speaker 1: the game on TV. What you have done is made 470 00:23:47,600 --> 00:23:50,879 Speaker 1: the in arena part of it all an experience that 471 00:23:50,960 --> 00:23:54,520 Speaker 1: people want to see. How do others replicate that? I mean, 472 00:23:54,560 --> 00:23:57,200 Speaker 1: there's only so many step Curries out there. But what's 473 00:23:57,200 --> 00:23:59,520 Speaker 1: your take on the fight between at home, in arena 474 00:24:00,119 --> 00:24:02,840 Speaker 1: and technology playing a role in all of it? Well? 475 00:24:02,840 --> 00:24:04,760 Speaker 1: I do think that more of those things will be 476 00:24:04,800 --> 00:24:07,120 Speaker 1: streamed over time. Why not if people want to see them. 477 00:24:07,800 --> 00:24:10,000 Speaker 1: I think you're going to see that happen. But having 478 00:24:10,040 --> 00:24:13,720 Speaker 1: said that, I do think that this is why, you know, 479 00:24:13,760 --> 00:24:16,360 Speaker 1: it's not just I've I've got criticism for this. Why 480 00:24:16,440 --> 00:24:18,359 Speaker 1: I always say, well, it's not just Stef Curry. And 481 00:24:18,400 --> 00:24:22,160 Speaker 1: I wasn't saying in any way anything about Steph because 482 00:24:22,200 --> 00:24:25,520 Speaker 1: he is the central core of our success in many ways. 483 00:24:25,560 --> 00:24:28,639 Speaker 1: But it's also about what the business people do, what 484 00:24:28,720 --> 00:24:31,600 Speaker 1: the game ops people do. We're putting on a game, 485 00:24:31,640 --> 00:24:35,040 Speaker 1: we're putting on an experience, and that may be not 486 00:24:35,200 --> 00:24:37,320 Speaker 1: just about the game itself. May maybe the pregame it, 487 00:24:37,320 --> 00:24:39,120 Speaker 1: maybe the food. Always want to get the food better. 488 00:24:39,119 --> 00:24:42,440 Speaker 1: Food is important, um, But whatever it is about the 489 00:24:42,480 --> 00:24:44,800 Speaker 1: game and the experience and how to make that better, 490 00:24:45,000 --> 00:24:47,679 Speaker 1: it's very important. We're this is entertainment. We get that. 491 00:24:47,760 --> 00:24:50,840 Speaker 1: This is what Peter Goober brought to our psyche and 492 00:24:50,840 --> 00:24:54,560 Speaker 1: our organizations so so importantly in the early days. We're 493 00:24:54,640 --> 00:24:58,000 Speaker 1: not just about the basketball. We're also about the entertainment 494 00:24:58,359 --> 00:25:02,600 Speaker 1: and having players and things you can do that people 495 00:25:02,600 --> 00:25:04,920 Speaker 1: get engaged in prior to the game or whatever is 496 00:25:05,000 --> 00:25:07,919 Speaker 1: very important as well. One thing about it too, you 497 00:25:07,960 --> 00:25:10,760 Speaker 1: talk about the experience and being involved at the game. 498 00:25:10,800 --> 00:25:13,200 Speaker 1: A long time ago was simply hey, I'm at the game. 499 00:25:13,480 --> 00:25:15,320 Speaker 1: I got peanuts and I got a hot dog, and 500 00:25:15,400 --> 00:25:17,960 Speaker 1: that's about it. And now, like you said, today, you're 501 00:25:18,040 --> 00:25:21,240 Speaker 1: at the arena and you've got you're wired, you've got 502 00:25:21,280 --> 00:25:25,160 Speaker 1: the internet. People are following all kinds of games all 503 00:25:25,160 --> 00:25:27,120 Speaker 1: over the place in the league, and it is now 504 00:25:27,240 --> 00:25:32,280 Speaker 1: an experience, not just hey, I'm at the game. It's 505 00:25:32,400 --> 00:25:35,120 Speaker 1: very true. And I think our league does an outstanding job. 506 00:25:35,119 --> 00:25:38,520 Speaker 1: I think it's very well run at the league level. Um, 507 00:25:38,560 --> 00:25:40,520 Speaker 1: I think we've got really smart people there that have 508 00:25:40,720 --> 00:25:42,360 Speaker 1: understand these things that we're trying to be on top 509 00:25:42,400 --> 00:25:45,679 Speaker 1: of all the new technologies. We're trying to, you know, 510 00:25:45,720 --> 00:25:48,159 Speaker 1: create a product that doesn't just sit here as it is, 511 00:25:48,200 --> 00:25:51,280 Speaker 1: but rather grows and becomes more what the fans want 512 00:25:51,359 --> 00:25:54,040 Speaker 1: and what is capable of being, what is capable being 513 00:25:54,119 --> 00:25:56,600 Speaker 1: going forward. So I think the NBA, and you know, 514 00:25:56,920 --> 00:25:59,199 Speaker 1: you see their unlike football, you see their faces, you 515 00:25:59,320 --> 00:26:02,400 Speaker 1: see the real actions. It's you can become very engaged 516 00:26:02,560 --> 00:26:04,960 Speaker 1: in the NBA in so many ways, and I think 517 00:26:05,000 --> 00:26:06,919 Speaker 1: we need to continue to do that and to continue 518 00:26:06,920 --> 00:26:09,520 Speaker 1: to make the product even more engaging in so many 519 00:26:09,520 --> 00:26:13,439 Speaker 1: different ways using technology and other things. Whatever it is, 520 00:26:13,920 --> 00:26:16,320 Speaker 1: maybe something we're not even talking about today, but I 521 00:26:16,800 --> 00:26:19,080 Speaker 1: do think that's an important part of the product that 522 00:26:19,080 --> 00:26:21,040 Speaker 1: we have. We are chatting with Joe lake Up, owner 523 00:26:21,080 --> 00:26:24,399 Speaker 1: of the Golden State Warriors, and Joe, you chose to 524 00:26:24,440 --> 00:26:28,360 Speaker 1: build an arena without public money. You have said that 525 00:26:28,440 --> 00:26:31,160 Speaker 1: the Oakland Raiders should have done the same. The best 526 00:26:31,160 --> 00:26:33,639 Speaker 1: move would have been for them to control a facility 527 00:26:33,880 --> 00:26:37,520 Speaker 1: and build it themselves in Oakland. However, there's seven fifty 528 00:26:37,560 --> 00:26:40,880 Speaker 1: million dollars in public money available in Las Vegas. Your 529 00:26:40,920 --> 00:26:44,200 Speaker 1: take on the public private or do it yourself model. 530 00:26:44,280 --> 00:26:46,920 Speaker 1: You're doing it yourself and you're gonna have a brand 531 00:26:46,960 --> 00:26:50,080 Speaker 1: spanking new arena on the water in San Francisco. I 532 00:26:50,080 --> 00:26:56,159 Speaker 1: would imagine there are ad nauseum chances to monetize that building. Yeah, 533 00:26:56,200 --> 00:26:59,960 Speaker 1: I mean, look, would we have light as business deep? 534 00:27:00,080 --> 00:27:02,040 Speaker 1: Would we have liked to have had some public help 535 00:27:02,160 --> 00:27:05,240 Speaker 1: financing if you will, like has been achieved throughout the 536 00:27:05,280 --> 00:27:10,680 Speaker 1: history of professional sports or certainly in other places. Um more, yes, 537 00:27:11,000 --> 00:27:12,760 Speaker 1: it would have been it been it easier to do. 538 00:27:12,840 --> 00:27:15,439 Speaker 1: We have to work really hard to generate the revenues 539 00:27:15,480 --> 00:27:19,400 Speaker 1: to support to pay off this arena. Having said that, 540 00:27:19,440 --> 00:27:22,640 Speaker 1: there's something great about being able to say to look 541 00:27:22,680 --> 00:27:24,960 Speaker 1: yourself in the mirror and to look at others and say, hey, 542 00:27:25,200 --> 00:27:28,800 Speaker 1: we're not using moneys from taxpayers that should maybe be 543 00:27:28,880 --> 00:27:32,879 Speaker 1: going to schools or police or fire or whatever services. 544 00:27:33,240 --> 00:27:35,320 Speaker 1: There's something nice about being able to do that and 545 00:27:35,359 --> 00:27:40,479 Speaker 1: to self accomplish this. Um though though it is is wearing, 546 00:27:40,520 --> 00:27:42,800 Speaker 1: it's hard to do. There's it's it's a very expensive 547 00:27:42,800 --> 00:27:45,359 Speaker 1: to build in our area, certainly more than others. But 548 00:27:45,440 --> 00:27:47,040 Speaker 1: I do I'm proud of the fact that we're doing 549 00:27:47,080 --> 00:27:48,800 Speaker 1: it and I'm proud of the fact that we're gonna 550 00:27:48,800 --> 00:27:50,080 Speaker 1: get it done and it's going to be great, and 551 00:27:50,119 --> 00:27:52,920 Speaker 1: maybe it makes you better by doing that. I could 552 00:27:53,000 --> 00:27:55,280 Speaker 1: argue that it makes us have to work that much harder, 553 00:27:55,600 --> 00:27:57,920 Speaker 1: So I really I like it. I think in our 554 00:27:57,960 --> 00:27:59,760 Speaker 1: area is different than maybe some other areas of the 555 00:27:59,760 --> 00:28:01,800 Speaker 1: County Tree. Some places want to have a sports team. 556 00:28:01,840 --> 00:28:04,159 Speaker 1: Maybe they should as a community think that there are 557 00:28:04,160 --> 00:28:05,800 Speaker 1: benefits to having that sports team and help pay for 558 00:28:05,800 --> 00:28:07,879 Speaker 1: an arena or a stadium, and I think that's a 559 00:28:07,880 --> 00:28:11,320 Speaker 1: good thing, uh, potentially for both parties. But in our case, 560 00:28:11,520 --> 00:28:13,560 Speaker 1: I don't think it was gonna work anyway, and so 561 00:28:13,640 --> 00:28:16,760 Speaker 1: we embrace the task that we had to do if 562 00:28:16,800 --> 00:28:19,159 Speaker 1: we wanted to make this bigger and better for everyone, 563 00:28:19,640 --> 00:28:22,640 Speaker 1: and we do what we do. Speaking of getting better, 564 00:28:22,680 --> 00:28:25,160 Speaker 1: you got better when you edited Kevin Durant, and I'm 565 00:28:25,280 --> 00:28:28,639 Speaker 1: amazed when not only Kevin, but Andre Iguodala. One of 566 00:28:28,640 --> 00:28:32,240 Speaker 1: the reasons Andre signed with the Warriors was to be 567 00:28:32,280 --> 00:28:35,000 Speaker 1: closer to Silicon Valley because he has outside interest and 568 00:28:35,080 --> 00:28:38,240 Speaker 1: he wanted to become an investor as well and work 569 00:28:38,320 --> 00:28:42,280 Speaker 1: with you. Is there a different mindset with athletes these days? 570 00:28:42,320 --> 00:28:44,920 Speaker 1: I mean, you didn't hear that so long ago that 571 00:28:45,320 --> 00:28:48,560 Speaker 1: the chance to work and venture capital is the reason 572 00:28:48,640 --> 00:28:51,040 Speaker 1: I'm signing with a particular team. It's a new model 573 00:28:51,080 --> 00:28:53,960 Speaker 1: these days, you know, it is somewhat different. M Andre 574 00:28:54,080 --> 00:28:57,200 Speaker 1: is a very smart guy, and he recognized that from 575 00:28:57,240 --> 00:28:59,760 Speaker 1: day one that this was a reason to go to 576 00:29:00,120 --> 00:29:02,080 Speaker 1: Golden State, to go to the Bay Area, that this 577 00:29:02,120 --> 00:29:04,840 Speaker 1: was something in this community that could benefit him outside 578 00:29:04,840 --> 00:29:08,320 Speaker 1: of basketball in the long run. And he's making tremendous 579 00:29:08,320 --> 00:29:10,640 Speaker 1: progress with it and has gotten along. I think the 580 00:29:10,720 --> 00:29:12,280 Speaker 1: other boomers of our team that are doing the same, 581 00:29:12,400 --> 00:29:14,920 Speaker 1: Kevin Durant also very focused on doing this, and I 582 00:29:15,000 --> 00:29:18,240 Speaker 1: think they recognize this opportunity. Silicon Valley is a rather 583 00:29:18,320 --> 00:29:21,400 Speaker 1: amazing place, and there's a lot of opportunity and a 584 00:29:21,400 --> 00:29:25,000 Speaker 1: lot of potential for investing and and doing good and 585 00:29:25,040 --> 00:29:28,360 Speaker 1: making money in in the technology world if you're around here, 586 00:29:28,720 --> 00:29:30,800 Speaker 1: and it might not be that case somewhere else. So 587 00:29:31,480 --> 00:29:33,440 Speaker 1: I think he recognizes that. I think it's a reason 588 00:29:33,520 --> 00:29:36,080 Speaker 1: potentially for someone want to be here. I also want 589 00:29:36,120 --> 00:29:37,920 Speaker 1: to be at an organization where they can win. I 590 00:29:37,960 --> 00:29:40,560 Speaker 1: don't don't. Let's not sell that short and we try 591 00:29:40,600 --> 00:29:43,320 Speaker 1: to sell that opportunity obviously as well, Joe, what is 592 00:29:43,360 --> 00:29:45,520 Speaker 1: the prospect of your coach actually making it back on 593 00:29:45,560 --> 00:29:47,800 Speaker 1: the sideline. For those don't know, Steve Kerr had back 594 00:29:47,840 --> 00:29:50,760 Speaker 1: surgery years ago and some problems with there. He's just 595 00:29:50,800 --> 00:29:53,400 Speaker 1: stricken with nausea and right now he's off the bench. 596 00:29:53,480 --> 00:29:55,480 Speaker 1: What what's the prospect for Steve one of the good 597 00:29:55,480 --> 00:29:58,880 Speaker 1: guys in the NBA. Well, Steve is one of the 598 00:29:58,880 --> 00:30:02,320 Speaker 1: greatest people ever. Um he is. He's an amazing guy. 599 00:30:02,400 --> 00:30:06,680 Speaker 1: He's incredibly smart, He's brought incredible success to us, and uh, 600 00:30:06,840 --> 00:30:10,080 Speaker 1: it's very unfortunate what's happening here. He had a back surgery, 601 00:30:10,160 --> 00:30:13,760 Speaker 1: relatively common procedure almost two years ago now and had 602 00:30:13,800 --> 00:30:18,480 Speaker 1: a what is really a relatively uncommon thing happened, which is, uh, 603 00:30:18,520 --> 00:30:20,960 Speaker 1: the dura around the spinal cord got nicked and you 604 00:30:21,080 --> 00:30:24,720 Speaker 1: wind up getting a spinal cord leak and ultimately headaches 605 00:30:24,760 --> 00:30:29,440 Speaker 1: and other symptoms, bad headaches migrants. Unfortunately, they usually patched 606 00:30:29,480 --> 00:30:31,960 Speaker 1: that with a blood patch and it's over either in 607 00:30:32,000 --> 00:30:34,440 Speaker 1: a week or a month or whatever. And in his case, 608 00:30:34,720 --> 00:30:37,440 Speaker 1: for whatever reason, they just haven't been able to solve 609 00:30:37,480 --> 00:30:40,600 Speaker 1: that problem. Hopefully it was solved yesterday. He had another procedure, 610 00:30:41,120 --> 00:30:44,760 Speaker 1: but it's going on for nearly two years, very unusual. 611 00:30:44,840 --> 00:30:48,040 Speaker 1: I believe I have a medical background, so I know 612 00:30:48,080 --> 00:30:50,080 Speaker 1: a little bit about this, and I've never really heard 613 00:30:50,080 --> 00:30:52,440 Speaker 1: of many people having this problem for this long. And 614 00:30:52,480 --> 00:30:54,800 Speaker 1: we feel really bad for him, the players, everybody understands it. 615 00:30:55,120 --> 00:30:57,360 Speaker 1: We just have to be in his in his court 616 00:30:57,400 --> 00:30:59,840 Speaker 1: here and support whatever it takes for him to get 617 00:31:00,080 --> 00:31:02,360 Speaker 1: and I'm sure they will eventually solve it, hopefully sooner 618 00:31:02,440 --> 00:31:04,200 Speaker 1: rather than later, and hopefully we'll have them on the 619 00:31:04,240 --> 00:31:07,080 Speaker 1: court coaching sooner rather than later. And Joe, I always 620 00:31:07,120 --> 00:31:11,200 Speaker 1: hear pro franchises speak of themselves as civic trusts. So yes, 621 00:31:11,360 --> 00:31:15,040 Speaker 1: I own the team, but it really belongs to the people. 622 00:31:15,680 --> 00:31:20,000 Speaker 1: How do you engage the team with the community in 623 00:31:20,280 --> 00:31:23,760 Speaker 1: a way that you really are cemented as part of 624 00:31:23,800 --> 00:31:26,000 Speaker 1: that population where they really do feel as if it 625 00:31:26,120 --> 00:31:28,720 Speaker 1: is a civic trust and not just lip service paid 626 00:31:28,760 --> 00:31:31,840 Speaker 1: to that. Well, I think that's a really good question. 627 00:31:31,920 --> 00:31:35,160 Speaker 1: And we again from day one, you know, having been 628 00:31:35,200 --> 00:31:37,400 Speaker 1: a sports fan for all my life and watched and 629 00:31:37,440 --> 00:31:39,320 Speaker 1: planned and thought about how we would do this if 630 00:31:39,320 --> 00:31:41,600 Speaker 1: we ever owned a team. It was my goal forever. 631 00:31:42,400 --> 00:31:44,600 Speaker 1: One of the things you hear when all the time 632 00:31:44,640 --> 00:31:47,640 Speaker 1: as well. It's civic trust. And when you buy and 633 00:31:47,680 --> 00:31:49,239 Speaker 1: spend all that money, of course you sit there and say, hey, 634 00:31:49,240 --> 00:31:52,000 Speaker 1: oh hell no, we own this right. We spent a 635 00:31:52,000 --> 00:31:53,720 Speaker 1: lot of money. But the truth is we're only going 636 00:31:53,760 --> 00:31:57,040 Speaker 1: to be here so much time as people, and hopefully 637 00:31:57,240 --> 00:32:00,000 Speaker 1: and likely the team is going to be here beyond us. 638 00:32:00,200 --> 00:32:02,000 Speaker 1: So the truth is there's a lot of truth to 639 00:32:02,000 --> 00:32:05,240 Speaker 1: what you said, and so it's important for us to 640 00:32:05,360 --> 00:32:08,080 Speaker 1: be very engaged in the community. Joe, thank you very 641 00:32:08,120 --> 00:32:09,800 Speaker 1: much for taking the time. We do appreciate it. That 642 00:32:10,000 --> 00:32:13,480 Speaker 1: was Golden State Warriors owner Joe Lincolp. You've been listening 643 00:32:13,480 --> 00:32:17,120 Speaker 1: to Bloomberg Business of Sports on Bloomberg Radio around the world. 644 00:32:17,320 --> 00:32:19,680 Speaker 1: We're here each and every week at the same time 645 00:32:19,760 --> 00:32:22,960 Speaker 1: exploring the world of money and sports. Michael barn and 646 00:32:23,000 --> 00:32:25,400 Speaker 1: I'm Scott Sashnik. Thanks for joining us. Please tune in 647 00:32:25,480 --> 00:32:27,840 Speaker 1: next week when we speak with with Grosbeck, the owner 648 00:32:27,880 --> 00:32:29,000 Speaker 1: of the Boston Celtics.