1 00:00:00,720 --> 00:00:04,600 Speaker 1: This is Bloomberg Business of Sports. Business of Sports can 2 00:00:04,640 --> 00:00:07,480 Speaker 1: be intimidating for hard for starting to break into. 3 00:00:07,360 --> 00:00:10,320 Speaker 2: We really appreciate where our owners are actually there, you know, 4 00:00:10,400 --> 00:00:11,520 Speaker 2: with us through the journey. 5 00:00:11,520 --> 00:00:15,240 Speaker 3: Teams ours especially been very intentional to diversify at all 6 00:00:15,320 --> 00:00:17,520 Speaker 3: levels of the Companyshybe. We're in the golden years for 7 00:00:17,640 --> 00:00:19,360 Speaker 3: the NFL and college football. 8 00:00:19,440 --> 00:00:22,520 Speaker 2: Our demographic reach has continued to expande. 9 00:00:22,600 --> 00:00:26,200 Speaker 3: This is going to be really unlocking the streaming platform 10 00:00:26,280 --> 00:00:27,240 Speaker 3: for sports fans. 11 00:00:27,320 --> 00:00:28,720 Speaker 4: Sports evaluations arising. 12 00:00:28,840 --> 00:00:29,800 Speaker 1: We'll see when they peak. 13 00:00:29,840 --> 00:00:32,479 Speaker 4: You don't have to be the best in your sports 14 00:00:32,479 --> 00:00:35,360 Speaker 4: and make a whole ton of money. 15 00:00:35,440 --> 00:00:41,160 Speaker 1: Bloomberg Business of Sports from Bloomberg Radio. Hello world, This 16 00:00:41,320 --> 00:00:44,320 Speaker 1: is the Bloomberg Business of Sports show where we explore 17 00:00:44,360 --> 00:00:46,680 Speaker 1: the big money issues in the world of sports. 18 00:00:46,720 --> 00:00:47,880 Speaker 3: Sound like well, I'm. 19 00:00:47,720 --> 00:00:50,440 Speaker 2: Scarlett Foo and Tidi Meansas hour on the lineup. 20 00:00:50,479 --> 00:00:54,800 Speaker 1: Today, it's official w NBA team is coming to the 21 00:00:54,800 --> 00:00:59,360 Speaker 1: Bay Area. The Golden State Valkyries were announced as the 22 00:00:59,440 --> 00:01:04,440 Speaker 1: latest sticks team for the increasingly popular league, the WNBA's 23 00:01:04,480 --> 00:01:07,480 Speaker 1: first expansion team since two thousand and eight, with more 24 00:01:07,560 --> 00:01:09,440 Speaker 1: teams on the horizon. 25 00:01:09,120 --> 00:01:11,960 Speaker 2: And so joining us later in the program to discuss 26 00:01:12,040 --> 00:01:15,120 Speaker 2: what this means for women's basketball, for the city of 27 00:01:15,200 --> 00:01:18,400 Speaker 2: San Francisco, and for the team itself. Is Jess Smith, 28 00:01:18,800 --> 00:01:23,520 Speaker 2: president of the newest WNBA franchise, the Golden State Falkyraz. 29 00:01:23,680 --> 00:01:26,800 Speaker 5: Being the thirteenth expansion team is a big deal and 30 00:01:26,840 --> 00:01:29,120 Speaker 5: we take it with a great responsibility. And the fact 31 00:01:29,120 --> 00:01:32,120 Speaker 5: that it is the Bay Area for us is something 32 00:01:32,120 --> 00:01:33,760 Speaker 5: that we wanted to lean into. When you think of 33 00:01:33,800 --> 00:01:36,280 Speaker 5: the Bay Area inside and outside of it, you know, 34 00:01:36,319 --> 00:01:40,400 Speaker 5: it's the place where being progressive and innovative, you know, 35 00:01:40,680 --> 00:01:43,360 Speaker 5: is part of the everyday culture there and often leading 36 00:01:43,400 --> 00:01:43,800 Speaker 5: the world. 37 00:01:44,080 --> 00:01:46,720 Speaker 3: Plus, we can't talk about the WNBA without mentioning their 38 00:01:46,800 --> 00:01:50,760 Speaker 3: biggest newest star, Kaitlyn Clark. Bloomberg's Ira Budewagh joins us 39 00:01:50,840 --> 00:01:53,440 Speaker 3: later to explain how the Caitlin Clark effect comes at 40 00:01:53,440 --> 00:01:55,080 Speaker 3: a critical moment for the league. 41 00:01:55,160 --> 00:01:57,640 Speaker 1: That is straight ahead on the Bloomberg Business of Sports Show. 42 00:01:57,720 --> 00:02:02,680 Speaker 1: But first, the NFL release they're much anticipated schedule for 43 00:02:02,760 --> 00:02:06,240 Speaker 1: the upcoming season this past Wednesday, and there are two 44 00:02:06,280 --> 00:02:10,200 Speaker 1: games that is generating headlines. Can you hear right now 45 00:02:10,600 --> 00:02:13,240 Speaker 1: Damien rubbing his hands. That's him being. 46 00:02:13,080 --> 00:02:13,920 Speaker 2: Excited, but. 47 00:02:15,639 --> 00:02:18,639 Speaker 1: Not for the reasons you may think streaming giant Netflix 48 00:02:18,720 --> 00:02:22,280 Speaker 1: is continuing its major strides into live sports programming, announcing 49 00:02:22,280 --> 00:02:25,400 Speaker 1: it will stream two football games on Christmas Day this year, 50 00:02:25,800 --> 00:02:29,880 Speaker 1: with the defending Super Bowl champs Kansas City Chiefs taking 51 00:02:29,919 --> 00:02:33,560 Speaker 1: on the Pittsburgh Steelers and the Houston Texans taking on 52 00:02:33,680 --> 00:02:37,720 Speaker 1: the Baltimore Ravens. With more on that major streaming deal, 53 00:02:37,840 --> 00:02:42,040 Speaker 1: we are joined by Bloomberg Entertainment reporter Lucas Shaw. Lucas, 54 00:02:42,080 --> 00:02:44,000 Speaker 1: Welcome to the Bloomberg Business of Sports. 55 00:02:44,040 --> 00:02:45,079 Speaker 4: Great to be here in person. 56 00:02:45,240 --> 00:02:47,119 Speaker 1: Well, there's gonna be a lot of fights this Christmas. 57 00:02:48,560 --> 00:02:51,000 Speaker 1: Think about it. I mean, is one thing for Thanksgiving? 58 00:02:51,080 --> 00:02:54,280 Speaker 1: You know, when the Lions play Thanksgiving and the Cowboys 59 00:02:54,320 --> 00:02:58,639 Speaker 1: play Thanksgiving and the Packers play on Thanksgiving, it's accepted. 60 00:02:59,040 --> 00:03:02,480 Speaker 1: We're just easing into this Christmas thing. And now this 61 00:03:02,560 --> 00:03:03,919 Speaker 1: big deal has been announced. 62 00:03:03,919 --> 00:03:06,880 Speaker 4: Well, I'm someone who looks forward to basketball on Christmas 63 00:03:06,919 --> 00:03:10,080 Speaker 4: every year. Yeah, So, I'm sure the NBA is livid 64 00:03:10,280 --> 00:03:12,680 Speaker 4: that the NFL is once again trying to claim another 65 00:03:12,720 --> 00:03:17,240 Speaker 4: night because I think that as NFL claims more days 66 00:03:17,240 --> 00:03:19,320 Speaker 4: of the week and more times of the year, they're 67 00:03:19,400 --> 00:03:22,200 Speaker 4: just stealing inventory from other sports. Because it's the most 68 00:03:22,200 --> 00:03:24,880 Speaker 4: powerful sport in the US and they can. And this 69 00:03:24,919 --> 00:03:28,400 Speaker 4: is another case where you know, they've added another partner. 70 00:03:28,440 --> 00:03:30,280 Speaker 4: And I think if you were to ask, say Amazon, 71 00:03:30,320 --> 00:03:32,480 Speaker 4: which thought they were the sort of streaming partner for 72 00:03:32,520 --> 00:03:35,840 Speaker 4: the NFL, they'd be pretty frustrated that suddenly Netflix has 73 00:03:35,880 --> 00:03:36,600 Speaker 4: a couple of games. 74 00:03:36,840 --> 00:03:39,760 Speaker 3: So the lesson here is there are no exclusive partnerships 75 00:03:39,760 --> 00:03:41,840 Speaker 3: with the NFL. The NFL does whatever it wants. 76 00:03:42,200 --> 00:03:44,080 Speaker 4: That I think the last thing you said is the 77 00:03:44,160 --> 00:03:46,520 Speaker 4: key part. Yes, the NFL does whatever the heck it 78 00:03:46,600 --> 00:03:49,040 Speaker 4: wants at all times, and there's nothing that anyone can 79 00:03:49,040 --> 00:03:49,560 Speaker 4: do about it. 80 00:03:49,600 --> 00:03:51,800 Speaker 3: What happened to Netflix saying, oh, no, we're not interested 81 00:03:51,800 --> 00:03:53,880 Speaker 3: in live sports, Well. 82 00:03:53,760 --> 00:03:57,640 Speaker 4: They've been softening on that. They ever since they introduced 83 00:03:57,680 --> 00:04:00,680 Speaker 4: their advertising business a couple of years ago, they've started 84 00:04:00,680 --> 00:04:03,000 Speaker 4: to also invest in live events. You know, they had 85 00:04:03,480 --> 00:04:05,880 Speaker 4: a live comedy special from Chris Rock. They had a 86 00:04:06,280 --> 00:04:09,400 Speaker 4: live reunion of the hit show Love Is Blind. They've 87 00:04:09,680 --> 00:04:13,160 Speaker 4: just did some live comedy out of this comedy festival 88 00:04:13,200 --> 00:04:14,960 Speaker 4: in LA and that has done. You know, they had 89 00:04:14,960 --> 00:04:17,280 Speaker 4: a celebrity golf event, they had a one off tennis 90 00:04:17,520 --> 00:04:19,600 Speaker 4: It's obvious to anyone looking at it that if you're 91 00:04:19,600 --> 00:04:21,599 Speaker 4: trying to build an advertising business, and that means you 92 00:04:21,640 --> 00:04:24,440 Speaker 4: want to have live programming. The most valuable live programming 93 00:04:24,440 --> 00:04:27,039 Speaker 4: in the world is sports, and I think they're just 94 00:04:27,080 --> 00:04:29,880 Speaker 4: trying to slow walk it because they don't want to 95 00:04:29,880 --> 00:04:32,320 Speaker 4: make it sound like they're going to start bidding billions 96 00:04:32,360 --> 00:04:34,480 Speaker 4: of dollars for live sports rights, because they don't think 97 00:04:34,520 --> 00:04:36,680 Speaker 4: Wall Street wants to hear them say that, and they 98 00:04:36,680 --> 00:04:39,599 Speaker 4: don't believe that that's the most efficient use of their capital. 99 00:04:39,839 --> 00:04:42,039 Speaker 4: But if they can find some of these one off 100 00:04:42,080 --> 00:04:44,359 Speaker 4: events to do to try to kind of build up 101 00:04:44,400 --> 00:04:46,960 Speaker 4: their portfolio, they seem happy to test it out. 102 00:04:47,400 --> 00:04:50,400 Speaker 2: Lucas, I'm a Jeff fan, and I'm going to be 103 00:04:51,680 --> 00:04:54,880 Speaker 2: We're all sorry. I've got six primetime games that I 104 00:04:54,960 --> 00:05:00,760 Speaker 2: have to find on television this shield and I have Amazon, ESPN, Netflix, Peacock. 105 00:05:00,880 --> 00:05:04,000 Speaker 2: I mean there's prime Time, there's ABC. How do I 106 00:05:04,040 --> 00:05:06,640 Speaker 2: figure all this out? First of all? And secondly, you know, 107 00:05:06,720 --> 00:05:08,720 Speaker 2: for you know you Cowboy and forty nine er fans 108 00:05:08,760 --> 00:05:11,200 Speaker 2: who also have six primetime games, we're the only three. 109 00:05:11,560 --> 00:05:13,680 Speaker 2: Talk to me a little bit about what this means 110 00:05:13,680 --> 00:05:15,599 Speaker 2: going forward. Is there going to be any sort of 111 00:05:15,640 --> 00:05:18,400 Speaker 2: directive from the NFL itself to kind of guide us 112 00:05:18,440 --> 00:05:20,720 Speaker 2: on our Sundays, on our Thursday nights. So I mean, 113 00:05:21,160 --> 00:05:22,680 Speaker 2: how do we know where to go? I mean, I 114 00:05:23,279 --> 00:05:25,080 Speaker 2: just don't know where to go anymore. There's so many 115 00:05:25,080 --> 00:05:25,880 Speaker 2: options out there. 116 00:05:26,080 --> 00:05:28,080 Speaker 4: Did you really struggle to figure out where to watch 117 00:05:28,080 --> 00:05:28,920 Speaker 4: the Jets last year? 118 00:05:29,000 --> 00:05:29,040 Speaker 3: No? 119 00:05:29,120 --> 00:05:32,599 Speaker 2: I didn't really, but I mean most Thursday nights Thursday 120 00:05:32,680 --> 00:05:35,080 Speaker 2: nights between the NFL network, and some of these got 121 00:05:35,080 --> 00:05:35,560 Speaker 2: a little. 122 00:05:35,360 --> 00:05:37,840 Speaker 4: Skylight for it. I take the question because there is 123 00:05:37,880 --> 00:05:41,520 Speaker 4: some frustration that the NFL keeps slicing and dicing the 124 00:05:41,560 --> 00:05:44,599 Speaker 4: schedule and bringing in new partners, and so it feels 125 00:05:44,640 --> 00:05:45,440 Speaker 4: a little bit like. 126 00:05:45,440 --> 00:05:47,680 Speaker 2: But transparency, Just show us where to go, like you know, 127 00:05:47,800 --> 00:05:49,800 Speaker 2: I mean, like you know, give us the slate, you know, 128 00:05:49,920 --> 00:05:51,400 Speaker 2: or give us a pack. Is there any way they 129 00:05:51,440 --> 00:05:53,919 Speaker 2: can provide their audience with a package? 130 00:05:54,000 --> 00:05:54,200 Speaker 3: Well? 131 00:05:54,240 --> 00:05:58,000 Speaker 4: I think I guess football to me feels somewhat straightforward, 132 00:05:58,040 --> 00:06:00,919 Speaker 4: only in that they are the main packages. You know 133 00:06:00,960 --> 00:06:03,520 Speaker 4: where to go? Right? Okay, So if you look at 134 00:06:03,560 --> 00:06:07,520 Speaker 4: the regular season schedule, Fox and CBS have the still 135 00:06:08,320 --> 00:06:10,920 Speaker 4: the lion's share of the games. Between the two of them, 136 00:06:10,960 --> 00:06:13,960 Speaker 4: they have the vast majority of the games on Sunday 137 00:06:13,960 --> 00:06:16,400 Speaker 4: morning Sunday afternoon, depending on what part of the country 138 00:06:16,440 --> 00:06:17,960 Speaker 4: that you live in. Sure, if you want to do 139 00:06:18,000 --> 00:06:19,919 Speaker 4: Red Zone Sunday ticket, you go to YouTube. That was 140 00:06:19,960 --> 00:06:22,279 Speaker 4: always a separate package. I think that's fine because that's 141 00:06:22,320 --> 00:06:26,080 Speaker 4: just a separate experience. Monday Night football has been around forever. 142 00:06:26,560 --> 00:06:31,040 Speaker 4: The newer ones are Thursday, the occasional Saturday, and then 143 00:06:31,279 --> 00:06:34,840 Speaker 4: this Netflix thing is just Christmas. I think the one 144 00:06:34,880 --> 00:06:37,440 Speaker 4: that really freaked people out was Peacock with the playoffs, 145 00:06:37,480 --> 00:06:39,880 Speaker 4: because suddenly you had to sign up for another service 146 00:06:39,880 --> 00:06:42,320 Speaker 4: to access it. It seems like it was a big success. 147 00:06:42,680 --> 00:06:45,320 Speaker 3: The playoffs are different from the regular season. That just 148 00:06:45,400 --> 00:06:48,520 Speaker 3: becomes an added wrinkle here for Damian, I mean, I 149 00:06:48,520 --> 00:06:50,479 Speaker 3: know it's not an issue for you with the Jets. 150 00:06:50,880 --> 00:06:56,720 Speaker 4: Lucas, I'm glad you said it because thanks Carlett, you 151 00:06:56,800 --> 00:06:58,840 Speaker 4: know that dagger in the side of it. 152 00:06:58,440 --> 00:07:00,760 Speaker 2: But Lucas, I mean here the thing you know, I 153 00:07:00,760 --> 00:07:03,800 Speaker 2: mean for me? You know you just said success and 154 00:07:03,839 --> 00:07:06,440 Speaker 2: how do you define success? Yes, successful from the perspective 155 00:07:06,440 --> 00:07:09,760 Speaker 2: of the NFL, But I mean pet of Peacock, okay, 156 00:07:09,760 --> 00:07:12,840 Speaker 2: but how can exactly but how long can they continue 157 00:07:12,840 --> 00:07:15,200 Speaker 2: this with this audience? I mean, look, I know NFL's 158 00:07:15,240 --> 00:07:18,600 Speaker 2: the greatest sport on Earth, but you know, content is king. 159 00:07:18,640 --> 00:07:20,320 Speaker 2: I mean, but if you can't find it and people 160 00:07:20,320 --> 00:07:22,400 Speaker 2: are just not happy with the way you're presenting it, 161 00:07:22,400 --> 00:07:23,400 Speaker 2: doesn't that count for something. 162 00:07:23,600 --> 00:07:26,480 Speaker 4: Look, the NFL had I think the best ratings it's 163 00:07:26,480 --> 00:07:29,280 Speaker 4: ever had last year, so it doesn't seem like it's 164 00:07:29,520 --> 00:07:33,000 Speaker 4: hurting interest in the sport all that much, which is 165 00:07:33,080 --> 00:07:37,440 Speaker 4: why the league feels comfortable doing whatever it wants to do. 166 00:07:38,280 --> 00:07:41,440 Speaker 4: There may come a point at which people get frustrated 167 00:07:41,440 --> 00:07:45,480 Speaker 4: by it, and you've seen in less popular sports the 168 00:07:45,920 --> 00:07:49,560 Speaker 4: effort to create these other packages, right like Baseball created 169 00:07:49,560 --> 00:07:52,760 Speaker 4: like Friday Evening with Apple and Sunday Morning, which it 170 00:07:52,800 --> 00:07:55,640 Speaker 4: was initially with Peacock. Now it's on Roku, Like nobody's 171 00:07:55,680 --> 00:08:00,640 Speaker 4: watching that package. Nobody cares. But football, the fandom is 172 00:08:00,680 --> 00:08:02,960 Speaker 4: such that I think they feel they can keep carving 173 00:08:03,000 --> 00:08:05,440 Speaker 4: out these games. There may come a point at which 174 00:08:05,520 --> 00:08:08,200 Speaker 4: people get frustrated by it, but I would argue that 175 00:08:08,200 --> 00:08:10,840 Speaker 4: their media partners are probably going to get frustrated before 176 00:08:11,000 --> 00:08:14,000 Speaker 4: the fans, because the issue becomes if they have a 177 00:08:14,040 --> 00:08:16,480 Speaker 4: bunch of games on services that people don't want to 178 00:08:16,520 --> 00:08:19,880 Speaker 4: sign up for right, But Netflix doesn't feel like that. 179 00:08:20,160 --> 00:08:22,000 Speaker 4: It presents that issue to me because Netflix is a 180 00:08:22,040 --> 00:08:25,520 Speaker 4: service that basically everybody has, and you're gonna have plenty 181 00:08:25,520 --> 00:08:28,160 Speaker 4: of people who open that service on Christmas Day and 182 00:08:28,200 --> 00:08:30,640 Speaker 4: are happy to find football. And it's worth noting. I 183 00:08:30,680 --> 00:08:33,760 Speaker 4: guess we are not hitting the peak in interest right. 184 00:08:33,800 --> 00:08:36,920 Speaker 4: This is creating a new day to watch football, which 185 00:08:36,960 --> 00:08:38,960 Speaker 4: I think for football fans is great. Maybe not for 186 00:08:39,120 --> 00:08:40,319 Speaker 4: other people in their lives. 187 00:08:40,720 --> 00:08:44,120 Speaker 1: Well, see that brings up a problem another. As I said, 188 00:08:44,480 --> 00:08:46,280 Speaker 1: we're going to go back to a lot of fights 189 00:08:46,320 --> 00:08:51,679 Speaker 1: on Christmas because Christmas this year falls on a Wednesday, 190 00:08:52,559 --> 00:08:56,720 Speaker 1: and if you are an out of your mind fantasy 191 00:08:56,840 --> 00:09:00,000 Speaker 1: football nut, you're going to be watching both of those games. 192 00:09:00,200 --> 00:09:03,000 Speaker 1: I can just see Grandma right now, turn that TV 193 00:09:03,280 --> 00:09:06,160 Speaker 1: off and come and eat your dinner. I can see 194 00:09:06,160 --> 00:09:09,079 Speaker 1: this happening. But hey, they're the NFL. 195 00:09:09,160 --> 00:09:13,120 Speaker 4: I think they can get away with doing it. To 196 00:09:13,160 --> 00:09:15,880 Speaker 4: me that the losers in this or the NBA and 197 00:09:16,360 --> 00:09:18,280 Speaker 4: some of the other networks, some of the other networks 198 00:09:18,280 --> 00:09:21,720 Speaker 4: that are mad that they didn't get it. But to 199 00:09:21,760 --> 00:09:23,800 Speaker 4: your point, they picked a couple of good games. The 200 00:09:23,840 --> 00:09:24,720 Speaker 4: audience f it's gonna be. 201 00:09:24,760 --> 00:09:26,600 Speaker 1: Huge that was Grandma falling over? Right? 202 00:09:26,840 --> 00:09:29,560 Speaker 2: Well, yeah right, you know, Lucas, you know, we keep 203 00:09:29,600 --> 00:09:31,760 Speaker 2: saying this, Scarlett said that, you said it, even Michael's 204 00:09:31,760 --> 00:09:33,679 Speaker 2: alluding to it. You know, the NFL can do anything 205 00:09:33,679 --> 00:09:36,720 Speaker 2: it wants, right, And you know, I'm wondering when we 206 00:09:36,760 --> 00:09:39,800 Speaker 2: say the NFL can do anything at wants, who are 207 00:09:39,840 --> 00:09:42,720 Speaker 2: we really talking about? Because I look at for you know, 208 00:09:42,760 --> 00:09:44,840 Speaker 2: the schedule is just released, and who is the odd 209 00:09:44,880 --> 00:09:47,040 Speaker 2: man out is the NFL and by the NFL is 210 00:09:47,040 --> 00:09:48,600 Speaker 2: at Roger Goodell? Is it? 211 00:09:48,720 --> 00:09:48,920 Speaker 4: You know? 212 00:09:48,960 --> 00:09:49,200 Speaker 5: Wayne? 213 00:09:49,480 --> 00:09:52,320 Speaker 2: I mean who are the ownerses of matters? Who who 214 00:09:52,360 --> 00:09:55,480 Speaker 2: makes the decisions here? Who is running the NFL these days? 215 00:09:55,720 --> 00:09:59,439 Speaker 4: Well, Goodell is the commissioner, so he's running the NFL. 216 00:09:59,280 --> 00:10:02,000 Speaker 2: So he picks that Carolina and David Tepper od man at. 217 00:10:01,920 --> 00:10:04,880 Speaker 4: Well that you know, Brian Rolap runs the media business 218 00:10:04,920 --> 00:10:07,280 Speaker 4: and so he's having a lot of those negotiations. And 219 00:10:07,320 --> 00:10:11,040 Speaker 4: then you have obviously they Goodell ultimately serves at the 220 00:10:11,040 --> 00:10:13,040 Speaker 4: whims of the owners, and you have certain owners who 221 00:10:13,080 --> 00:10:16,720 Speaker 4: are more influential and powerful than others, of course, but 222 00:10:16,920 --> 00:10:19,320 Speaker 4: it's a good question. I don't know. I don't know 223 00:10:19,320 --> 00:10:22,240 Speaker 4: who makes the decision to David Tepper's. 224 00:10:22,080 --> 00:10:24,080 Speaker 3: Poor David Tepper. I don't think anyone's ever said those 225 00:10:24,080 --> 00:10:24,720 Speaker 3: words together. 226 00:10:24,840 --> 00:10:27,480 Speaker 4: It would be helpful for him if the team were good, which. 227 00:10:27,320 --> 00:10:28,880 Speaker 2: It's not so exactly. 228 00:10:29,200 --> 00:10:32,679 Speaker 3: So, Lucas, what does this mean for MLB? You mentioned 229 00:10:32,679 --> 00:10:35,600 Speaker 3: that they're working on a partnership with Roku and they 230 00:10:35,600 --> 00:10:38,480 Speaker 3: already had one with another streamer that you know, you 231 00:10:38,520 --> 00:10:41,280 Speaker 3: said nobody cares. Do the other leagues look at this 232 00:10:41,360 --> 00:10:43,920 Speaker 3: and say, this opens up new opportunities for us or 233 00:10:43,960 --> 00:10:45,560 Speaker 3: do they look at this and say, great now the 234 00:10:45,640 --> 00:10:47,400 Speaker 3: NFL is just hgging up everything for itself. 235 00:10:47,520 --> 00:10:51,920 Speaker 4: Well, look, the NFL opening up Netflix as a buyer 236 00:10:52,280 --> 00:10:53,800 Speaker 4: is good news for all the other leagues. 237 00:10:53,880 --> 00:10:54,000 Speaker 1: Right. 238 00:10:54,040 --> 00:10:57,200 Speaker 4: The NBA tried to get Netflix in and its its 239 00:10:57,200 --> 00:10:59,720 Speaker 4: current negotiations, and they had some meetings but it didn't go. 240 00:10:59,760 --> 00:11:01,760 Speaker 3: Very so that's not happening then. 241 00:11:01,880 --> 00:11:04,800 Speaker 4: No, No, the NBA is going to do has a 242 00:11:04,840 --> 00:11:08,240 Speaker 4: deal in place basically with Disney and Amazon. They're negotiating 243 00:11:08,240 --> 00:11:11,440 Speaker 4: with between Comcasts and Warner Brothers Discovery for a third package. 244 00:11:11,520 --> 00:11:16,240 Speaker 4: It's a little fluid, but Netflix is almost certainly not 245 00:11:16,320 --> 00:11:19,560 Speaker 4: gonna have any NBA rights, But the NFL prying that 246 00:11:19,640 --> 00:11:22,439 Speaker 4: open as an option is certainly good for other sports. 247 00:11:22,600 --> 00:11:24,760 Speaker 4: The issue that other sports have relative to the NFL 248 00:11:24,840 --> 00:11:27,760 Speaker 4: is just the NFL has has this scarcity where there 249 00:11:27,760 --> 00:11:30,480 Speaker 4: are only a certain number of games a year and 250 00:11:30,520 --> 00:11:33,520 Speaker 4: they only get played once a week. Baseball. I mean, 251 00:11:33,520 --> 00:11:35,360 Speaker 4: obviously they are multiple games during the week, but each 252 00:11:35,400 --> 00:11:36,880 Speaker 4: team only plays once a week. 253 00:11:36,960 --> 00:11:37,840 Speaker 3: Any given Sunday. 254 00:11:37,840 --> 00:11:41,200 Speaker 4: Idea Baseball's problem. And look, I'm a big baseball fan. 255 00:11:41,240 --> 00:11:43,280 Speaker 4: I care about baseball more than I care about football. 256 00:11:43,520 --> 00:11:48,480 Speaker 4: But they people people play, they're too many games. Yeah, 257 00:11:48,520 --> 00:11:51,640 Speaker 4: you know, I'm a diehard baseball fan, but I don't 258 00:11:51,679 --> 00:11:53,800 Speaker 4: I'm not watching every game this week or when I'm 259 00:11:53,880 --> 00:11:55,720 Speaker 4: when I'm in New York. You know, I follow it 260 00:11:55,920 --> 00:11:58,040 Speaker 4: on my phone. I know the Dodgers lost last night, 261 00:11:58,080 --> 00:12:01,720 Speaker 4: but I'm not needing to walk every game. And so 262 00:12:01,760 --> 00:12:04,440 Speaker 4: the media rights and the value that each game has 263 00:12:04,520 --> 00:12:07,000 Speaker 4: is last I mean, the NFL sold these games to 264 00:12:07,040 --> 00:12:11,920 Speaker 4: Netflix for about seventy five million per regular season game. 265 00:12:12,160 --> 00:12:15,720 Speaker 4: I mean, what would a one baseball game go for? 266 00:12:15,880 --> 00:12:18,120 Speaker 4: Maybe a million dollar, I don't know what the number is. 267 00:12:18,160 --> 00:12:20,520 Speaker 4: But these packages that they've done with the company like Roku, 268 00:12:20,559 --> 00:12:21,680 Speaker 4: they're not huge packages. 269 00:12:21,840 --> 00:12:25,360 Speaker 1: Thank you very much, Luca Shall for joining us here 270 00:12:25,480 --> 00:12:28,120 Speaker 1: on the Bloomberg Business of Sports. We really do appreciate it. 271 00:12:28,200 --> 00:12:29,199 Speaker 4: Yeah, thank you for having me. 272 00:12:29,480 --> 00:12:33,560 Speaker 1: Hey Up. Next on the show, Bloomberg's Ira Boodway joins 273 00:12:33,640 --> 00:12:36,400 Speaker 1: us to tell us how the star power of Caitlin 274 00:12:36,480 --> 00:12:40,160 Speaker 1: Clark has become the business boom for the WNBA had 275 00:12:40,200 --> 00:12:42,480 Speaker 1: a straight ahead on the Bloomberg Business of Sports Show. 276 00:12:42,679 --> 00:12:45,920 Speaker 1: I'm Michael Barr along with Scarlett Food and Damian Safsawerg. 277 00:12:46,040 --> 00:12:57,160 Speaker 1: This is Bloomberg. This is Bloomberg Business of Sports from 278 00:12:57,240 --> 00:13:01,720 Speaker 1: Bloomberg Radio. Welcome back to the Bloomberg Business of Sports Show, 279 00:13:01,760 --> 00:13:03,760 Speaker 1: where we explore the big money issues in the world 280 00:13:03,800 --> 00:13:07,640 Speaker 1: of sports. I'm Michael Barr along with Scarlettfuo and Damian Sasaur. 281 00:13:08,000 --> 00:13:12,800 Speaker 6: The twenty twenty four WNBA drafts number one overall pick 282 00:13:12,840 --> 00:13:14,040 Speaker 6: here to Indianapolis. 283 00:13:14,679 --> 00:13:16,920 Speaker 2: Please welcome Caitland Clark. 284 00:13:17,760 --> 00:13:20,920 Speaker 1: Unless you've been living under a rock, you have certainly 285 00:13:21,000 --> 00:13:24,720 Speaker 1: heard the name. Caitlyn Clark, the all time college basketball 286 00:13:24,840 --> 00:13:28,400 Speaker 1: leading scorer for both men and women's college hoops and 287 00:13:28,600 --> 00:13:32,160 Speaker 1: number one overall pick in this year's draft, is already 288 00:13:32,160 --> 00:13:36,000 Speaker 1: making her mark in the WNBA on and off the court. 289 00:13:36,320 --> 00:13:40,640 Speaker 1: Ticket sales way up, viewership, way up. She was on 290 00:13:40,720 --> 00:13:44,760 Speaker 1: Saturday Night Live. Celebrities are talking about her, and players 291 00:13:44,800 --> 00:13:49,000 Speaker 1: are traveling on chartered flights. As our Ira Budway puts it, 292 00:13:49,200 --> 00:13:52,760 Speaker 1: the Caitland Clark effect is real. So joining us now 293 00:13:52,800 --> 00:13:56,440 Speaker 1: to discuss the Caitland Clark effect is Bloomberg News Business 294 00:13:56,520 --> 00:13:59,320 Speaker 1: of Sports reporter Ira Budway. Iirah, thank you, sir for 295 00:13:59,360 --> 00:14:01,160 Speaker 1: joining us on the bl Business and Sports. 296 00:14:01,280 --> 00:14:02,000 Speaker 4: Thanks for having me. 297 00:14:02,240 --> 00:14:04,960 Speaker 1: She's the one that they are always going to after 298 00:14:05,000 --> 00:14:08,640 Speaker 1: the game for right now, but as time progresses and 299 00:14:08,800 --> 00:14:12,760 Speaker 1: the WNBA season is young, we're going to see more 300 00:14:12,760 --> 00:14:14,120 Speaker 1: of her and she's going to be back in her 301 00:14:14,120 --> 00:14:15,880 Speaker 1: group when she was back in college. 302 00:14:16,480 --> 00:14:17,199 Speaker 4: Yeah, I think so. 303 00:14:17,240 --> 00:14:20,520 Speaker 6: I think everyone says that she's the real deal, that 304 00:14:20,560 --> 00:14:23,400 Speaker 6: it's not just hype. And I don't think you, you know, 305 00:14:23,480 --> 00:14:26,000 Speaker 6: are the all time leading scorer in college and the 306 00:14:26,040 --> 00:14:29,440 Speaker 6: all time leading three point shooter in college if you 307 00:14:29,440 --> 00:14:32,960 Speaker 6: don't have some real talent, So, you know, I think 308 00:14:33,360 --> 00:14:36,840 Speaker 6: where the ceiling is remains to be seen, but the 309 00:14:36,920 --> 00:14:37,760 Speaker 6: floor is high. 310 00:14:37,880 --> 00:14:40,240 Speaker 3: A lot has been made about how much money she's 311 00:14:40,360 --> 00:14:44,480 Speaker 3: potentially giving up by moving from college sports college basketball 312 00:14:44,520 --> 00:14:48,680 Speaker 3: to the professional league's the WNBA, because of the rookie salary, 313 00:14:48,680 --> 00:14:51,520 Speaker 3: the first year salary for players. Why is this a 314 00:14:51,560 --> 00:14:53,760 Speaker 3: red herring? Why is this not the real story? 315 00:14:54,280 --> 00:14:57,560 Speaker 6: Well, you know, it's interesting because of course pay in 316 00:14:57,680 --> 00:15:01,480 Speaker 6: college doesn't come from your school, at least not technically, right. 317 00:15:02,040 --> 00:15:04,000 Speaker 6: Any money you're going to get in college is basically 318 00:15:04,040 --> 00:15:07,040 Speaker 6: a marketing agreement of sponsorship deal. They call it nil 319 00:15:07,280 --> 00:15:09,480 Speaker 6: name image likeness at the college level, but it's really 320 00:15:09,480 --> 00:15:12,400 Speaker 6: the same thing at the professional level. So Caitlin Clark 321 00:15:12,480 --> 00:15:15,480 Speaker 6: was making millions as a player with the Iowhawkeyes. She's 322 00:15:15,520 --> 00:15:17,560 Speaker 6: going to continue to make millions as a player in 323 00:15:17,560 --> 00:15:20,680 Speaker 6: the WNBA. It's just that most of that money will 324 00:15:20,720 --> 00:15:25,760 Speaker 6: come from her marketing partners, Nike, Gatorade, and so forth. 325 00:15:25,880 --> 00:15:29,640 Speaker 6: State Farm. She's not taking a pay cut as some suggested, 326 00:15:29,720 --> 00:15:33,760 Speaker 6: But it is true that her salary with the Indiana 327 00:15:33,800 --> 00:15:36,920 Speaker 6: Fever is really small. It's about seventy six thousand dollars. 328 00:15:37,320 --> 00:15:39,520 Speaker 2: So all right, let's talk a little bit about Caitlin 329 00:15:39,560 --> 00:15:42,400 Speaker 2: Clark's impact on sports gambling, because when she was with 330 00:15:42,440 --> 00:15:44,760 Speaker 2: the Hawkeyes, if I'm not mistaken, one of the statistics 331 00:15:44,760 --> 00:15:47,400 Speaker 2: in front of me, the amount of gambling that went 332 00:15:47,440 --> 00:15:51,240 Speaker 2: on on the Iowahawkeyes on Caitlin Clark on their team 333 00:15:51,280 --> 00:15:54,640 Speaker 2: to win, etc. Was through the roof. Are we seeing 334 00:15:55,120 --> 00:15:58,520 Speaker 2: some similarities now that she's moved to the WNBA into 335 00:15:58,520 --> 00:15:59,560 Speaker 2: the Indiana Fever. 336 00:16:00,120 --> 00:16:03,440 Speaker 6: Yeah, I mean I got a pitch from a gambling 337 00:16:03,440 --> 00:16:06,680 Speaker 6: house to handle the amount bet on her first game 338 00:16:07,120 --> 00:16:10,160 Speaker 6: was the most ever for WNBA wo they'd seen, And 339 00:16:10,200 --> 00:16:13,040 Speaker 6: I think that's just one more indicator of the interest 340 00:16:13,080 --> 00:16:16,440 Speaker 6: that she drives. So you see it in ticket sales, 341 00:16:16,800 --> 00:16:19,400 Speaker 6: you know, for the Indiana Fever, they're going from about 342 00:16:19,400 --> 00:16:23,080 Speaker 6: four thousand people attending per game to they think capacity 343 00:16:23,080 --> 00:16:26,960 Speaker 6: crowds probably about seventeen thousand for most games. And you 344 00:16:27,000 --> 00:16:30,440 Speaker 6: see it in ratings, you know, she drew millions to 345 00:16:30,560 --> 00:16:34,880 Speaker 6: watch Hawkeyes games, way above what the records had been before. 346 00:16:35,440 --> 00:16:38,040 Speaker 6: You see it in merchandise. Dick's Sporting Goods is selling 347 00:16:38,320 --> 00:16:42,360 Speaker 6: her gear nationwide, which they've never done for WNBA player before. 348 00:16:42,440 --> 00:16:45,280 Speaker 6: So betting is just one more way in which people 349 00:16:45,480 --> 00:16:48,440 Speaker 6: follow her more than they ever have a women's basketball player. 350 00:16:48,520 --> 00:16:51,160 Speaker 2: Well, right, let's just crystallize this for the sharps out there. 351 00:16:51,240 --> 00:16:54,800 Speaker 2: I'm looking at the odds to win the WNBA MVP 352 00:16:55,000 --> 00:16:58,120 Speaker 2: this year, right, and obviously I Wilson of the Las 353 00:16:58,480 --> 00:17:01,520 Speaker 2: Vegas Aces, she's the chance up bringing champion. The Libby's 354 00:17:01,520 --> 00:17:05,040 Speaker 2: Brianna Stewart is second, but then Caitlyn Clark number is 355 00:17:05,200 --> 00:17:08,240 Speaker 2: third at plus nine hundred. Are we seeing maybe the 356 00:17:08,280 --> 00:17:10,520 Speaker 2: fact that people are getting a little too hyped up 357 00:17:10,560 --> 00:17:13,000 Speaker 2: with Caitlyn Clark for her to be in third for 358 00:17:13,040 --> 00:17:15,919 Speaker 2: the MVP running in this year's I mean, is is 359 00:17:15,960 --> 00:17:19,040 Speaker 2: that realistic? Is that logical? Does that make any sense 360 00:17:19,080 --> 00:17:19,879 Speaker 2: in the world we live in? 361 00:17:19,920 --> 00:17:20,320 Speaker 1: I don't know. 362 00:17:20,680 --> 00:17:22,280 Speaker 6: I think it's you know, you would see this with 363 00:17:22,320 --> 00:17:25,320 Speaker 6: Tiger Woods whenever you see a sort of transcendent figure 364 00:17:25,359 --> 00:17:28,960 Speaker 6: in sports, and she's been compared to Tiger Woods. Michael 365 00:17:29,000 --> 00:17:31,359 Speaker 6: Jordan's so great for the books, Yeah, yeah, great for 366 00:17:31,440 --> 00:17:34,200 Speaker 6: the great interest in betting on her. You know people 367 00:17:34,240 --> 00:17:37,680 Speaker 6: are gonna probably yeah squares are going to take that bet, 368 00:17:38,080 --> 00:17:41,760 Speaker 6: but who knows. I mean, her talent is pretty pretty. 369 00:17:41,480 --> 00:17:44,320 Speaker 3: Amazing, and her arrival on the scene at the WNBA 370 00:17:44,640 --> 00:17:47,680 Speaker 3: is perfect timing because this is a league that has 371 00:17:47,720 --> 00:17:50,760 Speaker 3: done better, but let's face it is still kind of struggling. 372 00:17:50,960 --> 00:17:54,520 Speaker 3: They get to renegotiate their media rights fairly soon after 373 00:17:54,680 --> 00:17:57,919 Speaker 3: Caitlin Clark's arrival. But and it's not clear what's going 374 00:17:57,960 --> 00:18:00,760 Speaker 3: to happen with player salaries either, but they definitely needed 375 00:18:00,760 --> 00:18:02,080 Speaker 3: a shot in the arm and they got it with 376 00:18:02,160 --> 00:18:05,000 Speaker 3: Kaitlin Clark. Tell us a little bit about the economics 377 00:18:05,040 --> 00:18:05,960 Speaker 3: of the WNBA. 378 00:18:06,359 --> 00:18:08,240 Speaker 6: Yeah, I mean, she comes along at a really critical 379 00:18:08,280 --> 00:18:11,359 Speaker 6: moment and I think arguably a perfect moment for the league, 380 00:18:11,400 --> 00:18:15,160 Speaker 6: which has been trying to sort of raise its profile 381 00:18:15,240 --> 00:18:18,600 Speaker 6: over the last few years. They raised money, took in 382 00:18:18,640 --> 00:18:22,879 Speaker 6: outside investors for seventy five million worth of investment to 383 00:18:22,960 --> 00:18:26,800 Speaker 6: kind of increase their marketing presence, and they are in 384 00:18:26,840 --> 00:18:29,280 Speaker 6: the process now of negotiating some of their major media 385 00:18:29,320 --> 00:18:31,240 Speaker 6: rights deals, which is the main source of revenue. The 386 00:18:31,600 --> 00:18:34,000 Speaker 6: rest they'll do over the next eighteen months or so. 387 00:18:34,520 --> 00:18:36,720 Speaker 6: At the same time, they will in all likelihood be 388 00:18:37,160 --> 00:18:39,240 Speaker 6: at the table with their players for the next collective 389 00:18:39,280 --> 00:18:43,560 Speaker 6: bargaining agreement sometime over the next eighteen months. So it's 390 00:18:43,600 --> 00:18:47,359 Speaker 6: all happening in the context of Caitlin Clark's arrival, which 391 00:18:47,720 --> 00:18:49,760 Speaker 6: you know, should raise the price for the media rates 392 00:18:50,000 --> 00:18:52,680 Speaker 6: and provide leverage to the players to get a better 393 00:18:52,680 --> 00:18:53,920 Speaker 6: pay package this time around. 394 00:18:54,000 --> 00:18:55,560 Speaker 2: Well, Rick, can you talk a little bit more about 395 00:18:55,560 --> 00:18:57,880 Speaker 2: the CBA, because I thought that they struck a new 396 00:18:57,920 --> 00:19:01,000 Speaker 2: CBA in jen of twenty twenty with an eight year deal, 397 00:19:01,040 --> 00:19:04,040 Speaker 2: So is that up in the next is that being changed? 398 00:19:04,080 --> 00:19:06,760 Speaker 6: There's an option for the players at the end of 399 00:19:06,800 --> 00:19:09,399 Speaker 6: this season to opt out and make next season the 400 00:19:09,440 --> 00:19:11,439 Speaker 6: final season, so they would basically spend next. 401 00:19:11,400 --> 00:19:12,439 Speaker 2: Year they're definitely going to do. 402 00:19:12,480 --> 00:19:14,560 Speaker 6: They will do, Yeah, I mean, I think that's every 403 00:19:14,600 --> 00:19:17,119 Speaker 6: indication is that they will. I think, especially with the 404 00:19:17,280 --> 00:19:20,480 Speaker 6: interest that we're seeing now and with the fact that 405 00:19:20,520 --> 00:19:23,120 Speaker 6: these new media rights deals will be in large part 406 00:19:23,240 --> 00:19:26,840 Speaker 6: known quantities by then, and I think the players feel 407 00:19:27,160 --> 00:19:29,640 Speaker 6: that they didn't really get the best deal last time around. 408 00:19:30,480 --> 00:19:33,560 Speaker 6: There were some incentives baked into that CBA that were 409 00:19:33,840 --> 00:19:36,639 Speaker 6: revenue sharing targets, and they never hit them, so they 410 00:19:36,680 --> 00:19:37,680 Speaker 6: never saw penny of that. 411 00:19:37,880 --> 00:19:40,040 Speaker 2: Well, I mean, these players clearly weren't happy because they're 412 00:19:40,080 --> 00:19:43,600 Speaker 2: playing in places like Italy, Russia, Britney Griner, right, I mean, 413 00:19:43,640 --> 00:19:46,280 Speaker 2: they still have to go abroad in order to get 414 00:19:46,280 --> 00:19:47,480 Speaker 2: compensated fairly. 415 00:19:47,480 --> 00:19:49,560 Speaker 3: Or do they? Or do they? Because there's something in 416 00:19:49,600 --> 00:19:52,639 Speaker 3: the WNBA's twenty twenty Collective Bargaining Agreement that kind of 417 00:19:52,680 --> 00:19:55,200 Speaker 3: addresses that yeah, So they created. 418 00:19:54,840 --> 00:19:58,240 Speaker 6: These what they call marketing agreements or league marketing program 419 00:19:58,320 --> 00:20:02,399 Speaker 6: where some players can stick around. The league kind of 420 00:20:02,520 --> 00:20:05,800 Speaker 6: picks a few stars basically, and what you have to 421 00:20:05,840 --> 00:20:08,800 Speaker 6: do to get this extra money is don't go overseas 422 00:20:08,840 --> 00:20:11,160 Speaker 6: to play. You stick around and train during the offseason, 423 00:20:11,160 --> 00:20:15,679 Speaker 6: and you make appearances for league sponsors, Google, Carmas, so forth, 424 00:20:16,119 --> 00:20:19,639 Speaker 6: and you can make on top of your salary, you 425 00:20:19,680 --> 00:20:23,960 Speaker 6: can make another two hundred and fifty thousand. So there's 426 00:20:24,000 --> 00:20:26,240 Speaker 6: a few different incentives they've baked in to try to 427 00:20:26,280 --> 00:20:28,600 Speaker 6: get players to help grow the league. So the league 428 00:20:28,600 --> 00:20:31,119 Speaker 6: will tell you, like if the top top players can 429 00:20:31,160 --> 00:20:33,359 Speaker 6: make like half a million a year all in, so, 430 00:20:33,359 --> 00:20:36,040 Speaker 6: it's not as bad as the seventy six thousand rookie 431 00:20:36,080 --> 00:20:39,199 Speaker 6: salary for Kaitlin Clark makes it look, but it's still 432 00:20:39,359 --> 00:20:43,400 Speaker 6: not millions, which you might expect for elite professional athletes. 433 00:20:43,520 --> 00:20:45,199 Speaker 2: Now, Hira, let me ask you this. I know that 434 00:20:45,280 --> 00:20:48,800 Speaker 2: the NBA's package their TV rights are coming up, as 435 00:20:48,840 --> 00:20:51,160 Speaker 2: we know what's the deal with the WNBA. Do they 436 00:20:51,200 --> 00:20:53,800 Speaker 2: piggyback off the NBA's efforts there, Do they have their 437 00:20:53,800 --> 00:20:56,400 Speaker 2: own negotiations that take place, and when do those come 438 00:20:56,800 --> 00:20:57,240 Speaker 2: come up. 439 00:20:57,400 --> 00:20:58,080 Speaker 4: It's a hybrid. 440 00:20:58,280 --> 00:21:02,000 Speaker 6: So the biggest partner that the WNBA has is ESPN 441 00:21:02,119 --> 00:21:05,719 Speaker 6: and that was bundled in with ESPN's big deal with 442 00:21:05,800 --> 00:21:09,439 Speaker 6: the NBA, which kicked in in twenty sixteen. That is 443 00:21:09,480 --> 00:21:12,080 Speaker 6: on the table right now. Every indications are ESPN's going 444 00:21:12,119 --> 00:21:15,040 Speaker 6: to renew and that the WNBA will be included in that. 445 00:21:16,160 --> 00:21:19,680 Speaker 6: And then there's also reporting by US and others that 446 00:21:20,119 --> 00:21:22,680 Speaker 6: Amazon is going to get an NBA package this time 447 00:21:22,720 --> 00:21:26,680 Speaker 6: around for Amazon Prime. Amazon Prime already has WNBA games, 448 00:21:26,760 --> 00:21:29,639 Speaker 6: they're separate package, so it looks like they're going to 449 00:21:29,720 --> 00:21:33,280 Speaker 6: add to their WNBA inventory in this bigger deal with 450 00:21:33,359 --> 00:21:36,959 Speaker 6: the NBA. And then there are a couple other deals 451 00:21:37,040 --> 00:21:39,879 Speaker 6: that the WNBA will do on their own over you know, 452 00:21:39,920 --> 00:21:42,080 Speaker 6: that expire in twenty twenty five, so they'll have the 453 00:21:42,160 --> 00:21:45,040 Speaker 6: chance to redo those as well. So it's a mix 454 00:21:45,080 --> 00:21:47,400 Speaker 6: of both. They have four partners. At the moment, they 455 00:21:47,400 --> 00:21:51,359 Speaker 6: bring in about sixty million a year in media rights, 456 00:21:51,400 --> 00:21:55,120 Speaker 6: and Kathy Engelbert, the WNBA commissioner, has said she wants 457 00:21:55,160 --> 00:21:56,159 Speaker 6: to double that number. 458 00:21:56,440 --> 00:21:58,960 Speaker 3: And of course inventory is only going to increase because 459 00:21:59,040 --> 00:22:01,680 Speaker 3: the league just added a new team, the Golden State, 460 00:22:01,960 --> 00:22:05,760 Speaker 3: newly named Valkyries, and the talk is that Toronto will 461 00:22:05,800 --> 00:22:08,360 Speaker 3: get a team in the coming years as well. The 462 00:22:08,480 --> 00:22:12,120 Speaker 3: WNBA at one point did expand, but it expanded too 463 00:22:12,280 --> 00:22:15,239 Speaker 3: rapidly and that proved to be well, it was kind 464 00:22:15,280 --> 00:22:17,879 Speaker 3: of painful and it led to a shrinking of the league. 465 00:22:17,920 --> 00:22:20,639 Speaker 3: So walk us through how the WNBA is going to 466 00:22:20,640 --> 00:22:22,880 Speaker 3: move forward with this expansion now, Yeah. 467 00:22:22,720 --> 00:22:25,400 Speaker 6: I mean the goal, according to Engelbert, is twenty four. 468 00:22:25,440 --> 00:22:27,439 Speaker 6: So they're at twelve teams now that they're peak they 469 00:22:27,440 --> 00:22:32,000 Speaker 6: were sixteen. They want to get to twenty four teams 470 00:22:32,280 --> 00:22:35,680 Speaker 6: over the next decade, which I think makes sense. I mean, 471 00:22:35,720 --> 00:22:37,840 Speaker 6: the way Engelbert puts it is, we've got a country 472 00:22:37,840 --> 00:22:40,920 Speaker 6: of three hundred million people. Twelve teams is just not enough. 473 00:22:41,440 --> 00:22:44,480 Speaker 6: And you're right, it adds inventory of all sorts, and 474 00:22:44,840 --> 00:22:48,160 Speaker 6: those teams not all of them are owned by NBA owners. 475 00:22:48,240 --> 00:22:52,280 Speaker 6: Some of them are independently owned. So I think they 476 00:22:52,320 --> 00:22:54,800 Speaker 6: can get there. I mean, with Toronto and Golden State 477 00:22:54,840 --> 00:22:59,520 Speaker 6: coming on. If you see momentum continue from where we 478 00:22:59,520 --> 00:23:02,040 Speaker 6: are now, which is certainly the level starting this season 479 00:23:02,080 --> 00:23:04,359 Speaker 6: is higher than it's ever been. I don't think twenty 480 00:23:04,400 --> 00:23:05,840 Speaker 6: four is an unreasonable target. 481 00:23:05,960 --> 00:23:08,680 Speaker 2: So got the Angelbert. Her role right as the head 482 00:23:08,680 --> 00:23:11,280 Speaker 2: of the NBA is not necessarily to do what's in 483 00:23:11,280 --> 00:23:13,600 Speaker 2: the best interest of the players. She represents the owners right, 484 00:23:13,840 --> 00:23:16,800 Speaker 2: and so she represents you know, the business building of 485 00:23:16,800 --> 00:23:20,200 Speaker 2: the WNBA, building franchise value, you know, dealing with these 486 00:23:20,240 --> 00:23:24,120 Speaker 2: media companies. With all of that. Talk to us about 487 00:23:24,320 --> 00:23:26,720 Speaker 2: the job she's doing. I mean, what's the sense from 488 00:23:26,800 --> 00:23:29,400 Speaker 2: ownership and that, for that matter, from the players. I mean, 489 00:23:29,640 --> 00:23:31,560 Speaker 2: did they respect her? Is she doing a good job 490 00:23:31,560 --> 00:23:34,320 Speaker 2: in that seat? Has she fulfilled her obligation? Is she 491 00:23:34,400 --> 00:23:38,320 Speaker 2: increasing not only the awareness but the franchise value of 492 00:23:38,359 --> 00:23:39,160 Speaker 2: these teams era? 493 00:23:39,720 --> 00:23:42,600 Speaker 6: I mean we have seen deals. The Seattle Storm sold 494 00:23:42,680 --> 00:23:45,120 Speaker 6: a chunk of their revenue not too long ago at 495 00:23:45,119 --> 00:23:48,320 Speaker 6: a record price for the WNBA. So from that perspective, 496 00:23:48,359 --> 00:23:51,119 Speaker 6: I think owners can feel like things are going in 497 00:23:51,160 --> 00:23:51,840 Speaker 6: the right direction. 498 00:23:53,280 --> 00:23:53,800 Speaker 4: Players. 499 00:23:53,840 --> 00:23:57,360 Speaker 6: It's really tricky because it's just this question of do 500 00:23:57,440 --> 00:24:01,200 Speaker 6: you invest right. Leagues lose money, startup leagues lose money. 501 00:24:01,280 --> 00:24:03,440 Speaker 6: The NFL lost money for a long time, Major League 502 00:24:03,440 --> 00:24:05,400 Speaker 6: Baseball lost money for a long time, the NBA lost 503 00:24:05,440 --> 00:24:06,919 Speaker 6: money for a long time. There are still teams that 504 00:24:06,960 --> 00:24:09,840 Speaker 6: lose money to this day. So it's not like a 505 00:24:09,920 --> 00:24:14,119 Speaker 6: highly profitable enterprise necessarily at least until you get way 506 00:24:14,240 --> 00:24:18,400 Speaker 6: into developing the long term allegiances that are the lifeblood 507 00:24:18,400 --> 00:24:21,080 Speaker 6: of sports. So the players can argue, look, you have 508 00:24:21,119 --> 00:24:24,560 Speaker 6: to invest in us now right, and then it will 509 00:24:24,600 --> 00:24:27,400 Speaker 6: be what you wanted to be later. And you see 510 00:24:27,400 --> 00:24:31,119 Speaker 6: this played out recently with charter flights. So the league 511 00:24:31,200 --> 00:24:34,480 Speaker 6: did not have the players flew commercial between games until 512 00:24:34,520 --> 00:24:37,040 Speaker 6: this year. And you saw it for Caitlin Clark's first 513 00:24:37,119 --> 00:24:39,960 Speaker 6: preseason game. It was a news story her at the 514 00:24:39,960 --> 00:24:42,640 Speaker 6: baggage carousel, the person who sat in the same row 515 00:24:42,680 --> 00:24:46,120 Speaker 6: with her, talking to local news reporters. And then like 516 00:24:46,280 --> 00:24:48,399 Speaker 6: four days later, Kathy Engelbert came out and said, we're 517 00:24:48,440 --> 00:24:50,000 Speaker 6: going to get charter flights as soon as we can 518 00:24:50,000 --> 00:24:52,159 Speaker 6: get them set up in Delta. They stepped up as 519 00:24:52,160 --> 00:24:54,560 Speaker 6: a partner to fund this. It's like twenty five million 520 00:24:54,600 --> 00:24:57,000 Speaker 6: a year to do. They'd been really hesitant to do 521 00:24:57,040 --> 00:24:59,000 Speaker 6: it because they didn't the owners were like, how can 522 00:24:59,040 --> 00:25:02,240 Speaker 6: we keep stomaching costs if we're not bringing in the revenue. 523 00:25:02,480 --> 00:25:05,520 Speaker 6: So that balancing act of what comes first is what 524 00:25:05,640 --> 00:25:08,119 Speaker 6: she's working with now. And I think what happens is 525 00:25:08,119 --> 00:25:11,600 Speaker 6: Clark accelerates both the revenue the corporate partners and the 526 00:25:11,600 --> 00:25:13,360 Speaker 6: pressure to pay the players. 527 00:25:13,640 --> 00:25:17,000 Speaker 1: Be in Global Business of Sports reporter Ira wood Way, 528 00:25:17,359 --> 00:25:19,000 Speaker 1: thank you again, man, appreciate it. 529 00:25:19,040 --> 00:25:19,359 Speaker 4: Thank you. 530 00:25:19,560 --> 00:25:22,199 Speaker 1: Up Next, we stay on the topic of the WNBA 531 00:25:22,320 --> 00:25:26,000 Speaker 1: and speak to the president of the league's newest expansion team, 532 00:25:26,320 --> 00:25:30,200 Speaker 1: the Golden State, al Kyries. Jess Smith joins us on 533 00:25:30,240 --> 00:25:33,000 Speaker 1: the other side. That's straight ahead on the Bloomberg Business 534 00:25:33,040 --> 00:25:35,679 Speaker 1: of Sports. I'm Michael Barr along with Scarlett Fooh and 535 00:25:35,880 --> 00:25:40,200 Speaker 1: Damian Sassaur. You're listening to the Bloomberg Business of Sports 536 00:25:40,440 --> 00:25:50,400 Speaker 1: on Bloomberg Radio around the world. This is Bloomberg Business 537 00:25:50,400 --> 00:25:55,119 Speaker 1: of Sports from Bloomberg Radio. This is Bloomberg Business of 538 00:25:55,200 --> 00:25:58,080 Speaker 1: Sports where we explore where the big money issues in 539 00:25:58,080 --> 00:26:00,359 Speaker 1: the world of sports. I'm Michael Barr along with Garlett 540 00:26:00,400 --> 00:26:05,119 Speaker 1: foo and Damian Sasaur. Today I learned what a valkyrie is. 541 00:26:05,760 --> 00:26:11,120 Speaker 1: It's a strong, bold, and fierce female goddess who work 542 00:26:11,200 --> 00:26:15,719 Speaker 1: together to guide fallen warriors. That's according to Nordic folklore. 543 00:26:16,000 --> 00:26:18,520 Speaker 1: But now they have come to the Bay Area as 544 00:26:18,560 --> 00:26:24,040 Speaker 1: the WNBA last Tuesday announced that the league's thirteenth expansion 545 00:26:24,080 --> 00:26:27,080 Speaker 1: team there first since two thousand and eight the Golden 546 00:26:27,119 --> 00:26:31,080 Speaker 1: State Valkyries, with the team's inaugural season tipping off next year. 547 00:26:31,280 --> 00:26:34,280 Speaker 1: So joining us to discuss is the president of the team, 548 00:26:34,720 --> 00:26:39,040 Speaker 1: Jess Smith. Jess, welcome to the Bloomberg Business of Sports 549 00:26:39,080 --> 00:26:40,639 Speaker 1: and congratulations. 550 00:26:40,960 --> 00:26:43,600 Speaker 5: Thank you so much. That intro is pretty epic. I 551 00:26:43,640 --> 00:26:45,040 Speaker 5: need you to do that. Every time I walk. 552 00:26:44,880 --> 00:26:48,320 Speaker 1: Into a room this called me, I'll put it on tape, 553 00:26:48,440 --> 00:26:52,720 Speaker 1: nil War, I'll do it for you. Well, this is, 554 00:26:53,200 --> 00:26:56,040 Speaker 1: first of all, again this is a big, big move, 555 00:26:56,080 --> 00:27:00,240 Speaker 1: and it's like the WNBA expanding. You know, this is 556 00:27:00,320 --> 00:27:04,600 Speaker 1: another sign that the WNBA there's a lot of money 557 00:27:04,640 --> 00:27:05,440 Speaker 1: to be made there. 558 00:27:05,600 --> 00:27:08,119 Speaker 5: That's exactly right, you know, this moment of expansion and 559 00:27:08,200 --> 00:27:10,680 Speaker 5: also an expansion through Golden State, through the Bay Area 560 00:27:10,720 --> 00:27:13,160 Speaker 5: and how we're going to build This is a pivotal 561 00:27:13,160 --> 00:27:15,840 Speaker 5: moment for the WNBA. You know, there's been tremendous growth 562 00:27:15,920 --> 00:27:18,840 Speaker 5: over the years, but what we're seeing right now is 563 00:27:18,880 --> 00:27:22,919 Speaker 5: a trajectory of speed like no one anticipated, and we 564 00:27:22,960 --> 00:27:25,480 Speaker 5: are definitely going to lean into that. I think the 565 00:27:25,520 --> 00:27:28,320 Speaker 5: other really incredible thing is that, yes, we are the 566 00:27:28,359 --> 00:27:31,040 Speaker 5: first expansion team since two thousand and eight, but we're 567 00:27:31,040 --> 00:27:33,480 Speaker 5: not the last the commissioner has come out and shared 568 00:27:33,520 --> 00:27:36,080 Speaker 5: that there will be many more coming, you know, and 569 00:27:36,280 --> 00:27:38,520 Speaker 5: we'll stay tuned to her for those extra details. But 570 00:27:38,640 --> 00:27:40,760 Speaker 5: the reality is there's no slowing down. 571 00:27:40,920 --> 00:27:44,480 Speaker 3: There's no slowing down. The team was announced as the 572 00:27:44,480 --> 00:27:48,080 Speaker 3: thirteenth WIBA franchise back in October, and this week you 573 00:27:48,200 --> 00:27:51,800 Speaker 3: unveiled the team's brand identity. Michael Barr said it it's 574 00:27:51,840 --> 00:27:54,760 Speaker 3: the Golden State Valkyries. Although I can't quite say the 575 00:27:54,760 --> 00:27:57,239 Speaker 3: way that you said at Michael Barr, can you give 576 00:27:57,320 --> 00:27:59,760 Speaker 3: us a little bit of background here on what was 577 00:27:59,800 --> 00:28:04,080 Speaker 3: the thinking behind the Valkyries and this being a Bay 578 00:28:04,119 --> 00:28:07,280 Speaker 3: Area team? Of course, you tapped your fan base for 579 00:28:07,520 --> 00:28:11,080 Speaker 3: suggestions for the team through social media for instance. 580 00:28:11,359 --> 00:28:14,400 Speaker 5: Yeah, I mean, first and foremost, being the thirteenth expansion 581 00:28:14,480 --> 00:28:16,919 Speaker 5: team is a big deal and we take it with 582 00:28:16,960 --> 00:28:19,439 Speaker 5: a great responsibility. And the fact that it is the 583 00:28:19,440 --> 00:28:22,280 Speaker 5: Bay Area for us is something that we wanted to 584 00:28:22,320 --> 00:28:24,720 Speaker 5: lean into. When you think of the Bay Area inside 585 00:28:24,800 --> 00:28:26,879 Speaker 5: and outside of it, you know, it's the place where 586 00:28:26,920 --> 00:28:31,000 Speaker 5: being progressive and innovative, you know, is part of the 587 00:28:31,040 --> 00:28:34,760 Speaker 5: everyday culture there and often leading the world in making 588 00:28:34,800 --> 00:28:37,840 Speaker 5: the impossible possible. From what we thought and so that 589 00:28:38,200 --> 00:28:42,080 Speaker 5: culture of the Bay and coupled with making that something 590 00:28:42,120 --> 00:28:45,880 Speaker 5: that's a nod to the Golden State basketball culture really 591 00:28:45,960 --> 00:28:49,200 Speaker 5: came to the top, not only internally as a consideration 592 00:28:49,280 --> 00:28:52,440 Speaker 5: with the Valkyries, but the earliest of days there was 593 00:28:52,680 --> 00:28:54,400 Speaker 5: to what you were saying. We actually went out to 594 00:28:54,440 --> 00:28:57,400 Speaker 5: market and we said, hey, can you write in your 595 00:28:57,720 --> 00:28:59,719 Speaker 5: answers for And we did this through a local newspaper, 596 00:28:59,800 --> 00:29:01,960 Speaker 5: Thisrancisco Chronicle, can you write in what the team should 597 00:29:02,000 --> 00:29:04,840 Speaker 5: be called? Not a multiple choice, not anything, And twenty 598 00:29:04,880 --> 00:29:08,920 Speaker 5: five percent of fans said the Valkyrise. So this name 599 00:29:08,960 --> 00:29:11,120 Speaker 5: has been out there for a while, and I truly 600 00:29:11,160 --> 00:29:15,400 Speaker 5: believe the reason is not only is it an incredibly 601 00:29:15,400 --> 00:29:19,240 Speaker 5: strong female warrior that can fly and swim, but it's 602 00:29:19,240 --> 00:29:22,280 Speaker 5: somebody that travels together. And what we're seeing in women's 603 00:29:22,320 --> 00:29:26,560 Speaker 5: sports right now is the imperative nature of doing this together, 604 00:29:26,640 --> 00:29:31,120 Speaker 5: whether it's fans, sponsors, media, everyone, and you know, as 605 00:29:31,120 --> 00:29:34,320 Speaker 5: that ecosystem continues to spin, that's where you're seeing this 606 00:29:34,400 --> 00:29:36,560 Speaker 5: forward trajectory. You know that's going to get us to 607 00:29:36,600 --> 00:29:38,440 Speaker 5: a more equitable world through sport. 608 00:29:38,600 --> 00:29:38,840 Speaker 4: Jess. 609 00:29:38,880 --> 00:29:42,680 Speaker 2: The inaugural WNBA season tipped off back in nineteen ninety 610 00:29:42,760 --> 00:29:46,080 Speaker 2: seven June of nineteen ninety seven. You mentioned previously that 611 00:29:46,200 --> 00:29:48,600 Speaker 2: you know, this is the first expansion franchise since the 612 00:29:48,640 --> 00:29:51,880 Speaker 2: Atlantic Dream in two two thousand and eight. My question 613 00:29:52,000 --> 00:29:54,400 Speaker 2: for you is what took it so long? Right? Is 614 00:29:54,400 --> 00:29:57,960 Speaker 2: this just a byproduct of the Caitlin Clark fever that's 615 00:29:58,040 --> 00:30:00,920 Speaker 2: gripping you know, women's basketball, or there's something deeper going 616 00:30:00,960 --> 00:30:01,320 Speaker 2: on here. 617 00:30:01,360 --> 00:30:03,320 Speaker 5: There's a lot of things that are deeper going on, 618 00:30:03,360 --> 00:30:06,120 Speaker 5: and that's with no disrespect to the phenom that is 619 00:30:06,200 --> 00:30:08,520 Speaker 5: Caitlin Clark and everything that she brings to the game 620 00:30:08,640 --> 00:30:12,160 Speaker 5: alongside so many But when you really reflect back, this 621 00:30:12,200 --> 00:30:15,800 Speaker 5: starts with title nine. You know, my generation, we thought 622 00:30:15,800 --> 00:30:18,840 Speaker 5: it was normal to see women playing sports in college, 623 00:30:18,880 --> 00:30:21,200 Speaker 5: and prior to that that wasn't the case. You know, 624 00:30:21,360 --> 00:30:24,520 Speaker 5: so exposure to sport, continuation of sport, and so forth 625 00:30:24,880 --> 00:30:26,320 Speaker 5: has been in motion for a long time. 626 00:30:26,440 --> 00:30:26,600 Speaker 1: You know. 627 00:30:26,640 --> 00:30:30,080 Speaker 5: The w it was a pivotal moment. I remember seeing 628 00:30:30,120 --> 00:30:32,120 Speaker 5: that announcement come out. I think I was thirteen years 629 00:30:32,160 --> 00:30:34,320 Speaker 5: old to be like, oh my gosh, like this is incredible. 630 00:30:34,360 --> 00:30:38,000 Speaker 5: There's finally a professional women's basketball league here. And you know, 631 00:30:38,080 --> 00:30:40,400 Speaker 5: there were a lot of learnings that came along the way. 632 00:30:40,800 --> 00:30:43,520 Speaker 5: I think what you're seeing happening in real time and 633 00:30:43,560 --> 00:30:47,120 Speaker 5: why you're seeing a difference in growth now, in visibility now, 634 00:30:47,800 --> 00:30:51,640 Speaker 5: is that there is an understanding from consumers and investors 635 00:30:51,760 --> 00:30:54,000 Speaker 5: as to what that potential is. You know, for so 636 00:30:54,160 --> 00:30:56,720 Speaker 5: long you would hear like, well, if they can sell 637 00:30:56,760 --> 00:30:59,280 Speaker 5: six thousand tickets, you know, that would be great, but 638 00:30:59,320 --> 00:31:01,560 Speaker 5: no one was necescessarily approaching it in this way with 639 00:31:01,720 --> 00:31:04,720 Speaker 5: what if we had had sold out arenas what if 640 00:31:05,040 --> 00:31:08,200 Speaker 5: we built something bigger than just basketball? You know, And 641 00:31:08,240 --> 00:31:11,880 Speaker 5: there's that continuous narrative of you know our NBA fans 642 00:31:12,000 --> 00:31:14,720 Speaker 5: WNBA fans, Well, the NBA fans aren't coming to WNBA games. 643 00:31:14,760 --> 00:31:17,520 Speaker 5: Well it's a different product. Yes, it's the same sport, 644 00:31:17,600 --> 00:31:20,160 Speaker 5: but the audience is different. You know, women's sports is 645 00:31:20,200 --> 00:31:23,240 Speaker 5: in women's basketball specifically, a mix of sport and purpose 646 00:31:23,240 --> 00:31:26,320 Speaker 5: and pop culture. And so the opportunity to lean into 647 00:31:26,640 --> 00:31:29,840 Speaker 5: is building a brand around that, inviting consumers in that 648 00:31:29,920 --> 00:31:32,880 Speaker 5: want that right, and that's not always an NBA fan. 649 00:31:33,280 --> 00:31:34,960 Speaker 5: In fact, we're seeing a lot of folks that aren't 650 00:31:35,000 --> 00:31:38,880 Speaker 5: sports fans join the sports landscape through this lens, and 651 00:31:38,920 --> 00:31:40,160 Speaker 5: that's incredibly powerful. 652 00:31:40,520 --> 00:31:45,240 Speaker 1: Franchise valuation for teams recently, like with the Seattle Storm, 653 00:31:45,240 --> 00:31:47,800 Speaker 1: they're valued at one hundred and fifty one million dollars. 654 00:31:47,840 --> 00:31:52,880 Speaker 1: That's compared to last year. That's relatively cheap compared to 655 00:31:53,360 --> 00:31:58,040 Speaker 1: NBA teams. And I'm just wondering how long this is 656 00:31:58,120 --> 00:32:01,440 Speaker 1: going to last before I should, like, you know, get 657 00:32:01,440 --> 00:32:04,480 Speaker 1: my pennies together and get some money in this league. 658 00:32:04,600 --> 00:32:06,720 Speaker 5: I mean, now that we're here, you better hurry up. 659 00:32:08,720 --> 00:32:11,360 Speaker 5: But the real answer is, you know, it's not slowing down. 660 00:32:11,600 --> 00:32:15,000 Speaker 5: You're seeing infrastructure built, you're seeing true investment from a 661 00:32:15,000 --> 00:32:18,880 Speaker 5: broadcast standpoint. You are seeing investment from ownership groups and 662 00:32:18,960 --> 00:32:21,840 Speaker 5: games and building brands like what we launched today, and 663 00:32:21,880 --> 00:32:24,960 Speaker 5: it truly is going nowhere. And so when you look 664 00:32:25,000 --> 00:32:27,720 Speaker 5: at team valuations, they're a compilation of all of those 665 00:32:27,760 --> 00:32:30,440 Speaker 5: factors going into it, of just where they sit in 666 00:32:30,440 --> 00:32:33,440 Speaker 5: the marketplace. And you know, I think I think it's 667 00:32:33,480 --> 00:32:35,440 Speaker 5: the lowest that you're going to see it some time, 668 00:32:35,560 --> 00:32:36,000 Speaker 5: if at all. 669 00:32:36,200 --> 00:32:38,560 Speaker 3: And we should mention as well. Speaking of big numbers, 670 00:32:38,800 --> 00:32:42,600 Speaker 3: the Golden State Warriors paid a record fifty million dollars 671 00:32:43,040 --> 00:32:46,040 Speaker 3: to enter the WNBA. The ownership group in order to 672 00:32:46,080 --> 00:32:48,800 Speaker 3: build out this expansion team. Can you talk to us 673 00:32:48,800 --> 00:32:51,520 Speaker 3: a little bit about what it will mean to be 674 00:32:51,680 --> 00:32:54,400 Speaker 3: partners with the Warriors and how you're going to use 675 00:32:54,440 --> 00:32:56,840 Speaker 3: some of their best practices, how you're going to enhance 676 00:32:57,280 --> 00:32:58,800 Speaker 3: some of their best practices. 677 00:32:59,200 --> 00:33:02,280 Speaker 5: We're going to really fortunate position to have the legacy 678 00:33:02,320 --> 00:33:04,920 Speaker 5: and the trust of Golden State. This ownership group has 679 00:33:04,960 --> 00:33:08,120 Speaker 5: earned that. You know, everything that they do, they really 680 00:33:08,160 --> 00:33:10,480 Speaker 5: do their best to be the best in the community 681 00:33:10,880 --> 00:33:13,400 Speaker 5: and on the core and fans know that, and that's 682 00:33:13,400 --> 00:33:17,000 Speaker 5: the trust that people inherently bring to this brand. We 683 00:33:17,240 --> 00:33:20,360 Speaker 5: are partners in this, and I think that's what is 684 00:33:20,400 --> 00:33:22,920 Speaker 5: going to be fun, you know, in the journey together. 685 00:33:23,440 --> 00:33:26,040 Speaker 5: Mean by that is, for instance, you know, the Warriors 686 00:33:26,080 --> 00:33:28,840 Speaker 5: have an incredible basketball academy. It's the largest and most 687 00:33:28,840 --> 00:33:32,200 Speaker 5: diverse in the NBA. When we're thinking about that together, 688 00:33:32,360 --> 00:33:35,280 Speaker 5: we're thinking about equal exposure within that. So boys and 689 00:33:35,320 --> 00:33:38,600 Speaker 5: girls will have equal exposure to the WNBA with the 690 00:33:38,640 --> 00:33:42,479 Speaker 5: Belkyries and the NBA with Warriors, and they're not going 691 00:33:42,520 --> 00:33:44,800 Speaker 5: to be segmented by gender, right, So young boys are 692 00:33:44,800 --> 00:33:48,040 Speaker 5: going to wear WNBA and young girls NBA and vice versa. 693 00:33:48,120 --> 00:33:50,640 Speaker 5: And the point of that is that you know, the 694 00:33:50,680 --> 00:33:53,960 Speaker 5: opportunity to really idolize all genders through sport will be 695 00:33:54,160 --> 00:33:57,400 Speaker 5: very normal in our ecosystem. They have such a legacy 696 00:33:57,560 --> 00:34:00,600 Speaker 5: and such resource in that nature, through that, building courts 697 00:34:00,640 --> 00:34:03,240 Speaker 5: in the community, et cetera. That equal putting us know, 698 00:34:03,320 --> 00:34:05,640 Speaker 5: right at the top with them is going to make 699 00:34:05,680 --> 00:34:08,320 Speaker 5: a huge societal difference and really set a playbook for 700 00:34:08,360 --> 00:34:08,920 Speaker 5: other DOULO. 701 00:34:09,280 --> 00:34:11,520 Speaker 2: You have the Seattle Storm, you have you know, the 702 00:34:11,560 --> 00:34:14,719 Speaker 2: Los Angeles Sparks. You have plenty of West Coast WNBA 703 00:34:14,800 --> 00:34:18,360 Speaker 2: franchises that are uber successful. But I'm wondering, you know, 704 00:34:18,400 --> 00:34:21,040 Speaker 2: if you go back to a franchise by the name 705 00:34:21,040 --> 00:34:23,319 Speaker 2: of the Sacramento Monarchs, you know that wasn't you know, 706 00:34:23,360 --> 00:34:25,960 Speaker 2: this isn't the first time we've tried to bring women's 707 00:34:25,960 --> 00:34:29,479 Speaker 2: basketball to northern California. Is there anything to take away 708 00:34:29,520 --> 00:34:32,800 Speaker 2: from that experience, anything to learn from the I guess 709 00:34:32,800 --> 00:34:37,480 Speaker 2: failure of the Sacramento franchise to make it in Northern California? 710 00:34:37,600 --> 00:34:39,799 Speaker 5: To be honest, No, it was such a different time, 711 00:34:39,840 --> 00:34:42,160 Speaker 5: It was a different ownership group, and it was a 712 00:34:42,160 --> 00:34:45,319 Speaker 5: different region. You know, there are some incredible ends that 713 00:34:45,560 --> 00:34:48,279 Speaker 5: organization and kennibly, we hope that they find their way 714 00:34:48,320 --> 00:34:50,360 Speaker 5: to us and become a part of the Valkyrie family. 715 00:34:50,360 --> 00:34:52,440 Speaker 5: We want to be representative of not just the region, 716 00:34:52,520 --> 00:34:55,680 Speaker 5: but you know, everyone who's looking for that WNBA team. 717 00:34:56,080 --> 00:34:59,359 Speaker 5: But it's a really non comparable moment to what we're 718 00:34:59,360 --> 00:35:02,399 Speaker 5: building today. I think the important thing to know is 719 00:35:02,440 --> 00:35:05,160 Speaker 5: that we take our foot off the gas with the 720 00:35:05,280 --> 00:35:09,680 Speaker 5: growthing collectively, and the foot off the gas collectively has 721 00:35:09,719 --> 00:35:13,560 Speaker 5: to come from everyone, from broadcast, from fans, from brands, 722 00:35:13,680 --> 00:35:18,200 Speaker 5: right fans now understand that when you buy merchandise and 723 00:35:18,320 --> 00:35:20,000 Speaker 5: you buy a ticket, when you show up to games, 724 00:35:20,000 --> 00:35:22,440 Speaker 5: when you share on social media accunts, when you follow athletes, 725 00:35:22,560 --> 00:35:25,680 Speaker 5: that's what's driving this forward, and that's what their consumer 726 00:35:25,719 --> 00:35:28,279 Speaker 5: power is being rewarded by these other entities, you know. 727 00:35:28,440 --> 00:35:30,200 Speaker 5: So I think the biggest thing is just making sure 728 00:35:30,239 --> 00:35:34,320 Speaker 5: that continued education of consumers, brands, and media come together 729 00:35:34,480 --> 00:35:35,440 Speaker 5: for the output that we have. 730 00:35:36,000 --> 00:35:40,759 Speaker 1: Toronto will be awarded the league's fourteenth franchise and that 731 00:35:40,800 --> 00:35:44,920 Speaker 1: team will start to play on May twenty twenty six. 732 00:35:45,800 --> 00:35:48,880 Speaker 1: But this isn't going to stop at fourteen. This is 733 00:35:48,920 --> 00:35:52,239 Speaker 1: going to continue to grow, and the divisions are going 734 00:35:52,280 --> 00:35:56,120 Speaker 1: to grow, and then we're going to have the problems 735 00:35:56,160 --> 00:36:00,200 Speaker 1: where everybody's making the playoffs like the NBA because going 736 00:36:00,239 --> 00:36:02,399 Speaker 1: to have so many teams. How long do you see 737 00:36:02,440 --> 00:36:03,040 Speaker 1: that happening? 738 00:36:03,239 --> 00:36:05,080 Speaker 5: What a great problem to have. Yeah, you have so 739 00:36:05,080 --> 00:36:06,960 Speaker 5: many times making the plays, some people wanting to see 740 00:36:07,000 --> 00:36:10,120 Speaker 5: them play in that competitive landscape. Yeah, Kathy, you know, 741 00:36:10,160 --> 00:36:12,680 Speaker 5: the commissioner of the WNBA has done a great job 742 00:36:12,680 --> 00:36:15,480 Speaker 5: of keeping everyone posted as to the league's growth plans. 743 00:36:15,520 --> 00:36:17,680 Speaker 5: And I think what's happening right now that's really special 744 00:36:17,880 --> 00:36:20,600 Speaker 5: is the collaboration that you're seeing between league and the 745 00:36:20,600 --> 00:36:24,759 Speaker 5: players Association and every stakeholder alongside them. And so it's 746 00:36:24,760 --> 00:36:27,400 Speaker 5: a huge opportunity for growth, you know, both an expansion 747 00:36:27,560 --> 00:36:29,440 Speaker 5: and other details like media. 748 00:36:29,600 --> 00:36:32,279 Speaker 1: I have to ask this one last question. The new 749 00:36:32,360 --> 00:36:34,960 Speaker 1: young guns are coming in and big names in the 750 00:36:35,040 --> 00:36:39,920 Speaker 1: WNBA are now retiring. We're at that point now in 751 00:36:39,960 --> 00:36:42,360 Speaker 1: the WNBA where we're flipping the. 752 00:36:42,360 --> 00:36:46,280 Speaker 5: Page absolutely and what you saw happen at the WNBA 753 00:36:46,440 --> 00:36:48,640 Speaker 5: Draft and what you're seeing through this class, it's not 754 00:36:48,800 --> 00:36:52,280 Speaker 5: just Caitlin. It's numerous names that are now household names, 755 00:36:52,320 --> 00:36:54,799 Speaker 5: you know coming into the WNBA. And when you look 756 00:36:54,840 --> 00:36:57,680 Speaker 5: at the trajector of college basketball, that's not going to 757 00:36:57,719 --> 00:37:00,800 Speaker 5: stop anytime soon, if at all. Right, So, the talent 758 00:37:00,840 --> 00:37:02,879 Speaker 5: that's flooding into the league right now, with this star 759 00:37:03,000 --> 00:37:07,000 Speaker 5: power to complement the incredible veterans that have been a 760 00:37:07,000 --> 00:37:09,799 Speaker 5: part of this league for so long, is a really 761 00:37:09,840 --> 00:37:13,440 Speaker 5: powerful moment in some ways, to your point, does feel 762 00:37:13,719 --> 00:37:15,920 Speaker 5: like a change the guard. And I can't wait to 763 00:37:15,920 --> 00:37:17,640 Speaker 5: see what So many of these athletes you know that 764 00:37:17,719 --> 00:37:19,600 Speaker 5: do move on from the league are a part of, 765 00:37:20,040 --> 00:37:22,439 Speaker 5: you know, moving forward from a commercial part you know too. 766 00:37:22,640 --> 00:37:25,480 Speaker 5: But this talent pool, I mean, how many household names 767 00:37:25,480 --> 00:37:28,200 Speaker 5: are also freshmen right? You hear people talk about Hannah 768 00:37:28,239 --> 00:37:31,520 Speaker 5: Hidalgo and Juju Watkins and so forth. I mean that 769 00:37:31,640 --> 00:37:35,920 Speaker 5: level of just knowing women's basketball and then now waiting 770 00:37:35,960 --> 00:37:38,200 Speaker 5: for them to enter the drift world is bringing a 771 00:37:38,280 --> 00:37:39,560 Speaker 5: lot of that consumer attention. 772 00:37:40,040 --> 00:37:44,960 Speaker 1: Jess Smith, President of the Golden State Valkyries, you can 773 00:37:45,040 --> 00:37:47,000 Speaker 1: have that because I'm going to give that to you 774 00:37:47,239 --> 00:37:48,839 Speaker 1: when you want to like play that and you want 775 00:37:48,880 --> 00:37:52,840 Speaker 1: people to walk in the room. WNBA expansion franchise for 776 00:37:52,960 --> 00:37:56,000 Speaker 1: the twenty twenty five season. Jess Smith, thank you so 777 00:37:56,120 --> 00:37:58,680 Speaker 1: much for joining us on the Bloomberg Business of Sports. 778 00:37:58,960 --> 00:38:01,120 Speaker 5: Thank you so much for having me. We're just getting started, 779 00:38:01,160 --> 00:38:02,359 Speaker 5: so look forward to keeping in touch. 780 00:38:02,520 --> 00:38:05,200 Speaker 1: Our special thanks to Jess Smith, President of the Golden 781 00:38:05,239 --> 00:38:09,560 Speaker 1: State Dealkyries. This has been the Bloomberg Business of Sports Show. 782 00:38:09,920 --> 00:38:12,839 Speaker 1: Thank you for tuning in for my colleague Scarlett Foo 783 00:38:13,280 --> 00:38:16,680 Speaker 1: and Damien Sassour. Tuning again next week for the latest 784 00:38:16,719 --> 00:38:19,600 Speaker 1: on the stories moving big money in the world of sports. 785 00:38:19,800 --> 00:38:23,840 Speaker 1: You're listening to Bloomberg Business of Sports from Bloomberg Radio 786 00:38:24,000 --> 00:38:25,040 Speaker 1: around the world.