Adam Silver admits financial damage of China issue could reach $400 million
NBA commissioner Adam Silver addressed a variety of topics during his annual All-Star press conference on Saturday night, including the potential financial fallout stemming from the controversy over the Hong Kong protests that damaged the league’s business relationship with China.
Silver said the tiff could end up costing the league up to $400 million in the long run.
NBA commissioner Adam Silver estimated that the longterm financial hit from the damaged relationship with China due to the Hong Kong controversy could reach $400 million.
— Ben Golliver (@BenGolliver) February 16, 2020
There has been plenty of speculation on how the ramifications from Houston Rockets general manager Daryl Morey’s pro-Hong Kong tweet could affect the NBA landscape and business, and whether a loss of revenue could significantly affect the salary cap moving forward.
Those serious concerns were somewhat eased by the recent projections for the 2020-21 season that would see the cap lowered slightly, but not as much as some anticipated. Adam Silver is clearly hoping to further dispel fears by downplaying the fiscal impact of the China crisis in his press conference.
Back in October, the league commissioner admitted that losses had already been “substantial” and “the financial consequences have been and may continue to be fairly dramatic.” However, the New York Times reported on Friday that there could be some thawing in the relationship between the NBA and China.
Games are back to being available for stream on Tencent (though still not the state-run CCTV, though there is some optimism for that to change, too). Furthermore, Adam Silver told the Times that the NBA is doing its part by coordinating with various health organizations with regards to controlling the coronavirus outbreak.