The NBA has announced it is in negotiations with Yahoo Entertainment to build a $20-billion TV deal that would include the streaming of NBA games.
The deal could bring in an estimated $3.5 billion annually to the league, which has been struggling to attract viewers and attract advertisers.
Yahoo is in talks to buy the league’s broadcast rights and the NBA would own the rights to its TV networks and the web.
The NBA is currently in negotiations to extend the current TV deal for five more seasons at a reported $5 billion per year, but the deal is expected to be renegotiated.
The new deal could mean an extra $3 billion annually for the league if it were to be fully negotiated.
The NBA said it would not disclose the terms of the deal, citing an internal company document obtained by the Wall Street Journal.
The company has not released any additional details on the agreement and would not comment on it.
“The NBA is pleased to announce that we are in advanced discussions with Yahoo to enter into an agreement to jointly provide our fans and advertisers with exclusive programming on Yahoo-owned networks and to license exclusive NBA content on the Yahoo platform,” the league said in a statement.
“We are pleased to enter these negotiations to provide the most compelling entertainment options for our fans.
Yahoo has been one of the most valuable companies to the NBA and the NFL, and its continued success is a testament to the industry’s talent and creativity.”
“As we enter into this new era of growth, we are committed to continuing to partner with the NBA to ensure fans can enjoy the game they love,” Yahoo said in the statement.
A spokesman for Yahoo declined to comment on the deal.