WNBA backed by Caitlin Clark continues to hemorrhage cash regardless of document attendance and rankings | EUROtoday

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Despite the latest explosion of the recognition of the WNBA, led by stars together with Caitlin Clark, the league is hemorrhaging cash, with losses anticipated to rise to as much as $50m this 12 months, based on a report.

Popular gamers reminiscent of Clark, Angel Reese and Sue Bird, have all earned particular person sponsorship offers off the again of their successes, although the WNBA nonetheless lags far behind different main US sports activities leagues when it comes to income.

NBA Commissioner Adam Silver stated in 2018 that the WNBA had misplaced a mean of greater than $10m per 12 months since its founding. Sources with information of the figures, who spoke to The Washington Post anonymously, stated that that loss was anticipated to extend five-fold by the tip of 2024.

“The truth is, this league would be hard-pressed to exist without the NBA,” one WNBA workforce government informed The Post. The particular person spoke on the situation of anonymity as a result of they weren’t licensed to talk publicly in regards to the league’s funds.

Last 12 months, the league was valued at between $180m and $200m, based on Bloomberg – a fraction of its male counterpart, the NBA, which earns greater than $10bn.

Despite the growing popularity of the WNBA, backed by Caitlin Clark, the league is hemorrhaging money, with losses expected to rise to up to $50m this year, sources have said
Despite the rising reputation of the WNBA, backed by Caitlin Clark, the league is hemorrhaging cash, with losses anticipated to rise to as much as $50m this 12 months, sources have stated (Copyright 2024 The Associated Press. All rights reserved)

A deal over subsequent 12 months’s broadcast rights to the WNBA, at present valued round $60m, are underneath negotiation by the NBA, which owns 60 p.c of the league.

Bloomberg News and The Wall Street Journal reported the deal for the NBA will likely be value greater than $7bn per 12 months – however for each leagues. Value figures for the WNBA haven’t been assigned particularly, which means the league’s rising reputation could not issue a lot into how a lot cash it receives within the deal.

Several media executives have predicted that by means of the deal the WNBA may triple its annual rights income to someplace between $180m and $200m. According to The Post nonetheless, the worth of the rights will finally not be determined by media corporations, however by the NBA.

“If you’re not getting a number from the media companies, then you are hanging on to the NBA,” Laura Gentile, an business marketing consultant and ESPN’s former chief advertising officer, informed The Post.

Sources say that despite its growing popularity, the WNBA is set to lose up to $50m this year
Sources say that regardless of its rising reputation, the WNBA is about to lose as much as $50m this 12 months (Copyright 2024 The Associated Press. All rights reserved)

“You’re saying it’s a rounding error in the grand scheme of business. Maybe that’s the case, but it doesn’t help the ecosystem grow. Women’s sports want accountability; they want their growth projections to matter.”

Some imagine though the NBA could pretty acknowledge the growing worth and recognition of the ladies’s league, it would nonetheless be considerably hamstrung by the ties.

“Even if the money is less, I would rather have independent money, because then you have a real business,” David Samson, the previous president of MLB’s Miami Marlins, informed The Post.

“If a media company says we value the WNBA at X, that’s a real value of what the WNBA’s rights are. Otherwise, it’s like buying social media followers: perceived value but not real.”