Sources: Revenue Sharing Major Issue
Lost amid all the talk of BRI, luxury taxes and salary cap structure is one major obstacle in the NBA labor negotiations: the owners’ inability to agree on revenue sharing.
That, as much as anything, is keeping the owners and players from closing the significant gap that exists between them, according to sources close to the situation.
The divide centers around the large-market owners’ refusal to share their local television revenue. For instance, while Lakers’ owner Jerry Buss is willing to share national TV revenue, he wants the money made from his 20-year, $3 billion deal with Time Warner all to himself, according to sources.
Two weeks ago, the league was pleased with the players’ offer to reduce their share of basketball related income from 57 to 54 percent. The feeling among many owners was that that concession by the players would cover many of their financial losses.