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Why losing NBA media rights would be 'a big negative' for Warner Bros. Discovery [Yahoo! Finance Canada]
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that the legacy media giant is at risk of losing a key media rights deal with the National Basketball Association. According to a report from the Wall Street Journal , Comcast's NBCUniversal ( CMCSA ) is working on a $2.5 billion bid that could move the league off Warner Bros.' TNT network. Wall Street analysts say that possibility would have lasting consequences on the embattled media giant. "Losing NBA rights would be a big negative for WBD," Macquarie analyst Tim Nollen said in a new note to clients on Thursday. "While the cost savings may help earnings, we think sports content is key both for linear TV ad sales and carriage fees, and for the Max streaming service's prospects in a competitive direct-to-consumer landscape, especially as it prepares to join the sports streaming JV with Disney and Fox ADVERTISEMENT WBD currently shells out $1.2 billion annually for the NBA rights but was unable to strike a new agreement with the league before its exclusive negotiation period
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