NBA's Phoenix Suns sign new TV deal after broadcaster bankruptcy

Gray Media

28/04/2023 17:19

By Dietrich Knauth
       April 28 (Reuters) - The NBA's Phoenix Suns and WNBA's
Phoenix Mercury announced a new television and streaming rights
deal for their basketball games on Friday, over the objection of
the bankrupt U.S. sports broadcaster that currently televises
Suns regular-season games.
    The Suns and Mercury in a statement from the teams' owner
said they would deliver all locally broadcast games to
television and online streaming through a partnership with Gray
Television Inc  GTN.N  and video technology startup Kiswe.
    The deal would increase the teams' ability to reach
customers who had cut their cable subscriptions, potentially
allowing it to reach three times as many fans for each game,
Suns and Mercury owner Mat Ishbia said.
    "Cord cutters, cable subscribers, fans with an antenna –
everyone will be able to watch Suns and Mercury games," Ishbia
said in a statement. 
    The Phoenix Suns current television broadcast partner
Diamond Sports Group said it would oppose the deal. 
    "The Phoenix Suns breached our contract and violated
bankruptcy law, and Diamond Sports Group will pursue all
remedies against any parties that attempt to exercise control
over our property interests while we reorganize," Diamond Sports
said in a statement.
    U.S. bankruptcy law protects debtors from having their
contracts modified or terminated without their consent. Diamond
has said it will continue to broadcast all games under its
existing contracts and make all required payments to NBA teams
during its bankruptcy. 
    Diamond, which is owned by Sinclair Broadcast Group
 SBGI.O , televises games for nearly half of all teams in the
National Basketball Association, Major League Baseball (MLB),
and the National Hockey League under the Bally Sports brand.
    Diamond filed for Chapter 11 protection in March with a
proposal to cut $8 billion in debt.
    It focused its objection on the Suns' contract, but Diamond
also broadcasts Mercury games, which will feature Brittney
Griner, who has rejoined the team after her recent release from
Russia in a prisoner swap with the U.S.
    Diamond said at the start of its bankruptcy that it had good
relationships with the NBA and its teams, pointing to MLB as the
primary obstacle to its effort to pivot to streaming games
online. 
    The Suns and Mercury did not disclose financial terms of the
new broadcast deal or the terms of the current Diamond Sports
contract. 
    Gray Television said the new deal would enable it to
broadcast at least 70 regular-season games in future seasons. 

 (Reporting by Dietrich Knauth
Editing by Bill Berkrot)
 ((Dietrich.Knauth@thomsonreuters.com;))