NBA BOG Wants To Implement Upper Limit Cap To Replace Luxury Tax
- Thread starter DaBadGuy7
- Start date
mouser
Business of Hockey
The NBA owners have been pushing for a hard cap going on nearly two decades now.
It obviously hasn’t happened yet, but with each new CBA the luxury tax system has become more and more punitive to teams over the salary cap.
It obviously hasn’t happened yet, but with each new CBA the luxury tax system has become more and more punitive to teams over the salary cap.
FissionFire
Registered User
The owners may be getting as tired as the fans of seeing these player-colluded mega teams. A hard upper limit would be the easiest way to stop them. The current system that enables them will slowly choke out interest by fans outside of the select few markets that get to enjoy these mega teams.
good. the league is a joke. full of prima donnas with players running the whole show
Kirk Van Houten
Registered User
- May 7, 2019
- 1,181
- 1,364
I doubt a lockout happens, but I could see the BOG making changes enough so the luxury tax penalties are close to a hard cap as a compromise. They can’t afford to jeopardize the next TV deal.
varsaku
Registered User
Unfortunately that is what sells. That is why NBA is becoming popular around the world and players are becoming more household names.
While mega teams might choke interest in smaller teams, they drive the big TV contracts that smaller teams benefit hugely from.
FissionFire
Registered User
It’s a death spiral that eventually leads to ruin. Huge TV contracts are based on ratings being high. Ratings are high when people are interested. Now if more and more people lose interest outside of the big markets, those advertising dollars dry up and the huge contracts stop coming. Just look at what happened with MLB. Mega teams make for a poor product outside of a few marquee teams / games.
