NBA Owners Growing Impatient with WNBA’s Financial Losses and Management Issues

The WNBA, long considered the sister league to the NBA, is facing increasing pressure from its investors, particularly NBA team owners, who are growing frustrated with the league’s ongoing financial struggles. Despite some upticks in viewership, especially thanks to stars like Caitlin Clark, the WNBA is projected to lose around $40 million this season. This has sparked growing discontent among NBA investors, many of whom own stakes in WNBA teams, like the Indiana Pacers’ ownership of the Indiana Fever. As these financial losses mount, owners are questioning the long-term viability of the league and its ability to turn a profit.

WNBA’s Struggles and the Frustration of NBA Owners

The WNBA has now been in operation for over 27 years, and while it has seen growth in popularity, it continues to operate at a loss. Even with the significant increase in viewership driven by the rise of players like Caitlin Clark, the league still faces deep financial issues. One of the most pressing concerns is the league’s failure to generate the revenue necessary for sustainable profitability. The WNBA’s projected $40 million loss is just the latest in a series of disappointing financial reports.

Perhaps most troubling for NBA investors is that many of them are also major stakeholders in WNBA teams. The NBA itself owns nearly 60% of the league, and when combining the NBA’s stake in WNBA teams with the individual stakes of NBA team owners, this number rises to about 75%. Simply put, without the NBA’s financial backing, the WNBA likely wouldn’t exist. Yet, even with this support, the league has struggled to become profitable.

James Dolan, the owner of the New York Knicks, has become a vocal figure in the effort to bring attention to the WNBA’s financial struggles. Sources close to the situation have indicated that Dolan is pressing NBA Commissioner Adam Silver behind the scenes, asking hard questions about the league’s financial future. Dolan’s stance has earned him support from other owners who share his frustration, with many seeing him as a hero for calling out the lack of transparency and accountability.

Media Rights Deal and the Road to Potential Profitability

The WNBA’s financial outlook could improve, however, thanks to a new media rights deal set to begin in 2026. The league is set to secure a $2.2 billion contract over 11 years, which is expected to boost its annual revenue by around $100 million. This deal would represent a significant increase from the current media revenue, which hovers around $60 million. However, even with this influx of cash, the league still faces challenges in reaching profitability.

One key issue is the potential increase in player salaries. The WNBA’s collective bargaining agreement (CBA) is up for renegotiation, and players are expected to opt out by the November 1 deadline. If this happens, salaries are likely to rise, which would cut into the expected increase in media revenue, potentially turning a $40 million loss into a $60 million gain. The uncertainty surrounding the CBA negotiations only adds to the financial instability.

Another point of contention is the league’s expansion fees. While teams are paying significant fees to join the league—such as the $50 million paid by Golden State Warriors owner Joe Lacob to launch a new team—the money from these expansion fees does not go directly to NBA owners. This situation has left many investors feeling that they are funding the league without seeing a direct return on their investment.

WNBA Players and the Risk of Alienating Fans

One of the most significant challenges the WNBA faces is maintaining and growing its fan base. While the league has seen increased popularity, much of that growth can be attributed to the rise of Caitlin Clark, who has captured the attention of basketball fans across the country. Unfortunately, some WNBA players have made comments that have alienated these new fans. Criticism directed at Clark’s supporters, especially Iowa and Indiana Fever fans, has sparked outrage among certain fanbases.

For example, players from teams like the Connecticut Sun have made controversial comments about Indiana Fever fans, including accusations of racism. At the same time, high-profile figures like Angel Reese have stirred tensions by making inflammatory statements about Clark’s supporters. While these players may feel justified in their remarks, such behavior could drive away the very fans that have helped the WNBA secure its new media rights deal and boost its visibility.

If this trend continues, the WNBA risks losing the support of these new fans, which could directly impact future revenue from media rights deals and merchandise. The league has an opportunity to turn things around, but this may require a shift in how players engage with their fans. Owners and investors are acutely aware of this, and many are worried that the league could be on the brink of losing its momentum.

Adam Silver Under Fire

Amidst the financial struggles and player-related controversies, NBA Commissioner Adam Silver is facing increasing pressure from WNBA team owners. Critics argue that Silver has been slow to address the league’s financial transparency and has failed to provide clear answers about when owners can expect a return on their investment. The lack of clarity regarding the league’s financial situation is one of the factors contributing to the growing unrest among NBA investors.

As the WNBA navigates its financial challenges, its future remains uncertain. The league’s success may ultimately depend on its ability to generate more revenue, retain its fanbase, and resolve ongoing issues with player behavior. If these problems persist, the WNBA could find itself facing even greater financial difficulties, and owners may lose patience with a league that has been struggling to turn a profit for nearly three decades.