The NBA’s $1B Sports Investment Strategy

Sports investor Series. The NBA’s Sports Investment Strategy

How the NBA Built a $1 Billion Sports Investment Portfolio

By Living.Lab CEO Mark Alexander

The NBA’s $1B Sports Investment Strategy

The NBA isn’t just investing in basketball—it’s shaping the future of sports business. With an investment portfolio now exceeding $1 billion, the league is strategically backing companies across sports technology, media, data analytics, apparel, fan engagement, and betting. These investments are designed to drive innovation, enhance the fan experience, and open new revenue streams.

While the portfolio may seem broad, the approach is deliberate. The NBA is using venture capital-style investments to stay ahead of industry shifts, identifying high-growth startups that align with its global vision.

Key Areas of Investment: Sports Tech, Media, and Betting

The NBA has focused its capital across four core verticals, each designed to reinforce its global presence and enhance the sport’s commercial potential.

Digital Content & Gaming

The NBA is expanding its digital ecosystem, bringing immersive fan experiences and interactive content to global audiences.

📌 Example: Sorare

The blockchain-based fantasy sports platform raised $680 million, creating a new revenue model for fantasy sports.
Sorare is a free-to-play game,
Users build a collection of cards and compete for cash, VIP experiences, and more.
Sorare’s partnership with the NBA extends fantasy gaming to 185+ countries, modernising the classic “trading card” model for digital-first audiences.

Player Analytics & Performance Tech

Advancements in biometric tracking and AI-powered analytics are reshaping athlete performance and injury prevention.

📌 Example: Nextiles

A smart fabrics startup from the NBA Launchpad incubator.
Embeds sensors into clothing to collect real-time performance and biometric data.
Nextiles’ patented fabric-based sensor platform and usher in new analytics across all sports.
Represents the NBA’s commitment to leveraging wearable technology to optimise player health.

Sports Betting & Fan Engagement

The NBA is positioning itself at the forefront of regulated sports betting, integrating data-driven solutions to enhance engagement.

📌 Example: Sportradar Partnership

The NBA extended its multi-year deal with Sportradar, a leading provider of sports data and integrity services.
Sportradar’s NBA API offers a comprehensive suite of features designed to provide detailed and real-time basketball data:
- Comprehensive Game Data: Access to extensive game statistics, including play-by-play details, box scores, and game summaries, enabling in-depth analysis.
- Player and Team Profiles: Detailed information on players and teams, encompassing profiles, seasonal statistics, and performance metrics, facilitating thorough evaluations.
- Live Game Updates: Real-time updates through the Daily Change Log endpoint, allowing efficient tracking of daily changes without exceeding API call limits.
- Draft and Prospect Data: Essential feeds to monitor draft picks and strategies for building NBA Draft solutions, ensuring effective integration and display of draft information.
- Versioning Support: Support for one current and two previous versions of the API, ensuring stability and flexibility in development.
These features empower developers and analysts to integrate and utilise NBA data effectively, enhancing applications and research with accurate and timely information.
The deal includes exclusive distribution of NBA data to sportsbooks globally, reinforcing the league’s role in shaping the future of sports betting.

Streaming & Content Distribution

With direct-to-consumer streaming on the rise, the NBA is making strategic moves in live sports broadcasting and interactive viewing experiences.

📌 Example: NBA League Pass Innovations

The NBA has experimented with customisable broadcasts, real-time stats overlays, and alternative commentary options.
This strategy is about owning distribution channels rather than relying on traditional media networks.

Sports investment themes

The NBA’s investment strategy follows a clear pattern:

Strategic Alignment – Investments must complement the league’s brand, operations, and fan engagement strategy.
Early-Stage Focus – The NBA targets startups in growth phases, positioning itself as both an investor and a platform for scaling.
Access to Innovation – Investments provide direct access to emerging tech, allowing the NBA to integrate new tools before competitors.

This approach has solidified the NBA’s reputation as a leader in sports innovation, with its Tech Summit becoming one of the most in-demand events during All-Star Weekend.

What’s Next for the NBA’s Investment Playbook?

With team owners that include investment heavyweights like Steve Ballmer, Mark Cuban, and Josh Harris, the NBA’s access to venture capital, private equity, and tech entrepreneurship is unmatched. The league’s deep ties with Silicon Valley and Wall Street ensure a strong investment pipeline for years to come.

🔮 Key Predictions for Future Investments:

Expansion into AI-powered fan experiences and virtual stadiums.
Deeper integration with Web3 and blockchain ticketing.
Continued investment in player health and injury prevention technology.

The NBA’s $1 billion investment strategy isn’t just about diversifying revenue—it’s about shaping the next era of sports innovation. The league is positioning itself as a central player in the evolving landscape of sports business, technology, and entertainment.

Quick QUOTES

“

We’re not a purely financial investor. That’s not what we’re trying to do here. What we are trying to do is identify companies that are really focused on something that fits strategically with the NBA with our brand with our business model, where we can align with them investing in the company to help spur innovation, help them develop products that are going to benefit our fans, benefit our customers, help them use the NBA’s brand and all the assets that we can bring to the table to really grow their business and continue to support the growth of the game and that we think has been really, really successful strategy for us.

David Haber NBA Chief Financial Officer