ATLien

http://www.ajc.com/sports/content/bu...rnba_0118.html

NBA TV and NBA.com are moving to Atlanta, where they'll become part of Turner Broadcasting's growing digital sports operation.

The National Basketball Association and Turner on Thursday announced an eight-year deal under which the league's digital businesses, including website NBA.com and digital television channel NBA TV, will be operated by Turner out of the company's Atlanta production facilities.

The NBA will hold 100 percent ownership of the assets, previously operated in-house, but will look to Turner to improve the content and grow the revenue.

NBA commissioner David Stern and Turner Sports president David Levy said the deal calls for the league and Turner to share profits.

"We see really substantial upside for both partners," Levy said.

Neither Turner nor the NBA publicly breaks out financial information for its digital properties.

Levy said the deal, which begins with the 2008-09 NBA season, will trigger "job growth" at Turner in Atlanta, but he said he couldn't yet estimate how many jobs.
NBA deputy commissioner Adam Silver said 150 people currently work for NBA TV and NBA.com in New York and New Jersey.

The deal represents an expansion of Atlanta-based Turner's long-time relationship with the NBA, whose games have been televised on Turner networks, currently TNT, for 24 years.

The deal also represents an expansion of Turner's growing portfolio of "new media" sports operations. The company's strategy is to capture sports fans -- and advertisers -- on multiple platforms. Turner already operates Websites for NASCAR and the PGA Tour.

The NBA opted to follow those organizations, rather than the NFL and Major League Baseball, which have kept their large digital operations in-house.

"We think we are in an era where developing your own expertise in every aspect of a business is ultimately going to turn out to be too expensive for us and not avail us of the best opportunity for growth," Stern said. "And so when you have a partner of 24 years that not only produces your games already in an award-winning fashion but has developed a digital experience that it would take you years to gear up for, we believe this is the better model.

"We think this is an extraordinary opportunity to quickly ignite our digital assets," Stern said.

The deal gives Turner responsibility for content, marketing and technical operation of NBA TV, NBA.com and WNBA.com, as well as responsibility for operating NBA League Pass, the league's out-of-market game-telecast package.

Both Turner and the NBA will sell advertising for the digital platforms. Stern cited the size of Turner's sales force as an asset for the league.

NBA TV, which shows live NBA and WNBA games as well as other basketball programming, is seen in 15 million U. S. homes on digital sports tiers -- a number the league wants to grow substantially when, not coincidentally, all current carriage contracts expire after this season.

The NBA, not Turner, will be responsible for negotiating new distribution deals. But Stern cited the programming improvements expected from Turner as a key part of the pitch.

"We are coming to our friends in the cable and satellite business saying, 'OK, we're finished up with sort of our experimental stage together. Now we would like to discuss broader distribution but understand we have to do it in the context of better programming,'" Stern said.

Levy said decisions haven't been made on changes to NBA TV's programming mix. But he said all of TNT's basketball broadcasters will appear at times on NBA TV and NBA.com.

Turner and the NBA will hire a general manager, based in Atlanta, to oversee NBA TV, NBA.com and related properties. The GM will report to Turner's Levy and the NBA's Silver.