NBA salary cap increase lower than expected amid declining local revenue

Yahoo Sports1 min read • Latest: Jul 3, 2026, 4:54 PM

Last updated Jul 3, 2026

NBA salary cap increase lower than expected amid declining local revenue
Summary

The NBA announced a salary cap increase of approximately 6.5% for the 2026-27 season, falling short of the 10% expected by teams. Factors contributing to this include reduced basketball-related income due to a shorter postseason, which resulted in fewer playoff games, and ongoing declines in local television revenue. The league's new national media contracts were anticipated to support a larger cap growth, but financial pressures from regional sports networks continue to affect franchises across varying markets. NBA executives recognize that these local media challenges could hinder long-term revenue strategies, prompting discussions on potential league expansion before local rights agreements expire in 2027.

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By the Numbers
  • Salary cap for 2026-27 set at a 6.5% increase.
  • Teams had expected a 10% growth due to new national media deals.
  • Shorter postseason led to fewer playoff games and reduced income.
  • Local TV revenue declines affect franchises across the league.
  • Future discussions focus on NBA expansion and local broadcast agreements.
Latest Updates
  • 4:54 PMYahoo SportsNBA executives point to one reason salary cap fell short of expectations
What they're saying
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NBA teams expected a bigger salary cap jump, but lower local TV revenue and a shorter postseason limited the increase for the 2026-27 season.

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