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all right now we're going to move on to the 2025 biggest business loser predictions in 2024 shamat said pro
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sports teams because they hit Peak valuations that's looking like a pretty good prediction I would take the other
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side on pro sports teams it feels like that market is about to be institutionalized and funds are going to
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start buying pro sports teams okay that ultimately and ultimately Capital markets have way more resources than
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kind of the wealthy individuals who've done it for to date so I just think it's the amount of money that can go after
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pro sports teams is about to you know 10x 100x no I think I think you're totally right the the reason I said that
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last year was it was pretty clear to me at the time and the NBA was the canary and the coal mine that there was a
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viewership problem in professional sports and specifically in the NBA the game has devolved into essentially
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rebounds and dunks or three-pointers and the issue with that is that it become just meaningfully less
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interesting to watch at the same time because of the the fact that the TV deals are really what determines the
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discounted value of these sports franchises the TV deal was so enormous that it creates
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no reliable rivalries anymore because people will Hopscotch teams almost every year because the compensation that they
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can get is just so obscene quite honestly and I think what happens is sports will have a decent run until the
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next TV deals get done and I think if you for example take PHA ads outside of TV so like that pool shrinks if you have
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less viewership and so you can sell the remaining ads less effectively because there's just fewer of them and then
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there's fewer buyers and it shrinks yet again then the dollar pool that the television networks and the streamers
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are going to be willing to pay for sports will go down and the group that will be the most
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price sensitive are exactly who you said Gavin meaning the non trophy buyer so like you know when I bought into the
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Warriors I bought it purely as a trophy asset and I was price insensitive but I agree with you that now that you have
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the PE firms on the cap tables of these sports franchises those folks are all DCFS those folks are all Excel models I
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don't think that they're buying things for emotion I don't think they've grown up thinking I want to own this thing not
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using institutional LP dollar so I just think that's why that's why I said that in 24 so I just on behalf of
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Phil houth and I we appreciate you made that vanity investment for the number of
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times we got to sit in your cour side seats yeah because I never went we made with NBA players I never went to the
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games I should have gone to more games I went to your games it almost got thrown
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out of your seats I got a red card one time it's true is it true you did oh you don't know that I got a I got a call I
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got a call I think it was from the Warriors or it's from the NBA something to the effect of chouth this guy that
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was sitting in your seats was almost kicked out and I said excuse me because I knew that it wasck Game In fairness
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and and he was like jawboning our own players I was getting into it with Bogan and with David Lee because I told it was
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unbelievable I told Steve Kerr listen you're up 30 on my Knicks sit these guys down this is Bush League what if Steph
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Curry gets hurt out there like and uh you know Boga told me to shut up and Andre boett told him to basically go
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pound end in a basically did it was the funniest thing ever Gavin this is what happens when you get B's one of our
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friends he's one of our good friends so that's why it's so funny but they can't they come over freeberg and they tap you
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on the shoulder I'm with my wife she's mortified and the guy hands you a card and the card says you've been uh warned
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one time and one time only about abusive you know uh Behavior if we have to warn
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you one more time you will be escorted out ridic so I look at the guy and I say but and he goes read the card I read the
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card I say he goes gives me a thumbs up that was it I never that it you're not supposed to then three years later I'm
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sitting in the same seats I'm interacting with Draymond during the finals games and everybody's hokey doie
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with it when you say interacting what do you mean when you say interacting wait hold on G Gavin wanted to make a point
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about what I just no I just want to just just come back to chath because for sure
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these private Equity guys there's DCFS the NBA has been terribly managed I think you LeBron said they have a big
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problem you know and I'd separate the NBA is the worst managed NFL is probably the best managed but the one kind of
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CounterPoint I would say on the TV rights is Google bought Sunday Ticket and are extremely happy with
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it Amazon and Netflix also bought you know both bought NFL games and are really happy with them and so I just
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think those three companies it doesn't really matter to them if Pharma ads go away in 18 months you're going to be
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able to dynamically create an ad for each individual person and show it to them and if a high value user with a you
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know that Google knows that you're about to book a vacation you know they'll dynamically generate you know whatever
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you know Hotel destinations you want and show click here so I just think Sports as long as they command the eyeballs
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that they do and I for sure if the NBA doesn't fix it the value of those franchises will start to decline but um
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just the fact that all of the biggest tech companies are so happy with the sport kind of rights that they bought
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they're going to buy them all every maybe maybe you're closer to this but why wouldn't Apple Amazon or Google
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just back up the truck to the NBA and say well take the whole thing and then anybody who's got an iPhone gets the NBA
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for free and then everybody else has to pay and they figure it out in the back end they lose a you know five billion
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they make two billion who cares it's a rounding error for Apple I agree and they you know I mean they all all except
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for Apple really and apple they have I think an MLs deal but they all kind of stuck their toe in the water and I think
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they feel like wow the water's warm let's dive in um okay yeah and the New Deal is an 11-year deal for the NBA so
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these things don't come up that often but we'll see over time maybe somebody will buy one of these media companies
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and inherit them