Brooklyn Nets governor Joe Tsai took the stage at CNBC’s 'CONVERGE' event on March 20, 2025, to share insights about his ownership of the Nets and discuss the overarching themes of revenue generation through sports and entertainment. In his speech, Tsai emphasized the unique motivations behind sports ownership, stating, “For a sports owner, the return season after season is [...] you’re trying to win the championship, so you want to win games.”
Tsai, who became the principal owner of the Nets in 2019 after initially purchasing 49% of the team, is also active in other sports domains, owning the WNBA's New York Liberty and the National Lacrosse League’s San Diego Seals and Las Vegas Desert Dogs. He holds a prominent business position as the chairman of Alibaba, intertwining his interests in sports and commerce.
During the event, Tsai shed light on what drives his investments. He noted, “You’re not looking at the income statement of the team from season-to-season,” highlighting that although financial metrics are relevant, his passion for sports plays a more significant role in his commitment to maintaining the team. This sentiment resonated strongly, offering a glimpse into the ethos of his ownership strategies.
The importance of the Barclays Center, home to the Nets, was also a focal point of Tsai’s discussion. Commenting on its revenue potential beyond basketball, he revealed, “Most nights, we have concerts. We’re generating revenue from renting out the space to artists, and that’s a great business.” Indeed, in the last year, the Barclays Center earned recognition as one of the top three or four venues in the world for concerts, signifying its strong commercial viability.
Tsai underscored the impact of a new NBA media rights deal set to commence next season, which is reportedly valued at a staggering $76 billion over 11 years. This landmark agreement illustrates the financial upside and media exposure available to major sports leagues like the NBA, which directly influences the valuation of franchises. Tsai noted, “NBA and NFL teams all look expensive, but that they had a lot of upside due to their sports' global viewership.”
In a broader strategic move, Tsai announced his recent purchase of a 3% stake in the Miami Dolphins, shelling out around $200 million. This acquisition, he explained, was made possible when Dolphins owner Stephen M. Ross sought to sell a minority stake. Tsai views this opportunity not just through the lens of ownership, but as an economic stake in a well-structured collection of assets, including Hard Rock Stadium, the Miami Open tennis tournament, and the Miami Grand Prix.
When elaborating on the value of these investments, he expressed that owning a sports franchise proved more advantageous than owning property. “In terms of real estate, your upside is kind of limited,” Tsai stated. “You’re collecting rent. [With] teams, the [intellectual property] value will continue to rise as long as you can continue to build a fanbase.”
Through these conversations, Tsai effectively articulated the intricate relationship between sports ownership and financial strategy while hinting at the vibrant future he envisions for sports entertainment. He encouraged potential investors to look beyond the immediate financial statements and align their passions with the industries they invest in.
As the discussion wrapped, Tsai’s insights left attendees, and the broader sports community, with valuable reflections on navigating the intertwining paths of sports, investment, and cultural significance. His narrative is not merely about profit; it's also about fostering a deeper love for sports that transcends the confines of financial returns.
