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Comment by Eduardo3rd | Hacker News Reader

If the Clippers are worth $2 billion I can't even imagine what the Bulls, Lakers, or Heat would cost on the open market. I wonder if the increase in value over the past few decades relates to the fact that live sporting events drive such a huge premium in today's consume at your own pace media culture.

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Lakers? More. Others? Not as much. The only other NBA team worth that kinda scratch is the Knicks. Ballmer WAY overpaid for a second tier team that happened to be in a prime market. He should seriously consider renaming and rebranding it as soon as possible.

second tier team

* Finished with the 4th best record in the league

* Made it to the 2nd round of the Western playoffs

* Have arguably the best PG in the game

* Have the biggest bandwagon next to Portland & GSW

The future is blindingly bright for these guys, and you want them to rebrand. Please

Week they certainly don't have history or prestige, which matters a lot in sports teams' longevity of popularity.

Yes, second tier team. For the vast majority of that franchise's existence, they have been synonymous with failure. They will never be as popular as the other team in that city, and they don't even pull in half the revenue the Lakers do. Given the team's negative history, not even considering the recent debacle that forced the sale of the team, they'd do well to come up with another brand that could have greater resonance with the local and national audience. They're almost certain to do a complete brand redesign anyway.

http://www.forbes.com/nba-valuations/list/

Pretty sure the Celtics would bring in a decent number, given their storied past?

Sure, the Celtics too. The Celtics, Bulls, Lakers, and for the moment the Heat all have national followings. The Lakers and Celtics because of their dynasties, the Heat for their current success, and the Bulls because of their Jordan dynasty and because WGN broadcast their games nationally during that era.

The Heat are the reigning dynasty with three of the best players in the league on one team surrounded by an all-star cast. They'd at least tie the Lakers in cost. But yeah, the Clippers are second-tier relative to some of the talent out there, I agree with that.

I don't think the players matter much in the valuation of a franchise outside of winners = more money.

That's not how franchises are valued. Talent comes and goes.

The Lakers have a ton of championships that have gotten them a MASSIVE following and they're in the largest market in the country. The Heat are nowhere remotely close to being as valuable. This isn't a matter of talent, it's a matter of history, brand loyalty, advertising, and all the money that comes with that.

Fairly wild given that I don't believe Staples Center is part of the deal. A lot of what drives prices up for sports teams (most evident in the NFL) is tying a Stadium along with the team.

I doubt the Heat and Bulls are as much as the Lakers/Clippers. Sports revenue is highly dependent on the size of the city's media market.

Live TV broadcasting rights are getting into the billions for some teams.

Actually, I wouldn't be surprised if the Clippers are the most valuable franchise in the NBA right now (or second to the Lakers). They're in a massive (albeit shared) market, have (part of) one of the best arenas in the league and are in the midst of a resurgence with some of the best players in the world. The Knicks and the Nets would also be way up there. The Heat, though successful and highly marketable, are in a relatively tiny market in Miami.

It's hard to say what any team is worth based on a transaction, since they're often bought as luxury goods and not as financial investments. Steve Ballmer wanted the team, so he bought it. I don't think he cares whether he can resell it for $2 billion.

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