Quick Hit:

Warner Bros. Discovery has initiated a covert marketing campaign against the NBA and Amazon, enlisting Edelman PR to criticize their $1.8 billion-per-year streaming deal.

Key Details:

• Warner Bros. Discovery hired Edelman to spearhead the campaign.

• The campaign aims to criticize Amazon's new NBA streaming rights.

• Warner Bros. Discovery filed a lawsuit against the NBA over contract disputes.

Diving Deeper:

Warner Bros. Discovery is challenging the NBA's decision to grant Amazon Prime Video a $1.8 billion-per-year package of streaming rights for professional basketball games starting in the 2025-2026 season. The media giant has enlisted Edelman, an independent public relations firm, to orchestrate a campaign aimed at criticizing the NBA's deal with Amazon.

Edelman, known for representing major brands like Unilever’s Hellmann’s and Yum Brands’ Taco Bell, will mobilize athletes, influencers, and executives to voice opposition to the NBA’s decision. This move follows the NBA's broader media rights allocation, which also included deals with Walt Disney and NBCUniversal in an 11-year agreement starting after the next NBA season.

Warner Bros. Discovery, which could not be reached for immediate comment, has filed a lawsuit against the NBA in the Supreme Court in New York. The lawsuit alleges that the NBA breached contract terms by not allowing Warner to match Amazon’s offer. Warner argues that their cable network and Max broadband hub can rival Amazon's streaming capabilities.

Charles Barkley, a prominent figure on Warner’s “Inside the NBA,” expressed his dissatisfaction with the NBA's decision on Instagram, highlighting that while TNT matched Amazon's financial offer, the NBA preferred Amazon due to its willingness to invest in future rights. Despite Barkley’s criticism of the lawsuit and Warner's handling of the situation, he hinted at a potential departure from “Inside the NBA” after the next season if his contract obligations are not met.

The hiring of Edelman comes as Warner Bros. Discovery's public image efforts are being overseen by Robert Gibbs, a former spokesperson for the Obama White House, who was appointed as the company’s chief communications and public affairs officer in June. Warner hopes this campaign will pressure the NBA while also bolstering its position in ongoing legal battles.