LeBron James Signs 2 Year- $42 Million With Cavs

Lebron James has signed a two-year deal with the Cleveland Cavaliers worth $42.2 million. But if you’re thinking we’re going to have to do this whole decision process all over again in the summer of 2016, that would be incorrect.  The reason for the short deal, LeBron’s business savvy.

The NBA will begin negotiating for a new TV deal and the cap is expected to increase, so that would mean the opportunity for LeBron to make more money.

The NBA’s TV deal with ABC/ESPN and TNT/Turner Sports expires after the 2015-16 season, and revenue is expected to increase significantly in the next TV deal. Fox Sports is expected to join the bidding war for television rights, and ratings have been strong for the current networks. That means a max deal will worth more in a new TV deal.

LeBron can opt out in the summer of 2015 if he likes but his intent per “sources” isn’t to leave Cavs again. If you missed reading LeBron’s essay on why he return to Cleveland, you can check that out HERE.