Rockets general manager Daryl Morey may have sent the most expensive tweet of all-time when he tweeted his support for anti-government protestors in Hong Kong earlier this season, and the fallout from the tweet could reportedly have an impact on NBA free agency.
China made the decision to pull sponsorships and TV coverage in the wake of Morey’s tweet. That is believed to have cost the league anywhere between $150 million and $200 million, according to a report from ESPN’s Adrian Wojnarowski.
That number is going to have a considerable impact on the league down the line. The 2020-2021 salary cap could drop from a projected $116 million to $113 million, per the report.
This year it won’t change things much, but next summer it might
In the grand scheme, it might not feel like $3 million means a lot — especially when we consider how much money has been thrown around by teams year after year.
For this season it particular, it doesn’t mean much of anything. The NBA already has its salary cap numbers down for this season and we’re halfway through the year.
However, we might see teams trying to prepare themselves for the summer of 2020 and 2021. This news has big implications there — not just for teams trying to snag free agents but also for teams trying to retain their own.
The luxury tax number was projected to be at $141 million but would drop to $138 million if the new projections hold true. There were already just a handful of teams with cap space next season and that dwindles down even more if projections hold true.
The Warriors, in particular, are burned by the new number. As a repeater tax team, meaning they’ve spent multiple years in the NBA’s luxury tax threshold, they would have to pay about $80 million in penalties if the tax drops to $138 million instead of $65 million if the tax stays at $141 million.
Who knew the power of Twitter could extend this far?
[jwplayer Ccdv1e8n-q2aasYxh]