WEBVTT

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Welcome back to the Deep Dive. Today, we are

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stripping away the glamour. We are leaving the

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bright lights of Madison Square Garden. We are

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stepping away from the crypto .com arena, and

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we are going down to the basement. Or rather.

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The engine room. The engine room. That is really

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the perfect way to put it. Well, yeah. I mean,

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the ship doesn't move without it, but nobody

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pays for a ticket to go look at the engine. Exactly.

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Yeah. We were talking about the NBA G League,

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and I think for a lot of people, even serious

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basketball fans who watch the NBA every night,

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this league is sort of a blind spot. It's this

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mysterious holding pattern where players just

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disappear to. And if they're lucky, they reappear

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later with a better jump shot. Right. It's historically

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been viewed as the island of misfit toys, a place

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for guys who weren't quite fast enough or tall

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enough or skilled enough for the big time. Yeah,

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the almosts. The almosts. But if you actually

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look at the mechanics of the modern NBA, how

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rosters are built, how money is spent, how the

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game is actually played, you can't understand

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any of it without understanding the G League.

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It's the R &amp;D lab. It is the R &amp;D lab. It's the

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testing ground for players, for coaches, for

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referees, and, you know, even for the rules of

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the game itself. And honestly, the story of how

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it got here. I mean, from a tiny experiment in

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the South to a global operation, it's a crash

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course in the business of modern sports. So before

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we get into the weeds of contracts and call -ups,

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let's start with the branding, because this is

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the first clue that this isn't your grandfather's

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minor league. If you've been watching hoops for

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20 years, you know this wasn't always the G League.

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No, not at all. And the name change is actually

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a massive piece of sports business trivia. Right.

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We are so used to stadiums being named after

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banks. or airlines. It's just background noise

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now. But in 2017, this became the first U .S.

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professional sports league to be named entirely

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after an advertiser. G stands for Gatorade. It

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stands for Gatorade. It went from the pretty

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generic development league or D -League to a

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fully branded property. And that matters. It

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really does. It signals that this isn't just

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some charity project for the NBA anymore. No,

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it's a real asset. It's a commercial asset. It

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has a corporate identity. Which is wild. When

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you think about it, the Gatorade League. Yeah.

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But we've all just accepted it as the G League

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now. It just it flows. It does. And it speaks

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to the partnership. I mean, Gatorade is about

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fuel and performance. The league is about development

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and performance. It's a synergy that actually,

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you know, it makes sense, unlike some stadium

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names we could mention. For sure. Yeah. So lay

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out the map for us. What are we looking at today

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in terms of scale? Because I think people still

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imagine this as like. six teams playing in high

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school gyms it is so far from that now today

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we have 31 teams 31 31 that is nearly a one -to

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-one ratio with the nba which has 30 teams you've

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got 29 franchises in the united states stretching

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from maine all the way to california wow then

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you have the raptors 905 up in canada and then

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the fascinating outlier the mexico city capitanes

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exactly we are looking at a league that has stretched

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its tentacles across the entire continent but

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to appreciate that scale you have to realize

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how humble the beginnings were. I mean, in 2001,

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this thing was barely a blip on the radar. And

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this brings us to the mission of the deep dive

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today. We want to understand how a tiny league

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of eight teams in the southeastern U .S. evolved

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into this massive international R &amp;D lab for

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the NBA. And how it works for the players. Right.

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and exactly how it acts as a shortcut or maybe

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a detour to the big leagues for players. Yeah,

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we want to peel back the curtain on the mechanics.

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How does a player go from making, say, $35 ,000

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in a small town to guarding LeBron James on national

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TV? What does that journey actually look like?

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So let's go back, section one of our story, the

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origin, the NBDL. The National Basketball Development

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League. This feels like ancient history now,

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doesn't it? It really does. I was looking at

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the original press releases from June 2000. David

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Stern, the commissioner at the time, and Russ

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Granik, his deputy, they lay out this plan. And

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the context here is so important. It's everything.

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The NBA had been trying to buy the CBA, the Continental

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Basketball Association. Right. For those who

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don't know, the CBA had been the de facto minor

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league for decades. It was gritty. It was wild.

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The real proving ground. It was. Phil Jackson

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coached there. George Carl coached there. It

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was where you went to cut your teeth. The NBA

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tried to buy it in early 2000 to bring it in

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-house to formalize that relationship. But the

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deal fell through. The CBA owners just said no.

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They rejected the offer. They thought the NBA

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was low -balling them, trying to take their league

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for cheap. So Stern pulls a classic David Stern

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move and says, fine, we'll build our own. Yeah,

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exactly. We will do it ourselves and we will

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do it our way. But their way in 2001 was, well...

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was odd. Very odd. How so? They launched with

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just eight teams and they were all huddled together

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in the southeastern United States. The geography

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is so specific. Virginia, the Carolinas, Alabama,

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Georgia. Why there? Why not spread them out?

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It was an experiment in pure efficiency. They

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wanted to keep travel costs rock bottom. The

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bus league. A bus league. That's the perfect

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term for it. They wanted to bus teams between

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games instead of flying. If you put all the teams

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within a six -hour drive of each other, you save

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a fortune on airfare and hotels. It was a shoestring

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budget. But the branding. We have to talk about

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the branding. The team names from that 2001 season

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are just incredible. They sound like created

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teams in a video game. Oh, they are spectacular.

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The first ever champions were the Greenville

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Groove. The Greenville Groove, based in South

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Carolina. Just roll off the tongue. And they

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defeated the North Charleston Logators. Logators

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is actually a pretty cool name referencing the

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Lowcountry region. I'll give them that one. Okay,

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that one gets a pass. But then you had the Mobile

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Revelers, the Fayetteville Patriots. All very,

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you know, generic early 2000s sports branding.

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And my personal favorite. The Roanoke Dazzle.

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The Roanoke Dazzle. It sounds like a bad magic

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show at a casino. And now for your halftime entertainment,

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The Great Dazzle. It does. But that was the vibe.

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It was small town family entertainment. They

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were trying to sell tickets for... $10, $15 a

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pop. So what was the in -arena experience actually

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like? It was. Well, it was minor league. They

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tried to package it as a single entity. All the

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uniforms looked the same, just with different

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colors and logos. They had the NBDL logo plastered

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everywhere. They did have a TV deal, though,

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right? They did, which was huge for a startup

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minor league. A deal with ESPN, too. So there

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was some national exposure, but the in -arena

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experience is tough. What were the numbers like?

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Did you see any attendance figures? The attendance

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was brutal. They averaged about 1 ,640 fans per

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game that first year. Oof. The NBA expected more.

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But you have to put yourself in the shoes of

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a fan in Fayetteville in 2002. The players are

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guys you've never heard of. They are 20 years

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old. The connection to the NBA felt very, very

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distant. It wasn't like today where you see a

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guy in the G League and think... He might be

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on the Lakers next week. Not at all. It felt

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like a completely separate ecosystem, a walled

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garden. You didn't feel like you were watching

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future stars. You felt like you were watching

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guys that couldn't make it. A league of consolation

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prizes. That's a good way to put it. But even

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then, the proof of concept worked. The talent

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was there. You just had to squint to see it.

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And we had Chris Anderson, the Birdman. The Birdman.

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The Mohawk and the tattoos. Before the Mohawk,

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actually, he was very fresh -faced back then.

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But he was the first player drafted by an NBDL

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team to get called up to the NBA. He went to

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the Denver Nuggets. And he had a long, very successful

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career. He won a ring with Miami. A very good

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career. So the scouts knew the talent was there.

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The business model just wasn't working. The fans

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weren't coming. So that leads us to 2005, the

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first pivot. They dropped the National, and it

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becomes the D -League. This was a pure branding

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strategy. Put NBA front and center. NBA Development

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League. To make that connection explicit. Exactly.

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They wanted fans to know this wasn't the CBA.

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This was the NBA's little brother. It was an

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attempt to borrow credibility from the parent

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brand. And this is where the map starts to just

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explode. The Southeastern strategy goes right

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out the window. Completely. This is the Wild

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West era of the league. You had private ownership

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groups coming in and seeing an opportunity. Like

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who? There was a group called Southwest Basketball,

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LLC. They bought up these struggling franchises

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in the South and moved them to where the money

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was or where they thought the money was. So they're

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leaving the Carolinas in? They went to Albuquerque.

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They went to Austin. They went to Bakersfield,

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California. The league started chasing markets

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rather than just bus rats. And what happened

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to the original teams? They were the casualties.

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The Roanoke Dazzle, the Fayetteville Patriots.

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They folded. The league abandoned the region

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that birthed it. It was pretty ruthless. It sounds

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chaotic. Teams popping up, moving, folding. It

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sounds like a startup that hasn't found its product

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market fit yet. That is exactly what it was.

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It was volatile. But in 2006, amidst all that

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chaos, something happened that I would argue

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is the most important structural moment in the

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league's history. The Lakers. The Los Angeles

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Lakers bought a team. The Defenders. That's right.

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Now known as the South Bay Lakers. But at the

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time, this was radical. Before this, you had

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league -operated teams or independent local owners.

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The Lakers were the first NBA franchise to say,

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no, we are going to buy our own minor league

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affiliate and we are going to run it from top

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to bottom. Why was that such a big deal? Why

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didn't every team just do that immediately? Money.

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Pure and simple. It's expensive to run a basketball

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team that loses money. And make no mistake, G

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League teams generally aren't printing cash.

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They're a line item in the expense column. They

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are cost centers. The Lakers have deep pockets

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so they could afford it. But for a team like

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the Milwaukee Bucks or the Indiana Pacers back

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then, dropping a few million on a minor league

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team wasn't an easy sell to ownership. So you

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had this gap. You had NBA teams who wanted the

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control the Lakers had. They wanted to develop

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their own guys and their own system, but they

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didn't want to buy the cow. Precisely. And that.

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Tension, that problem, led to the second big

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pivot, which brings us to section two, the structural

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revolution. This is where we talk about the hybrid

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model. It sounds like a business school case

00:10:21.820 --> 00:10:23.980
study, but it really did save the league, didn't

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it? It really is. It stabilized everything. The

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breakthrough came in 2009 with the Houston Rockets.

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Of course it's the Rockets. Of course. Particularly

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under Daryl Morey at the time, they were the

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kings of efficiency and analytics. They wanted

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to control all the variables. They wanted their

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G League team to play exactly like the Rockets.

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Shoot threes, layups only, switch everything

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on defense, a perfect replica. Right. They wanted

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to mandate the style of play. But they didn't

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want to run the ticket sales in the Rio Grande

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Valley. They didn't want to deal with local sponsorships

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or paying the janitors at the arena. They wanted

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the lab, not the business. Exactly. So they struck

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a deal with the Rio Grande Valley Vipers. It's

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called a single affiliation partnership, the

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hybrid model. OK, so break down the division

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of labor there, because this is the secret sauce.

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It's brilliant. The local owners in Texas run

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the business side. They sell the hot dogs. They

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book the halftime acts. They sell the local sponsorships

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and they pay the arena rent. They keep whatever

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profit comes from that. OK. And the Rockets.

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The Rockets run the basketball, period. They

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hire the coaches. They sign the players. They

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dictate the offensive and defensive schemes.

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They pay for all the basketball operations. So

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it's the best of both worlds. The Rockets get

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a laboratory without the overhead of running

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a local business. And the local owners get a

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product that is directly tied to an NBA team.

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Right, which helps sell tickets because you can

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market the connection. Come see the future Houston

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Rockets. It was a win -win. It solved the financial

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hurdle. It did. And once the Rockets proved it

00:11:52.909 --> 00:11:55.710
worked, and boy, did it work, the Vipers were

00:11:55.710 --> 00:11:59.210
a powerhouse. The floodgates opened. You saw

00:11:59.210 --> 00:12:01.690
the Nets, the Knicks, the Blazers, all these

00:12:01.690 --> 00:12:04.110
other teams scrambling for these hybrid deals.

00:12:04.289 --> 00:12:06.649
Well, this model allowed the NBA team to control

00:12:06.649 --> 00:12:09.350
the development without having to buy the franchise

00:12:09.350 --> 00:12:12.179
outright. Exactly. You solved a problem that

00:12:12.179 --> 00:12:14.179
I think a lot of fans don't realize existed,

00:12:14.519 --> 00:12:16.860
the sharing nightmare. Well, the sharing era

00:12:16.860 --> 00:12:19.120
was a disaster, right? A complete disaster for

00:12:19.120 --> 00:12:22.059
actual development. Before this one -to -one

00:12:22.059 --> 00:12:25.639
affiliation became the norm, you had shared affiliates.

00:12:25.820 --> 00:12:28.940
So walk me through that. So imagine you are the

00:12:28.940 --> 00:12:31.360
Fort Wayne Mad Ants. And on your roster, you've

00:12:31.360 --> 00:12:33.620
got a point guard sent down by the Detroit Pistons,

00:12:33.720 --> 00:12:36.379
a center sent down by the Milwaukee Bucks, and

00:12:36.379 --> 00:12:39.019
a winger sent down by the Indiana Pacers. And

00:12:39.019 --> 00:12:41.080
the coach is just stuck in the middle of all

00:12:41.080 --> 00:12:43.950
that. The coach is pulling his hair out. The

00:12:43.950 --> 00:12:46.169
Pistons are calling him, saying they want their

00:12:46.169 --> 00:12:48.429
point guard to run 100 pick and rolls a game.

00:12:48.809 --> 00:12:51.230
The Bucks call and say they want their big man

00:12:51.230 --> 00:12:54.250
to work on post -ups. The Pacers want their guy

00:12:54.250 --> 00:12:56.769
to practice shooting corner threes. The schemes

00:12:56.769 --> 00:12:59.029
completely clash. You can't build a culture.

00:12:59.230 --> 00:13:01.649
You can't build a system. You can't. The coach

00:13:01.649 --> 00:13:04.169
serves three masters, which means he serves none

00:13:04.169 --> 00:13:07.220
of them. His only job is to give everyone minutes

00:13:07.220 --> 00:13:09.620
and hope nobody gets hurt. It's babysitting,

00:13:09.659 --> 00:13:12.320
not development. Exactly. But the hybrid model

00:13:12.320 --> 00:13:15.659
killed that. And by 2015, the Indiana Pacers

00:13:15.659 --> 00:13:18.419
bought the Mad Ants, who were the last independent

00:13:18.419 --> 00:13:20.960
holdout. And that was it. The era of sharing

00:13:20.960 --> 00:13:24.120
was over. We moved to a rigid, one -to -one structure.

00:13:25.039 --> 00:13:27.799
Every NBA team has its partner. And that changed

00:13:27.799 --> 00:13:29.940
the geography again, didn't it? Because once

00:13:29.940 --> 00:13:32.279
you own the team or you control the basketball

00:13:32.279 --> 00:13:34.820
operations, you don't want them in South Dakota

00:13:34.820 --> 00:13:37.600
if you play in Miami. Logistics became king.

00:13:37.820 --> 00:13:39.919
It was no longer about saving money on travel

00:13:39.919 --> 00:13:41.600
for the whole league. It was about efficiency

00:13:41.600 --> 00:13:44.460
for one organization. Right. If you need a player

00:13:44.460 --> 00:13:47.220
for a Tuesday night game because your starter

00:13:47.220 --> 00:13:49.210
rolled an ankle at shoot around. You need him

00:13:49.210 --> 00:13:51.289
now. You need him now. You don't want him taking

00:13:51.289 --> 00:13:53.490
three connecting flights and showing up exhausted

00:13:53.490 --> 00:13:56.190
two hours before tip -off. So we saw the great

00:13:56.190 --> 00:13:58.590
migration. The great migration is a perfect way

00:13:58.590 --> 00:14:01.049
to put it. The New Jersey Nets, when they moved

00:14:01.049 --> 00:14:03.649
to Brooklyn, they eventually moved their affiliate

00:14:03.649 --> 00:14:07.549
to Long Island. Close by. The Phoenix Suns bought

00:14:07.549 --> 00:14:10.529
the Bakersfield Jam and moved them to Prescott

00:14:10.529 --> 00:14:13.970
Valley, Arizona. The Utah Jazz moved their team

00:14:13.970 --> 00:14:17.580
from Idaho. all the way down to Salt Lake City.

00:14:17.700 --> 00:14:20.039
Literally in the same city. Right. It turned

00:14:20.039 --> 00:14:22.940
the league into a true localized farm system,

00:14:23.039 --> 00:14:25.899
very similar to what baseball has with its AAA

00:14:25.899 --> 00:14:28.720
teams, but often even tighter geographically.

00:14:28.799 --> 00:14:30.480
It's all about creating a seamless transition.

00:14:30.759 --> 00:14:32.460
You want the player to be able to just drive

00:14:32.460 --> 00:14:34.440
down the highway, not fly across the country.

00:14:34.730 --> 00:14:37.289
Right. It reinforces the idea that you are part

00:14:37.289 --> 00:14:39.169
of the family. You're just down the road. You're

00:14:39.169 --> 00:14:41.629
not in exile. So we've built the machine. We

00:14:41.629 --> 00:14:43.529
have the teams. We have the owners. We have the

00:14:43.529 --> 00:14:46.309
locations. Now let's look at the actual product,

00:14:46.549 --> 00:14:49.350
the player. The talent. This is section three.

00:14:49.929 --> 00:14:52.929
How does a player actually exist in this world?

00:14:53.110 --> 00:14:55.070
Yeah. If I'm a player, how do I actually get

00:14:55.070 --> 00:14:57.549
here? And more importantly, what is my life like?

00:14:58.240 --> 00:15:00.320
Because I think people hear pro basketball and

00:15:00.320 --> 00:15:02.039
they think private jets and Ritz -Carlton's.

00:15:02.080 --> 00:15:05.399
That is not the G League reality. Not even close.

00:15:05.779 --> 00:15:09.120
Let's talk numbers. If I am just a standard G

00:15:09.120 --> 00:15:12.399
League player, not on an NBA deal, just a guy

00:15:12.399 --> 00:15:14.580
who made the team from a tryout or the G League

00:15:14.580 --> 00:15:17.720
draft, what am I making? The base salary is around

00:15:17.720 --> 00:15:21.039
$35 ,000 for the season. 35 grand. I mean, you

00:15:21.039 --> 00:15:23.500
can make more managing a fast food franchise.

00:15:23.720 --> 00:15:26.120
You can make more driving Uber full time in some

00:15:26.120 --> 00:15:28.320
cities. You absolutely can. Now, to be fair,

00:15:28.419 --> 00:15:30.019
the season is shorter. It's about six months

00:15:30.019 --> 00:15:32.700
long and they do get housing provided and insurance

00:15:32.700 --> 00:15:36.299
benefits. But it is a grind, a serious grind.

00:15:36.559 --> 00:15:38.539
What's the travel like? You are flying commercial

00:15:38.539 --> 00:15:40.940
middle seat and coach. You are staying in basic

00:15:40.940 --> 00:15:43.559
hotels. You are often sharing rooms with a teammate.

00:15:43.779 --> 00:15:46.159
You are playing for the love of the game and

00:15:46.159 --> 00:15:48.179
the hope of a lottery ticket. And that lottery

00:15:48.179 --> 00:15:51.490
ticket is. Right. The call -up. If you get called

00:15:51.490 --> 00:15:54.169
up to the NBA, even for a 10 -day contract, the

00:15:54.169 --> 00:15:57.009
money changes instantly. A 10 -day contract can

00:15:57.009 --> 00:15:59.230
be worth more than your entire G League salary.

00:15:59.629 --> 00:16:01.389
And there are bonuses in the G League contracts

00:16:01.389 --> 00:16:03.350
now, right? Yeah, they've added incentives. You

00:16:03.350 --> 00:16:06.230
can earn up to $50 ,000 extra depending on call

00:16:06.230 --> 00:16:08.840
-ups and other performance metrics. But the real

00:16:08.840 --> 00:16:11.340
revolution for the players, the thing that changed

00:16:11.340 --> 00:16:14.299
everything, came in 2017 with the two -way contract.

00:16:14.720 --> 00:16:16.779
This is a term we hear constantly on broadcast

00:16:16.779 --> 00:16:19.899
now. Oh, he's on a two -way. But explain the

00:16:19.899 --> 00:16:21.980
mechanics. Why was this such a game changer?

00:16:22.200 --> 00:16:25.240
Before 2017, you were either an NBA player or

00:16:25.240 --> 00:16:27.700
a G League player. There was a hard wall between

00:16:27.700 --> 00:16:30.679
the two. If an NBA team wanted to keep you...

00:16:30.889 --> 00:16:33.250
They had to use one of their precious 15 roster

00:16:33.250 --> 00:16:35.470
spots. Teams are very protective of those spots.

00:16:35.649 --> 00:16:38.149
Very. So a lot of good, young, developmental

00:16:38.149 --> 00:16:40.570
guys would get cut. The two -way contract put

00:16:40.570 --> 00:16:43.309
a door in that wall. No, sir. An NBA team can

00:16:43.309 --> 00:16:45.509
now sign up to three players on these special

00:16:45.509 --> 00:16:48.190
deals. These players officially belong to the

00:16:48.190 --> 00:16:50.269
NBA team, but they spend the bulk of their time

00:16:50.269 --> 00:16:52.009
playing for the G League affiliate. But they

00:16:52.009 --> 00:16:54.870
can come up. They can float. They can be active

00:16:54.870 --> 00:16:57.970
on the NBA roster for up to 50 games during the

00:16:57.970 --> 00:17:00.529
regular season. Originally, it was 45 days. The

00:17:00.529 --> 00:17:02.990
rules have tweaked a bit, but basically they

00:17:02.990 --> 00:17:05.250
can float back and forth as needed. And the money.

00:17:05.470 --> 00:17:08.430
It's a massive jump. A two -way player earns

00:17:08.430 --> 00:17:10.670
a flat salary that's half of the rookie minimum.

00:17:10.869 --> 00:17:12.930
So for the current season, we're talking about

00:17:12.930 --> 00:17:17.250
a little over $550 ,000. So instead of $35 ,000,

00:17:17.410 --> 00:17:19.670
you are making half a million dollars. That changes

00:17:19.670 --> 00:17:21.950
your life. It's a different stratosphere. It

00:17:21.950 --> 00:17:25.390
keeps talent in the ecosystem. Before this, if

00:17:25.390 --> 00:17:28.190
you were a borderline NBA player, a really good

00:17:28.190 --> 00:17:30.910
one, you'd go to Europe. You'd go to Turkey or

00:17:30.910 --> 00:17:34.089
Spain or China where you could make $200 ,000

00:17:34.089 --> 00:17:38.069
or $300 ,000 tax -free. The NBA was losing that

00:17:38.069 --> 00:17:39.809
depth. Right. They were developing talent for

00:17:39.809 --> 00:17:42.089
other leagues. The two -way contract allows the

00:17:42.089 --> 00:17:44.029
NBA to pay enough to keep those guys in North

00:17:44.029 --> 00:17:46.089
America just a phone call away from the big club.

00:17:46.289 --> 00:17:48.230
It's asset retention. It's just smart business.

00:17:48.609 --> 00:17:51.349
100%. Now, we have to talk about the Ignite experiment

00:17:51.349 --> 00:17:55.349
because for a few years there, it really felt

00:17:55.349 --> 00:17:57.210
like the G League was trying to go to war with

00:17:57.210 --> 00:18:00.039
the NCAA. It was a very aggressive move. We're

00:18:00.039 --> 00:18:03.819
talking 2019, 2020. The one and done rule in

00:18:03.819 --> 00:18:05.599
college was, you know, highly controversial.

00:18:05.980 --> 00:18:08.279
Forcing top players to go to college for a year

00:18:08.279 --> 00:18:10.400
when they were clearly ready for the pros. Right.

00:18:10.519 --> 00:18:13.339
You had these elite high school players who didn't

00:18:13.339 --> 00:18:15.200
want to go to Biology 101. They wanted to be

00:18:15.200 --> 00:18:17.200
pros. They were physically ready. But the rule

00:18:17.200 --> 00:18:19.440
said they couldn't go to the NBA for one more

00:18:19.440 --> 00:18:22.400
year. So the G League said, come here, we'll

00:18:22.400 --> 00:18:24.599
pay you. They introduced something called select

00:18:24.599 --> 00:18:28.799
contracts, a base salary of $125 ,000. But it

00:18:28.799 --> 00:18:31.079
was reported that top stars like Jalen Green

00:18:31.079 --> 00:18:33.900
or Scoot Henderson got significantly more, maybe

00:18:33.900 --> 00:18:36.119
close to a million dollars. And they created

00:18:36.119 --> 00:18:38.359
a special team for them, right? The G League

00:18:38.359 --> 00:18:41.369
Ignite. Yes, based in Nevada. And this team was

00:18:41.369 --> 00:18:43.890
weird. It wasn't affiliated with the Knicks or

00:18:43.890 --> 00:18:46.289
the Lakers or anyone. It was a league -owned

00:18:46.289 --> 00:18:48.890
team. Right. Their sole purpose was to prepare

00:18:48.890 --> 00:18:51.509
these teenagers for the NBA draft. They were

00:18:51.509 --> 00:18:54.130
surrounded by veteran pros who acted as mentors,

00:18:54.190 --> 00:18:56.529
but the focus was entirely on developing the

00:18:56.529 --> 00:18:59.730
kids. No pressure to win games, just get better.

00:18:59.890 --> 00:19:03.230
And on paper, it sounded perfect. Jalen Green

00:19:03.230 --> 00:19:07.210
goes, nah, two overall. Jonathan Kaminga goes

00:19:07.210 --> 00:19:10.390
in the lottery. It worked. It did work mechanically.

00:19:10.450 --> 00:19:12.470
It produced high level draft picks. It proved

00:19:12.470 --> 00:19:15.109
you could bypass college and still succeed. But

00:19:15.109 --> 00:19:17.829
then the world changed. NIL. Name, image, and

00:19:17.829 --> 00:19:19.690
likeness. All of a sudden, college athletes could

00:19:19.690 --> 00:19:22.400
get paid. And not just a little bit of pocket

00:19:22.400 --> 00:19:25.599
money. No. If you are a top recruit, a guy who

00:19:25.599 --> 00:19:27.880
would have considered Ignite, you can now go

00:19:27.880 --> 00:19:30.759
to Duke or Kentucky, play on national TV every

00:19:30.759 --> 00:19:33.039
single night, be a campus hero, play in front

00:19:33.039 --> 00:19:35.859
of 20 ,000 screaming fans, and make a million

00:19:35.859 --> 00:19:38.220
dollars or more in endorsements. Compare that

00:19:38.220 --> 00:19:40.460
to playing in an empty gym in Nevada for the

00:19:40.460 --> 00:19:43.839
Ignite. Exactly. The G League's salary, even

00:19:43.839 --> 00:19:46.509
at half a million, suddenly looked... Less appealing.

00:19:46.730 --> 00:19:49.210
The unique value proposition just collapsed.

00:19:49.349 --> 00:19:51.910
It evaporated almost overnight. And that leads

00:19:51.910 --> 00:19:55.089
to the Ignite folding after the 2023 -24 season.

00:19:55.349 --> 00:19:57.930
It's a fascinating case study in how quickly

00:19:57.930 --> 00:20:00.670
the sports landscape shifts. The G League identified

00:20:00.670 --> 00:20:03.130
a market inefficiency unpaid labor, and they

00:20:03.130 --> 00:20:05.710
exploited it. Then the NCAA fixed that inefficiency,

00:20:05.849 --> 00:20:08.529
and the G League retreated. But they didn't retreat

00:20:08.529 --> 00:20:11.619
completely. They just pivoted back to their core

00:20:11.619 --> 00:20:14.900
competency, developing guys who were already

00:20:14.900 --> 00:20:17.819
pros or just on the cusp. Right. And that system

00:20:17.819 --> 00:20:20.279
is working better than ever. Which brings us

00:20:20.279 --> 00:20:23.180
to Section 4. Does it work? Let's look at the

00:20:23.180 --> 00:20:26.319
success stories. Because the alumni list is starting

00:20:26.319 --> 00:20:28.759
to look like an all -star team. It's not just

00:20:28.759 --> 00:20:31.140
fringe guys anymore. It really is. I think you

00:20:31.140 --> 00:20:32.880
have to start with Chris Middleton. The Milwaukee

00:20:32.880 --> 00:20:35.890
Bucks champion. Multiple -time all -star. He

00:20:35.890 --> 00:20:38.309
was a second round pick. He was traded to the

00:20:38.309 --> 00:20:40.650
books. He was sent to the Fort Wayne Mad Ants

00:20:40.650 --> 00:20:43.529
early in his career. He wasn't a superstar prospect.

00:20:43.769 --> 00:20:46.269
He had to grind. He had to learn how to be a

00:20:46.269 --> 00:20:48.809
professional scorer down there. And he did. And

00:20:48.809 --> 00:20:52.369
in 2019, he became the first G League alum to

00:20:52.369 --> 00:20:54.950
make an NBA All -Star team. That broke the glass

00:20:54.950 --> 00:20:57.349
ceiling. It sent a message to the whole league.

00:20:57.589 --> 00:20:59.569
It proved you could go down and come back stronger.

00:20:59.690 --> 00:21:01.509
It wasn't a death sentence for your career. No,

00:21:01.589 --> 00:21:03.630
it was a launch pad. And then you have Pascal

00:21:03.630 --> 00:21:06.319
Siakam. His story. is the gold standard for what

00:21:06.319 --> 00:21:08.880
the G League can be. Late start to basketball.

00:21:09.500 --> 00:21:12.500
Drafted by Toronto. Sent immediately to the Raptors

00:21:12.500 --> 00:21:15.960
905. And he didn't just play there. He dominated.

00:21:16.200 --> 00:21:18.220
He led them to a championship. He was the finals

00:21:18.220 --> 00:21:21.519
MVP of the G League. But it was the way he played

00:21:21.519 --> 00:21:23.740
that mattered. What do you mean? The Raptors

00:21:23.740 --> 00:21:26.660
905 coaches, under orders from the main club,

00:21:26.920 --> 00:21:29.380
let him do everything. They let him handle the

00:21:29.380 --> 00:21:31.420
ball like a point guard. They let him shoot threes

00:21:31.420 --> 00:21:33.279
even though he wasn't a great shooter yet. They

00:21:33.279 --> 00:21:35.400
let him make mistakes. That's the key, right?

00:21:35.819 --> 00:21:39.079
In the NBA, if a young Pascal Siakam turns the

00:21:39.079 --> 00:21:40.980
ball over twice in the first quarter trying to

00:21:40.980 --> 00:21:43.200
go coast to coast, he's benched. Immediately.

00:21:43.640 --> 00:21:46.759
In the NBA, the goal is to win tonight. In the

00:21:46.759 --> 00:21:48.660
G League, the goal is to get better for tomorrow.

00:21:49.059 --> 00:21:52.279
The Raptors' 9 -0 -5 gave him the reps to fail,

00:21:52.420 --> 00:21:55.619
to experiment, and to grow. And two years later.

00:21:55.819 --> 00:21:57.980
He's the second best player on an NBA championship

00:21:57.980 --> 00:22:00.740
team and wins most improved player. That doesn't

00:22:00.740 --> 00:22:02.839
happen without the G League. That's the R &amp;D

00:22:02.839 --> 00:22:04.740
part we talked about. Yeah. The Raptors used

00:22:04.740 --> 00:22:07.619
the 905 not just to stash him, but to actively

00:22:07.619 --> 00:22:09.900
build him into the player they needed. Exactly.

00:22:10.019 --> 00:22:12.420
You see it with Rudy Gobert, too. The stifle

00:22:12.420 --> 00:22:14.799
tower. He's spent time with the Bakersfield Jam,

00:22:15.019 --> 00:22:17.460
working on his timing, his conditioning, his

00:22:17.460 --> 00:22:19.980
hands. Now he's a four -time defensive player

00:22:19.980 --> 00:22:22.460
of the year. And we can't forget Fred Van Vliet.

00:22:22.779 --> 00:22:26.480
Bet on yourself. The ultimate story, undrafted,

00:22:26.500 --> 00:22:29.759
grinded it out with the Raptors 905, became an

00:22:29.759 --> 00:22:32.279
NBA champion and all -star. It's reached a point

00:22:32.279 --> 00:22:34.400
now where if you look at the numbers, it's just

00:22:34.400 --> 00:22:38.759
ubiquitous. In 2011, about 23 % of NBA players

00:22:38.759 --> 00:22:40.940
had G League experience. Where are we at now?

00:22:41.259 --> 00:22:44.000
It's over 50 % on opening night rosters most

00:22:44.000 --> 00:22:46.559
years. If you include two -ways and guys who've

00:22:46.559 --> 00:22:48.460
done short stints, it's the majority of the league.

00:22:48.539 --> 00:22:50.779
It is no longer a stigma to go to the G League.

00:22:50.920 --> 00:22:53.460
It is a rite of passage. It's almost weird if

00:22:53.460 --> 00:22:55.359
you don't go down for a stint, unless you're

00:22:55.359 --> 00:22:57.700
a top five pick. Even some top picks go down

00:22:57.700 --> 00:22:59.599
for rehab assignments or just to get their rhythm

00:22:59.599 --> 00:23:02.240
back. Stephen Curry played in the G League briefly

00:23:02.240 --> 00:23:05.160
on a rehab assignment. That's wild. Imagine showing

00:23:05.160 --> 00:23:07.319
up to a Santa Cruz Warriors game and Steph Curry

00:23:07.319 --> 00:23:09.740
is warming up. It happens. Klay Thompson did

00:23:09.740 --> 00:23:11.619
it too after... injuries. It's part of the process

00:23:11.619 --> 00:23:14.660
now. I want to shift gears to Section 5, the

00:23:14.660 --> 00:23:18.500
culture. Because the G League isn't just a carbon

00:23:18.500 --> 00:23:21.400
copy of the NBA. It has its own weird energy.

00:23:21.500 --> 00:23:23.539
It feels different. It definitely does. It's

00:23:23.539 --> 00:23:25.720
grittier. There's an edge to it. The showcase.

00:23:26.579 --> 00:23:28.819
This fascinates me. Yeah. It's been described

00:23:28.819 --> 00:23:31.740
as a carnival for scouts. That's a great way

00:23:31.740 --> 00:23:33.819
to put it. It's the highest pressure job interview

00:23:33.819 --> 00:23:36.900
in sports. Started way back in 2005. The idea

00:23:36.900 --> 00:23:40.039
is efficiency. Right. Instead of an NBA GM flying

00:23:40.039 --> 00:23:42.980
to Maine on Tuesday and then Sioux Falls on Thursday,

00:23:43.460 --> 00:23:46.099
the league brings every team to one location

00:23:46.099 --> 00:23:49.000
for four days. Usually Vegas now, right? At Mandalay

00:23:49.000 --> 00:23:51.599
Bay. Mandalay Bay Convention Center. And convention

00:23:51.599 --> 00:23:53.799
center is the key word. It's not even a real

00:23:53.799 --> 00:23:56.019
arena most of the time. It's just courts set

00:23:56.019 --> 00:23:57.900
up in a massive hall. You'll have games running

00:23:57.900 --> 00:24:00.180
simultaneously on adjacent courts. And the stands.

00:24:00.650 --> 00:24:03.250
Who is watching these games? It's not fans. It's

00:24:03.250 --> 00:24:05.789
guys in polos holding iPads and notebooks. Hundreds

00:24:05.789 --> 00:24:08.430
of them. Every NBA general manager is there.

00:24:08.549 --> 00:24:11.190
Scouts from every team. Scouts from Europe. Scouts

00:24:11.190 --> 00:24:13.490
from Asia. It's a meat market. What's the sound

00:24:13.490 --> 00:24:16.569
like? The silence is unique. You don't hear a

00:24:16.569 --> 00:24:19.410
roaring crowd. You hear sneakers squeaking, coaches

00:24:19.410 --> 00:24:22.170
yelling, and the low hum of executives talking

00:24:22.170 --> 00:24:24.789
on their phones. That sounds incredibly stressful

00:24:24.789 --> 00:24:27.829
for the players. The tension is palpable. Every

00:24:27.829 --> 00:24:30.609
player on that floor knows that this is the moment.

00:24:31.000 --> 00:24:32.799
If you dunk on someone here, the right person

00:24:32.799 --> 00:24:35.720
sees it. If you play lazy defense here, you're

00:24:35.720 --> 00:24:38.819
basically unemployed. Your career can be made

00:24:38.819 --> 00:24:42.259
or broken in one 48 -minute game. And they raised

00:24:42.259 --> 00:24:44.339
the stakes recently to make it even more intense.

00:24:44.599 --> 00:24:47.720
Yeah, in 2019, they added the Showcase Cup. It's

00:24:47.720 --> 00:24:50.839
a mini -tournament with a $100 ,000 prize for

00:24:50.839 --> 00:24:53.819
the winning team. For guys making a $35 ,000

00:24:53.819 --> 00:24:57.779
salary, a share of $100K is life -changing money.

00:24:58.329 --> 00:25:00.869
That pays off the student loans. That buys a

00:25:00.869 --> 00:25:03.250
car. It turns up the intensity. It makes the

00:25:03.250 --> 00:25:05.190
games matter. It's not just an exhibition anymore.

00:25:05.289 --> 00:25:07.349
It's a dogfight. And then you have the rules.

00:25:07.650 --> 00:25:10.190
We mentioned the G League is a laboratory. What

00:25:10.190 --> 00:25:11.730
are some of the weirdest things they've tested

00:25:11.730 --> 00:25:13.829
over the years? Well, the one free throw rule

00:25:13.829 --> 00:25:15.890
is the biggest one currently. To speed up the

00:25:15.890 --> 00:25:17.650
game, if you get fouled on a two -point shot,

00:25:17.849 --> 00:25:19.930
you shoot one free throw. If you make it, it

00:25:19.930 --> 00:25:21.990
counts for two points. And on a three -pointer.

00:25:22.089 --> 00:25:25.039
One free throw. For three points. That must be

00:25:25.039 --> 00:25:27.599
terrifying for the shooter. The pressure on that

00:25:27.599 --> 00:25:30.559
one shot is immense. You miss one shot and you

00:25:30.559 --> 00:25:32.660
leave three points on the board. It changes the

00:25:32.660 --> 00:25:35.299
math completely. Yeah. And it does speed up the

00:25:35.299 --> 00:25:37.519
game because you cut out all the standing around

00:25:37.519 --> 00:25:40.000
between free throws. What else have they tried?

00:25:40.440 --> 00:25:42.619
They tested the coach's challenge before the

00:25:42.619 --> 00:25:45.180
NBA adopted it. They tested the reset timeout.

00:25:45.240 --> 00:25:48.180
They've played with a 14 -second shot clock reset

00:25:48.180 --> 00:25:51.059
on offensive rebounds. If you watch the G League,

00:25:51.140 --> 00:25:53.779
you are watching the NBA of five years from now.

00:25:53.980 --> 00:25:57.180
They even had a game of HORSE at their All -Star

00:25:57.180 --> 00:25:59.680
weekend. They did. The Dream Factory. Friday

00:25:59.680 --> 00:26:01.660
night at their All -Star weekend, they had a

00:26:01.660 --> 00:26:03.900
dunk contest, a three -point contest, and yes,

00:26:03.960 --> 00:26:07.420
a HORSE competition. Lance Allred, the first

00:26:07.420 --> 00:26:09.980
legally deaf player in NBA history, won. won

00:26:09.980 --> 00:26:12.119
the first one. It just shows that the league

00:26:12.119 --> 00:26:14.519
doesn't take itself too seriously. They are willing

00:26:14.519 --> 00:26:17.299
to try stuff. I love that. But let's get serious

00:26:17.299 --> 00:26:19.640
about the resilience of this league. We all remember

00:26:19.640 --> 00:26:22.579
the NBA bubble in Disney World. LeBron winning

00:26:22.579 --> 00:26:25.599
the ring in the empty gym. But the G League did

00:26:25.599 --> 00:26:28.839
it too. The 2021 gubble, as some people called

00:26:28.839 --> 00:26:31.339
it. The gubble. I like that. It was optional.

00:26:31.500 --> 00:26:34.119
Only 17 of the teams decided to participate and

00:26:34.119 --> 00:26:36.930
go to Disney World. But the fact that they spent

00:26:36.930 --> 00:26:38.970
the money to do it, I mean, frankly, the NBA

00:26:38.970 --> 00:26:40.970
could have just canceled the G League season.

00:26:41.089 --> 00:26:43.309
Right. It's a cost center. Nobody would have

00:26:43.309 --> 00:26:45.690
blamed them during the pandemic. But they realized

00:26:45.690 --> 00:26:48.849
they couldn't afford to stop the pipeline. They

00:26:48.849 --> 00:26:50.750
couldn't have a whole year with no development.

00:26:51.089 --> 00:26:54.089
The players needed the reps. The referees needed

00:26:54.089 --> 00:26:56.369
the reps. The coaches needed the reps. That proves

00:26:56.369 --> 00:26:58.779
the engine room thesis. You can't shut down the

00:26:58.779 --> 00:27:01.240
engine just because the ship is in a storm. Exactly.

00:27:01.259 --> 00:27:03.920
It proved how essential the league had become

00:27:03.920 --> 00:27:07.079
to the entire NBA ecosystem. So where does this

00:27:07.079 --> 00:27:10.980
engine go next? Section six, international reach

00:27:10.980 --> 00:27:13.619
and the future. We talked about the map earlier

00:27:13.619 --> 00:27:16.279
and we mentioned Mexico City. This feels like

00:27:16.279 --> 00:27:18.119
the biggest clue to the future of the league.

00:27:18.299 --> 00:27:21.539
The Mexico City Capitanes. They join in the 2021

00:27:21.539 --> 00:27:25.160
-22 season. And unlike the other teams, they

00:27:25.160 --> 00:27:27.420
are independent. They aren't owned by the Phoenix

00:27:27.420 --> 00:27:30.160
Suns or the Spurs. They're their own entity.

00:27:30.380 --> 00:27:31.839
And they aren't playing at a convention center.

00:27:32.099 --> 00:27:35.500
No. They play in the Mexico City Arena. The capacity

00:27:35.500 --> 00:27:39.779
is 22 ,300. That is bigger than the arenas in

00:27:39.779 --> 00:27:43.059
Boston, in New York, in Los Angeles. That is

00:27:43.059 --> 00:27:46.019
a full -blown NBA arena. It is. And that's the

00:27:46.019 --> 00:27:47.759
point. This isn't just about developing players.

00:27:47.880 --> 00:27:50.299
It's about developing a market. The NBA is using

00:27:50.299 --> 00:27:52.900
the G League to test the logistics of having

00:27:52.900 --> 00:27:55.380
a permanent franchise south of the border. Can

00:27:55.380 --> 00:27:58.400
the travel work? Is the high altitude a real

00:27:58.400 --> 00:28:01.039
issue for visiting teams? Do the fans show up

00:28:01.039 --> 00:28:03.440
consistently? And by all accounts, the fans are

00:28:03.440 --> 00:28:05.680
showing up. It creates a legitimate home court

00:28:05.680 --> 00:28:07.799
advantage for them. It's loud. It's passionate.

00:28:07.900 --> 00:28:10.660
They care. So it circles back to that R &amp;D concept.

00:28:10.740 --> 00:28:13.980
But now it's market R &amp;D. Right. If the Capitanes

00:28:13.980 --> 00:28:16.500
are a sustained success over five, six, seven

00:28:16.500 --> 00:28:19.200
years, it makes the argument for an NBA expansion

00:28:19.200 --> 00:28:21.539
team in Mexico City much, much easier to sell

00:28:21.539 --> 00:28:24.259
to the owners. And if it fails? Well, it failed

00:28:24.259 --> 00:28:26.099
in the minor leagues. The risk is managed. The

00:28:26.099 --> 00:28:29.000
parent brand, the NBA, is protected. Low stakes

00:28:29.000 --> 00:28:32.009
failure, high stakes reward. Precisely. And that's

00:28:32.009 --> 00:28:33.670
why the G League is so fascinating right now.

00:28:33.730 --> 00:28:36.809
It allows the NBA to take risks on players, on

00:28:36.809 --> 00:28:39.849
rules, on entire cities that they could never

00:28:39.849 --> 00:28:41.849
take with the main product. You can't just move

00:28:41.849 --> 00:28:43.690
the Celtics to London for a season to see if

00:28:43.690 --> 00:28:45.690
it works. You could move a G League team there.

00:28:45.769 --> 00:28:47.970
You could. And that's the door that's now open.

00:28:48.450 --> 00:28:52.049
So as we wrap this up, let's zoom out. We started

00:28:52.049 --> 00:28:54.690
with the Greenville groove playing in what was

00:28:54.690 --> 00:28:57.890
basically a high school gym. We are ending with

00:28:57.890 --> 00:29:01.490
a global league playing in 22 ,000 -seat arenas,

00:29:01.490 --> 00:29:04.769
backed by Gatorade, feeding half the NBA's workforce.

00:29:05.150 --> 00:29:07.670
It's a remarkable evolution. In 20 years, it

00:29:07.670 --> 00:29:09.789
went from a nice -to -have afterthought to a

00:29:09.789 --> 00:29:11.849
must -have pillar of the league. I think about

00:29:11.849 --> 00:29:14.170
someone like Nick Nurse. He's an NBA champion

00:29:14.170 --> 00:29:16.890
coach. He's coached superstars. Where did he

00:29:16.890 --> 00:29:19.690
cut his teeth? The G League. He coached the Iowa

00:29:19.690 --> 00:29:22.359
Energy. He coached the Rio Grande Valley Vipers

00:29:22.359 --> 00:29:24.599
to a championship. He learned how to manage personalities,

00:29:24.900 --> 00:29:27.079
how to experiment with weird lineups, how to

00:29:27.079 --> 00:29:29.980
innovate on the fly. He doesn't become Nick Nurse,

00:29:30.160 --> 00:29:32.220
the mad scientist coach, without those long bus

00:29:32.220 --> 00:29:34.359
rides in Iowa. It's the school of hard knocks,

00:29:34.519 --> 00:29:36.519
but with a corporate budget now. A corporate

00:29:36.519 --> 00:29:39.700
budget and better Gatorade flavors, yeah. So

00:29:39.700 --> 00:29:41.579
here is the final thought I want to leave you

00:29:41.579 --> 00:29:45.619
with. We've seen the G League try to replace

00:29:45.619 --> 00:29:49.170
the NCAA with the Ignite team and... For various

00:29:49.170 --> 00:29:52.049
reasons, that experiment ended. But we see them

00:29:52.049 --> 00:29:54.789
succeeding with the Mexico City experiment. Right.

00:29:54.910 --> 00:29:58.170
Is the future of the G League actually international

00:29:58.170 --> 00:30:01.549
expansion? Yeah. If the NBA wants to go to Europe,

00:30:01.650 --> 00:30:04.130
do they start with a G League division in London

00:30:04.130 --> 00:30:07.109
and Paris first? That is the multi -billion dollar

00:30:07.109 --> 00:30:09.529
question, isn't it? Adam Silver has talked about

00:30:09.529 --> 00:30:12.569
a European division for years. The G League provides

00:30:12.569 --> 00:30:15.640
the perfect vessel to test that. You don't have

00:30:15.640 --> 00:30:18.000
to launch four brand new NBA teams immediately.

00:30:18.339 --> 00:30:20.519
No, you launch G League teams. You launch G League

00:30:20.519 --> 00:30:22.660
teams. You test the waters. You learn the travel

00:30:22.660 --> 00:30:24.740
logistics. You see if the fans will support it.

00:30:24.839 --> 00:30:27.359
A G League Euro division. It makes total sense.

00:30:27.480 --> 00:30:29.539
You build the infrastructure. You build the fan

00:30:29.539 --> 00:30:31.819
base. And then if it works, you promote those

00:30:31.819 --> 00:30:34.700
franchises to the NBA. The G League could be

00:30:34.700 --> 00:30:37.480
the Trojan horse for the NBA's global domination.

00:30:37.920 --> 00:30:39.500
It's not just a feeder system anymore. It's the

00:30:39.500 --> 00:30:42.000
vanguard. It is the tip of the spear. So next

00:30:42.000 --> 00:30:44.839
time you see a guy check into an NBA game. with

00:30:44.839 --> 00:30:47.920
a number like 47 on his jersey, and you don't

00:30:47.920 --> 00:30:51.200
know his name, pay attention. He just survived

00:30:51.200 --> 00:30:53.680
the most competitive laboratory in sports. And

00:30:53.680 --> 00:30:56.240
he's hungry. Thanks for diving in with us. Always

00:30:56.240 --> 00:30:57.759
a pleasure. We'll see you on the next one.
