When Mark Cuban became the majority owner of the Dallas Mavericks in 2000, it was in tatters. Currently, it is valued at $4.5 billion. Cuban went to Lex Friedman’s official podcast and discussed how he “turned around” the Mavericks franchise after years of losses. The Mavs owner mentioned that fans need more than just basketball to have a satisfying experience. He alluded to the “short attention span” of “10 years old” and how they need entertainment apart from just hoops.
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For him, fans want to remember their time with their family and friends while watching the game. “When you think about the sporting events you’ve been to, you don’t remember the score. You don’t remember the home runs or the dunks. You remember who you were with. You remember why you went,” Cuban told Frieman.
Cuban also touched upon how when he joined the NBA, he was disappointed about how they approached the “off the arena” side of things. He observed how there was a lack of marketing people and how he had arguments with the league’s administration regarding their lack of the same.
“I would get into fights with the NBA. You know, put aside the refs, but getting in fights with the NBA. I would say NBA, nothing but attorneys, right? Because they had no marketing skills whatsoever,” added Mark Cuban.
The passionate executive acknowledged that the NBA brought in “marketing guys” to bolster the reach of the league. Therefore, Cuban was at the forefront of expanding the reach of the league and “selling” a much better product to fans. Despite such huge inroads and unprecedented profits, why did Cuban sell the majority stakes of the franchise?
The reasons why Mark Cuban sold his majority stakes
In December 2023, Mark Cuban sold his majority stakes in the Dallas Mavericks for $3.5 billion to Adelson and Dumont families, who have strong ties to the casino and hotel world. Miriam Adelson, a prominent figure in the deal, is the widow of Sheldon Adelson, a casino mogul.
Patrick Dumont, who is Miriam Adelson’s son-in-law, was appointed the governor of the Dallas Mavericks. Cuban relayed that his business move has helped bolster the finances of the franchise. He entrusts the Adelsona and Dumont families to develop a “Venetian” infrastructure in Mavericks. An AP article by NBC News covered his comments.
“Patrick and Miriam, they’re the best in the world at what they do. Literally, around the world. When you get a world-class partner who can come in and grow your revenue base and you’re not dependent on things that you were in the past, that’s a huge win,” Mark Cuban stated.
Therefore, the billionaire sold his majority stakes to bring in more investments from power players with strong ties with big-shot politicians in Texas. However, he didn’t relinquish the right to call shots. He will play a decisive role in signing free agents and the appointment of the staff. Apart from that, he will hold 27% stakes as an alternate governor.
