Want to see what everyone thinks of this. I think it is absolutely outrageous. No NBA team is worth $2 billion, and certainly not the Clippers.
That guy has more money than he knows what to do with. I think they said the highest NBA team before this was 500 mil. Noway Paul and BG are worth that much. Sent from my SAMSUNG-SGH-I537 using Tapatalk
The Lakers are easily worth $2Billion, but I agree with your point that he vastly overpaid for the Clips. Smart enough to become CEO of the worlds leading tech company for over a decade, dumb enough to pay 4x the value for an NBA team that is 2nd in its own city...
Without knowing what their earning are we kinda have no idea if the 2 Billion cost is out of line or not. I agree it sounds astronomical but who knows. Using the 575m number It's not unheard for a business to sell at 4 times it's worth. Now all that said I know nothing about revue streams or projectings for an NBA franchise. But some obvious points, teams are a limited commodity, there are only so many. They also don't get bought and sold on a regular basis. So there can be a higher value to worth ratio for a buyer of something that is in such limited supply.
When you are that rich you can pretty much do whatever the hell you want. Seriously, why does anyone really care how much a guy worth $20B pays for a sports team? Anything in life is worth what someone is willing to pay for it. I heard there was another offer for not much less than the $2B Balmer paid.
I agree Cooter. He wanted to own an NBA team and has tried to buy one multiple times and failed. He did not pay much more than other bids so it is a good thing he went that high to guarantee he got his team. He does not care what he makes from it or he wouldn't have bid that high...So much for Sterling ruining the "NBA brand"
While I agree he is rich enough to absorb the cost... People don't become worth $20Billion by treating $2Billion like its nothing. His other purchase attempts were all in an attempt to bring a team back to Seattle in which he would have made a fortune with the city offering up $200 million to a new arena if a NBA team comes back. That's why the Clips purchase is sort of out of character from his prior attempts. They won't be relocating... And his bid was several hundred million more than their worth (according to most) unlike his prior attempts. The NBA wanted him as an owner, they'd have chosen him over a group of 15 bidders if the bids were equal, he didn't have to vastly overpay.
I heard there was a bid from another group which was around $1.7B? You think he went up to $2B for the heck of it? People like this buy teams for the enjoyment and prestige. I don't really even view this as a business decision from Balmer's prospective. I would compare it to a rich guy paying for a rare classic car or a piece of art...stuff is worth what people are willing to pay.
First I don't even understand how anyone on here can definitively say that he over payed. What's that assumption based on ? Secondly the guy paid 10% of his net worth...big frigging deal. people everyday buy a house for 200k that don't make 50k a year and they have negative net worth...are we *****ing about them? Lastly the guy didn't get to be worth 20 billion by being an idiot, he most likely didn't even finance this alone, and I am sure he has taken steps to limit exposure and liability.
I hate the NBA but if they can find someone to buy it have at it. I just wonder why the Democrats haven't cried foul yet about this yet
