NBA Expands Horizons: Middle East Takes Center Stage

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Mohamed Khalifa Al Mubarak recalls attending his first NBA game as a teenager in Boston, where he watched his cherished Los Angeles Lakers face the Celtics. Seated next to an elderly couple, Mubarak experienced a moment of surprise when, rather than a friendly exchange, they reacted negatively to his Lakers shirt. This incident did not dampen his passion for the NBA, which he maintained while studying at Northeastern University, always cheering against the Celtics.

Today, Al Mubarak, recognized as “His Excellency,” serves as the chairman of the Abu Dhabi Department of Culture and Tourism since 2016. He is a key player in organizing this week’s high-profile preseason games in the United Arab Emirates featuring the Celtics and the Denver Nuggets, the two most recent NBA champions.

These games signify the NBA’s growing ties with influential figures in the Middle East. Following the NBA’s return to normalcy post-COVID-19, this region has become a focal point for the league, replacing China as its primary international market.

Various external factors have contributed to a slowdown in the NBA’s efforts to engage the Chinese market, which previously formed a significant part of its international strategy. The 2019 incident involving then-Houston Rockets GM Daryl Morey’s tweet about Hong Kong halted NBA broadcasts in China for 18 months and led to many sponsorships being suspended or canceled. The NBA also closed its three academies in China.

While some advancements have been noted in U.S.-China relations, the league has not returned to staging games in China since 2019. NBA Commissioner Adam Silver indicated that the financial losses resulting from the strained relationship with China have reached “hundreds of millions.”

Though the Middle East has a smaller population than China, it presents substantial business opportunities. Abu Dhabi hosts three of the world’s largest sovereign wealth funds, including the Abu Dhabi Investment Authority, which manages nearly $1 trillion. This wealth has encouraged Silver to focus on the region, even as it is not currently seen as a major source of future NBA talent.

The Celtics versus Nuggets games are the most significant NBA events held at the Etihad Arena on Yas Island, part of a top-tier sports and entertainment complex that features various attractions. In recent years, the NBA has held numerous preseason games and exhibitions in Abu Dhabi, attracting large and diverse crowds, particularly expatriates and tourists.

In July, a record-breaking attendance of over 12,000 fans gathered for a Team USA exhibition game. Following a long-term contract signed in 2021, the NBA plans to continue hosting games in Abu Dhabi.

Earlier this year, the NBA secured a significant sponsorship deal with Emirates Airline and plans to integrate the brand into its in-season tournament. Dubai’s ruling family has invested in basketball, including purchasing a EuroLeague team.

Critics like Human Rights Watch have scrutinized the UAE’s human rights record in light of the NBA’s engagement in the region, drawing parallels to the league’s previous controversies with China. Silver has addressed the notion of “sportswashing,” noting the global sport’s potential for fostering dialogue and understanding.

Alongside high-profile athletic events, Al Mubarak has cultivated partnerships with the UFC, hosting two events annually, and pushing for basketball’s growth in the UAE. Participation in basketball has increased by 60% since the NBA agreement.

Al Mubarak, no longer the target of taunts at Celtics games, now oversees the City Football Group, which owns numerous soccer teams, including Manchester City. He expressed interest in eventually acquiring an NBA team.

He stated, “Absolutely. Why not?” emphasizing the benefits of long-term investments in sports. However, current NBA regulations limit sovereign wealth funds to passive stake acquisitions up to 20%, with no immediate plans to revise this rule.

In the meantime, Abu Dhabi continues its commitment to basketball, enhancing its collaboration with the NBA and channeling more investment into the league through partnerships and sponsorships. Al Mubarak envisions a future where Emirati players make their mark in the NBA, stating the importance of nurturing future talent.

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