NBA Eyes Abu Dhabi: A New Frontier for Basketball Expansion

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Mohamed Khalifa Al Mubarak experienced his first NBA game as a teenager in Boston, eager to watch his favorite team, the Los Angeles Lakers, clash with their arch-rivals at the FleetCenter. Accompanied by his brother Khaldoon, a Tufts University student at the time, they settled next to an elderly couple. Mubarak remembered their reaction: “They must have been both over 80. And I looked at them, I said, ‘Wow, it’s amazing how these guys are just so in love with the sport.’ I gave a little smile and expected a smile back. And they looked at my Laker shirt and flicked me off. And I said, ‘Well, that’s my welcome to Boston moment.’”

This incident didn’t dampen Mubarak’s enthusiasm for the NBA. He later attended Northeastern University in Boston, proudly opposing the Celtics throughout his studies. Now holding the title of “His Excellency,” he has been the chairman of the Abu Dhabi Department of Culture and Tourism since 2016. He is also instrumental in organizing the preseason NBA games this week in the United Arab Emirates featuring the defending champions, the Celtics and Denver Nuggets.

These games highlight the NBA’s expanding ties with influential figures in the Middle East. Following the COVID-19 pandemic, the league’s focus has shifted toward the Arabian Peninsula, which has largely supplanted China as the NBA’s primary international focus. Several factors beyond the league’s control have contributed to this shift. Since a controversial tweet by former Houston Rockets manager Daryl Morey in 2019 regarding Hong Kong, NBA broadcasts were pulled from Chinese television for 18 months. This incident resulted in numerous sponsors pausing or canceling partnerships, leading to the closure of three NBA academies in China.

Although there have been recent signs of improvement in NBA-China relations, the league remains focused on the UAE, where substantial sponsorship revenue continues to flow. The Middle Eastern market may be smaller than China’s, but it holds immense potential for business partnerships. Abu Dhabi, with a population comparable to New Jersey, houses three of the world’s largest sovereign wealth funds, including the Abu Dhabi Investment Authority, which manages nearly $1 trillion.

The Celtics-Nuggets games at Etihad Arena on Yas Island present the NBA’s most significant event in the region yet. This venue is part of a lavish sports and entertainment complex featuring amusement parks, a golf course, and a Formula 1 racetrack. Over the past three years, six NBA preseason games and four Team USA exhibition matches have been hosted in Abu Dhabi, attracting large, diverse crowds, mainly comprised of tourists and expatriates. A record-setting attendance of more than 12,000 fans was reached during a Team USA exhibition game against Australia in July.

Earlier this year, the NBA secured a major sponsorship with Emirates Airline, located close to Dubai. The NBA Cup will bear the airline’s name as part of Dubai’s significant investment in professional basketball. Additionally, the Qatar Investment Authority became the first sovereign wealth fund to acquire a stake in an NBA team when it purchased around 5% of the Washington Wizards’ parent company.

Experience Abu Dhabi, the marketing arm of the Department of Culture and Tourism, already has secured a multi-year sponsorship deal with the Celtics and is exploring opportunities to become the jersey patch sponsor for the New York Knicks.

While the NBA strengthens its relationship with Abu Dhabi, Human Rights Watch has criticized the UAE for using sports to overshadow its human rights record, particularly regarding its stance on dissent and treatment of migrant workers. This follows previous criticisms the NBA faced over its partnership with China and its collaboration with Rwandan President Paul Kagame regarding the Basketball Africa League.

Responding to the concerns over “sportswashing,” NBA Commissioner Adam Silver stated that conversations about such issues serve a purpose, providing increased awareness of different countries and their situations. He emphasized the global nature of basketball and the unifying opportunities sports provide.

Mubarak has fostered other sports investments in the UAE, including partnerships with the UFC, while pushing for basketball’s growth in the region. Since negotiating the deal with the NBA in 2021, the participation rate in basketball in the UAE has increased by 60%.

Having transitioned from being flicked off at Celtics games, Khaldoon Al Mubarak, now the founding chairman of the City Football Group, aspires to further invest in basketball. He expressed interest in acquiring a controlling share of an NBA team, stating, “Absolutely. Why not? I think we have showcased when we invest in sport, what that means to us.”

While the possibility of acquiring a stake in the Celtics exists, current league rules limit sovereign wealth funds to passive stakes of no more than 20%. League officials confirmed there are no discussions to amend this policy at present.

For now, Abu Dhabi will continue to invest in basketball, bringing significant events to the region and reaping the benefits of partnerships and sponsorships while sending teams to the UAE each fall. Mubarak emphasized a long-term vision, recognizing that developing local talent will take time but holding hope for future Emirati players to thrive in the league.

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