NBA says Amazon will be its new media partner, rebuffing Warner Bros. Discovery attempt to match deal

The National Basketball Association has rebuffed longtime media partner Warner Bros. Discovery's bid to keep airing games after next season.

The NBA told the media company it doesn't believe it holds legal matching rights for the league's new media deal. It instead plans to move ahead with Amazon as its third partner, along with ESPN and NBCUniversal, in its 11-year deal worth about $77 billion.

"Warner Bros. Discovery's most recent proposal did not match the terms of Amazon Prime Video's offer and, therefore, we have entered into a long-term arrangement with Amazon," the NBA said in a statement Wednesday.

Warner Bros. Discovery acquired matching rights as part of its current media rights deal with the league, which expires at the end of next season. That provision allows the company to match payment for any of the games that air on TNT, which it attempted to do Monday.

The NBA doesn't believe Warner Bros. Discovery's rights extend to an all-streaming package, which was carved out for Amazon. Warner Bros. Discovery also owns a streaming service, Max, which it could use to air games, but the company has told the NBA it plans to simulcast TNT games on Max rather than only putting them on Max.

The NBA sent a letter Wednesday to Warner Bros. Discovery explaining why it can't match Amazon's package, citing language from the original matching provision, according to people familiar with the matter. CNBC obtained a portion of that letter, addressed to Luis Silberwasser, chairman and CEO of TNT Sports.

The NBA cited a provision that says the existing media partner can exercise matching rights "only via the specific form of combined audio and video distribution (e.g. if the specific form of combined audio and video distribution is