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Report: NBA lowers 2020-21 salary-cap projection to $115 million

NBA players back out

In this photo released by Mexico’s Attorney General’s Office (PGR) on Friday March 16, 2007 a large amount of cash in U.S. dollar currency is displayed at an undisclosed location in Mexico City. Federal officials seized US$ 205.6 million ( 154.3 million) in cash from a luxury house in one of Mexico’s most upscale neighborhoods and said they believe the money was tied to the methamphetamine trade. Seven people were detained as well.(AP Photo/PGR-HO) NO SALES


Daryl Morey’s tweet (which supported Hong Kong protesters who are trying to maintain and expand their freedoms) and the resulting fallout in China sparked fear throughout the NBA about lost revenue.

So in light of that, this reduction from the previous 2020-21 salary-cap ($116 million) and luxury-tax ($141 million) projection isn’t so bad.

Adrian Wojnarowski of ESPN:

For perspective, the current salary cap is $109,140,000, and the luxury-tax line is $132,627,000. So, revenue is still increasing – just not as much as previously expected.

This slightly reduces flexibility for teams expected to have cap room this summer – primarily the Knicks, Hawks, Grizzlies, Cavaliers and Hornets. But in a weak free-agent class, teams won’t fret if their max-level cap space gets pinched.

Teams in luxury-tax range also face a crunch. This could prove costly for the Warriors, Nets, Clippers and 76ers.

The players most directly affected are those who signed max extensions that kick in next season – Ben Simmons, Jamal Murray and Pascal Siakam. However, this is a good time to realize the scope of this on team building. The projection for Simmons’ and Murray’s five-year deals now falls from $168 million to $167 million.