Episode 36: The LA Clippers

In honor of start of NBA playoffs, Ben & David venture off the beaten path to explore one of Steve Ballmer’s most famous acquisitions, his 2014 purchase of the Los Angeles Clippers NBA franchise. Was this landmark purchase a steal or a turnover for the former Microsoft CEO? We speculate wildly! 

Sponsors:
Statsig: https://bit.ly/acquiredstatsig24
Vanta: https://bit.ly/acquiredvanta
Crusoe: https://bit.ly/acquiredcrusoe

Topics covered include: The Clippers’ founding in 1970 as the NBA expansion team the Buffalo BravesEarly ownership changes and the move west to San Diego in 1981Acquisition in 1981 by LA lawyer and real estate developer Donald Sterling for $12.5MSterling's relocation of the Clippers to LA in 1984 against NBA rulesStruggles over the next 25 years as the "worst franchise in professional sports” according to ESPN Turnaround beginning in early 2010s led by Blake Griffin, DeAndre Jordan, and Chris PaulThe bombshell in April 2014, reported by TMZ, of a taped conversation between Sterling and his mistress where Sterling makes  hugely offensive and racist comments, directed in particular toward former Lakers point guard Magic JohnsonFallout from the comments, resulting in a lifetime ban from NBA for Sterling, and a forced sale of the team to former Microsoft CEO, Steve Ballmer for $2BImpact of the landmark sale price on NBA and other sports franchise valuations Clippers performance post-sale, and  prospects for the future The opportunity for technology and business model innovation in the NBA, and professional sports in general

  Followups: 

 Instagram Stories passes 200 million users per day (including correction on the definition of DAU) The Last Jedi trailer!Clarifying Starbucks’ same store sales performance post-IPO 

  The Carve Out: 

Ben: Bill Gurley on This Week in StartupsDavid:  Pop, Race & the '60s podcast and Just Around Midnight by Jack Hamilton