Ever notice how some NBA fans talk about "small markets" like they’re living in a Dickensian orphanage? It’s a constant refrain. You’ll hear it every time a star player like Giannis Antetokounmpo or Nikola Jokic hits a contract year. "He’s going to New York," they say. Or, "He needs the bright lights of LA."
Honestly, it's kinda exhausting.
The reality of nba markets by size is way more nuanced than just "Big City vs. Small Town." While New York and Los Angeles sit on top of the mountain, the gap isn't just about how many people are walking around Times Square. It’s about television households, regional sports networks (RSNs), and a revenue-sharing system that is basically the only thing keeping the league from turning into a two-team show.
As we roll through 2026, the definitions are shifting. Streaming is killing the old cable model, and a "small" team like the Golden State Warriors—who were a mid-market afterthought twenty years ago—is now the most valuable franchise in the league.
The Current Hierarchy: NBA Markets by Size
When we talk about market size, we're usually looking at Nielsen’s Designated Market Area (DMA) rankings. These numbers represent the number of homes with a TV in a specific region. For the 2025-26 season, the top of the list hasn't moved much, but the numbers underneath are exploding.
The Heavyweights (The Tier 1 Markets)
The New York market remains the undisputed king. Between the Knicks and the Brooklyn Nets, they serve a DMA of roughly 7.8 million households. That is a massive pool of potential local TV revenue.
Following closely is Los Angeles, home to the Lakers and Clippers, with about 5.9 million homes. Chicago rounds out the top three at 3.7 million. These three cities are the "Super Markets." They have an inherent advantage because their local media rights deals can be worth hundreds of millions more than a team in, say, Memphis.
The Rising Middle Class
Dallas-Fort Worth and Houston are massive. Dallas now sits at number four with 3.3 million homes, while Houston is sixth at 2.9 million. These Texas markets are growing fast. Atlanta is right there too, hovering around 2.8 million.
The interesting one is San Francisco. While the city itself isn't as big as Chicago, the "Bay Area" market (including Oakland and San Jose) has climbed to the number nine spot, passing Boston. This growth, combined with the tech wealth of Silicon Valley, is why the Golden State Warriors are currently valued at a staggering $11 billion.
The True Small Markets
At the bottom, we find the teams that have to be "smarter" to survive. New Orleans and Memphis are the smallest, with around 600,000 to 700,000 TV homes each. Oklahoma City and Salt Lake City (Utah Jazz) are also in this bracket.
Think about that for a second. New York has ten times the television reach of New Orleans.
Why the Numbers Actually Matter (and When They Don't)
You’d think the biggest markets would win every year. But look at the standings.
Success in the NBA isn't a 1:1 correlation with city size. The New York Knicks went decades without a title despite their massive market. Meanwhile, the San Antonio Spurs—a small-to-mid market team—became a dynasty.
Revenue Sharing: The Great Equalizer
The NBA uses a complex revenue-sharing system to keep things fair. Basically, teams pool a portion of their local revenue, and it gets redistributed.
In the 2024-25 season, the Golden State Warriors paid out tens of millions of dollars into this pool. Where did that money go? Much of it went to teams like the Denver Nuggets, Minnesota Timberwolves, and OKC Thunder.
It’s a bit of a "welfare" system for sports. It ensures that a team in a tiny market can still afford to pay the luxury tax to keep a championship core together. Without it, the Small Markets would just be a farm system for the Lakers.
The "Lifestyle" Factor
Market size also impacts free agency, but not always because of the money. In the modern NBA, a "max contract" is the same value whether you play in Milwaukee or Miami.
The difference is "off-court" opportunities.
If you're a superstar in LA, the endorsement deals with film studios or tech firms are right in your backyard. Plus, let's be real: players in their 20s often prefer the nightlife of South Beach or Hollywood over a cold winter in Indianapolis.
The 2026 Shift: Local Media is Dying
We are currently in a weird transition period for nba markets by size. The old RSN (Regional Sports Network) model is crumbling. Diamond Sports Group (Bally Sports) and other local broadcasters have struggled with bankruptcy and the "cord-cutting" trend.
What does this mean?
The NBA is moving toward a national streaming model. Commissioner Adam Silver has been vocal about wanting a "one-stop shop" for fans. In 2026, we’re seeing more teams move their games to free-to-air local TV or team-specific streaming apps.
This actually helps small markets. If a fan in rural Oklahoma can easily stream every Thunder game for a small monthly fee, the team can monetize its fan base more effectively than through a dying cable deal.
Ranking the Markets: The 2025-26 Nielsen Reality
To get a clear picture, let's look at how the TV households break down across the league's footprint.
- New York (Knicks/Nets): 7.84 million
- Los Angeles (Lakers/Clippers): 5.90 million
- Chicago (Bulls): 3.75 million
- Philadelphia (76ers): 3.17 million
- Dallas (Mavericks): 3.29 million
- San Francisco (Warriors): 2.61 million
- Boston (Celtics): 2.59 million
- Phoenix (Suns): 2.25 million
- Miami (Heat): 1.81 million
- Denver (Nuggets): 1.85 million
- Milwaukee (Bucks): 0.95 million
- Oklahoma City (Thunder): 0.77 million
- New Orleans (Pelicans): 0.68 million
Wait. Notice Denver and Miami? They are "Mid-Market" teams. They have significantly fewer people than the Top 5, yet they’ve been some of the most competitive franchises of the last five years.
The Expansion Question: Seattle and Las Vegas
You can't talk about market size without mentioning the elephant in the room: Expansion.
The NBA is widely expected to add two teams by the end of the decade. Seattle and Las Vegas are the frontrunners.
Seattle is a massive "missing" market. It ranks as the 13th largest DMA in the US (2.1 million homes). Adding a team there instantly puts a "top half" market back on the NBA map.
Las Vegas is smaller (around 925k homes), but it’s the "entertainment capital." The revenue there isn't just about local TV; it’s about tourism, high-roller suites, and global branding.
Misconceptions About "Small" Teams
People love to pity the "small market" owner. Don't.
Forbes’ 2025 valuations showed that even the "poorest" NBA team, the Memphis Grizzlies, is worth about $3.5 billion. Owners aren't losing money. They are sitting on appreciating assets that grow faster than the S&P 500.
The real struggle isn't "can we pay the bills?"
It's "can we convince a 24-year-old multi-millionaire to live here for eight years?"
Success for small markets usually comes down to three things:
- Drafting: You cannot miss on your lottery picks.
- Culture: You have to be "The Spurs" or "The Heat"—a place where players get better.
- Aggression: When you have a window, you have to spend, market size be damned.
Actionable Insights for Fans and Analysts
If you're following the business side of the league, here is what you should actually watch:
- Monitor the Apron: The new Collective Bargaining Agreement (CBA) has "aprons" that act as a hard cap. This is designed to stop big markets (like the Suns or Clippers) from simply outspending everyone.
- Watch the RSNs: If your local team moves their games to a local independent station (like the Jazz or Suns did), that’s a sign they are prioritizing reach over immediate cable cash.
- Check the Valuations: When the NBA announces its next national TV deal (which starts in the 2025-26 season), every single team’s value will jump. The "size" of the market matters less when the national check from Amazon, NBC, and Disney is so huge.
The era of the "helpless" small market is mostly over. Between revenue sharing and the new CBA restrictions on spending, the playing field is flatter than it's ever been. Size still gives you a margin for error—New York can recover from a bad trade faster than Charlotte—but it no longer guarantees a seat at the Finals table.
To stay ahead of the curve, keep an eye on how the league handles the 2026 expansion draft. That will be the ultimate test of how the NBA balances its existing markets with the need for fresh territory.