Everyone Said Steve Ballmer Overpaid $2 Billion for the Clippers. They Were Wrong.

In 2014, Forbes valued the Clippers at $575 million. A few months later, former Microsoft CEO Steve Ballmer paid a then-record $2 billion for them, and a lot of people called it the worst deal in sports. Today Forbes puts the team at $7.8 billion, and Ballmer built a $2 billion arena with his own money. Here's why the 'overpay' was actually a bet on scarcity. CHAPTERS 0:00 The worst deal in sports 0:57 How the team came up for sale 2:05 The bidding war 3:03 Buying scarcity 4:00 The landlord problem 5:04 The Intuit Dome 6:02 The scoreboard 6:52 The lesson 7:58 The bottom line THE SHORT VERSION 1. April 29, 2014: the NBA bans Donald Sterling for life 2. January 2014: Forbes values the Clippers at $575 million 3. August 2014: Ballmer's then-record $2 billion purchase closes 4. August 15, 2024: the privately financed, $2 billion Intuit Dome opens, with a 23-year naming deal worth at least $500 million 5. Forbes now values the Clippers at $7.8 billion SOURCES NBA, April 29, 2014: Commissioner Adam Silver bans Donald Sterling for life Forbes: Steve Ballmer, the Clippers and the basketball bubble (Clippers valued at $575 million in January 2014) Reports on Ballmer's $2 billion purchase of the Clippers, closed August 12, 2014 Sports Business Journal, Aug 15, 2024: Intuit Dome opens, $2B-plus and privately financed Reports on the 23-year, $500 million-plus Intuit naming rights deal Reports on Ballmer's $400 million cash purchase of the Forum from Madison Square Garden Forbes NBA Team Valuations: Los Angeles Clippers, $7.8 billion (calculated October 2026) Music: "Volatile Reaction" by Kevin MacLeod (incompetech.com), licensed under CC BY 4.0. Footage: Mixkit (free license). Narration: AI voice. #nba #clippers #sportsbusiness #ballmer