What's Happening?
The National Hockey League (NHL) is actively exploring expansion into major U.S. television markets, with Phoenix and Atlanta identified as key cities for a potential 34th franchise. This comes as the league prepares for negotiations on a new TV rights
deal following the 2027-28 season. NHL Deputy Commissioner Bill Daly confirmed these discussions, noting that Phoenix (No. 7) and Atlanta (No. 12) are among the largest U.S. TV markets currently without an NHL team. The Phoenix area previously hosted the Coyotes from 1996 to 2024, a team that faced persistent financial and arena challenges, eventually relocating its assets to Utah. However, the Coyotes' branding and history remain in Arizona. Atlanta has had two previous NHL franchises, the Flames (1972-1980) and the Thrashers (1999-2011), both of which eventually relocated to Canada. The league's strategy focuses on leveraging these large media markets to secure higher revenues from future broadcast and streaming partnerships.
Why It's Important?
The NHL's focus on expanding into Phoenix and Atlanta highlights a strategic shift towards maximizing media market presence ahead of crucial TV rights negotiations. By adding teams in these significant U.S. markets, the league aims to increase its viewership and appeal to potential broadcast partners, which could lead to substantially higher revenue streams. This expansion strategy is particularly important given the evolving media landscape, where traditional broadcast revenues are being supplemented by streaming deals. The success of these potential franchises could influence the league's overall financial health and its ability to compete with other major sports leagues. For the cities involved, a new NHL team could bring economic benefits through job creation, increased tourism, and local business opportunities, despite past failures in these markets. The re-establishment of hockey in these areas would also cater to existing fan bases and potentially cultivate new ones, expanding the sport's footprint in non-traditional hockey regions.
What's Next?
The NHL is expected to continue discussions with potential ownership groups in Phoenix and Atlanta as it moves towards awarding a 34th franchise. The league recently secured a $2 billion expansion fee agreement for a 33rd franchise in either Austin or Houston, indicating the financial benchmarks for future teams. Key factors in the decision-making process for Phoenix and Atlanta will include securing viable arena plans and strong ownership groups capable of sustaining a franchise long-term, addressing the issues that led to previous team relocations. The outcome of these expansion efforts will directly impact the NHL's leverage in its upcoming TV rights negotiations, as more teams in larger markets could translate into a more valuable media product. Stakeholders, including local governments, potential investors, and hockey fans in both cities, will be closely watching these developments for official announcements regarding team bids and timelines.
Beyond the Headlines
The NHL's persistent interest in Phoenix and Atlanta, despite previous franchise failures, underscores a broader league strategy to prioritize market size and potential media revenue over traditional hockey markets. This approach reflects a calculated risk that improved infrastructure, new ownership, and a more mature sports landscape could lead to success where it previously eluded the league. The league's willingness to revisit these cities also suggests a belief that the underlying demand for professional sports, coupled with strategic marketing and community engagement, can overcome historical challenges. This strategy could set a precedent for how major sports leagues approach expansion, emphasizing media market penetration as a primary driver for growth. The long-term success or failure of these potential franchises will offer valuable insights into the viability of expanding professional hockey into diverse U.S. regions, potentially influencing future expansion decisions across all major sports.
