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Microsoft's new NBA app is just the latest partnership between big tech and sports

Microsoft (MSFT) and the NBA are doubling down on their partnership at a moment when tech companies and professional sports are more connected than ever.

Microsoft and the NBA recently launched a free new-and-improved app, which they hope will now serve as a hub for fan experiences. It's a notable expansion of a partnership that began in 2020. The announcement comes as the NBA season is getting underway, but also as Big Tech and Big Sports have been increasingly partnering up for new ventures. Just look at the NFL, where Amazon has (AMZN) taken on "Thursday Night Football," and where Apple Music (AAPL) has scored an exclusive sponsorship of the Super Bowl Halftime Show.

This app is in part a data-gathering exercise meant to help the NBA build a more personalized fan experience, according to Microsoft North America President Deb Cupp. The broader partnership between Microsoft and the NBA also includes CourtOptix, which collects and displays advanced metrics and video-tracking stats for fans' favorite teams and athletes.

"It's powered by Microsoft Azure and is, in essence, machine learning," Cupp said. "It's a solution that analyzes actions on the court, generates insights behind shots, passes, plays. It gives fans the opportunity to see significant moments, and learn more about the athletes and teams they're interested in."

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The new app is geared to consolidate a fan experience that's historically come from a world of different vendors and partners. The goal is to honor that ecosystem, while bringing fans a central platform they can always circle back to, NBA Executive Vice President of Direct-to-Consumer Christopher Benyarko told Yahoo Finance.

Basketball - NBA Pre-season game - Milwaukee Bucks v Atlanta Hawks - Etihad Arena, Abu Dhabi, United Arab Emirates - October 6, 2022 Milwaukee Bucks' George Hill in action with Atlanta Hawks' Aaron Holiday REUTERS/Christopher Pike
Basketball - NBA Pre-season game - Milwaukee Bucks v Atlanta Hawks - Etihad Arena, Abu Dhabi, United Arab Emirates - October 6, 2022 Milwaukee Bucks' George Hill in action with Atlanta Hawks' Aaron Holiday REUTERS/Christopher Pike (Christopher Pike / reuters)

“There are so many brands and partners that are involved in making the NBA experience happen," he said. "From a fan perspective, it would be great to say, hey, the NBA’s taking the lead in bringing all these experiences together. We want this app to serve as connective tissue and help build this long-term direct relationship with consumers that also involves partners… We want this app to be a center, a home.”

Microsoft's looking for a slam dunk

Big Tech's been getting into Big Sports in the quest for growth, and that's no different for Microsoft. By expanding its partnership with the NBA, Microsoft's claiming space in that dialogue and on that stage.

However, the streaming piece of this venture isn't as straightforward as is the case in Apple's and Amazon's NFL partnerships, which are centered around broadcast rights. In contrast, the partnership both Cupp and Benyarko describe is fluid and seeks to be an ongoing dialogue. You can stream NBA games on the new app, but you can also buy merchandise or game tickets, or follow the news on teams you most care about. Over time, the app may gain other capabilities that users want, added Benyarko.

However, Microsoft's Cupp was very clear about drawing the distinction between getting involved in sports streaming, and generating content — Microsoft, which is the official cloud partner of the NBA, isn't interested in the latter.

“For Microsoft, we’re not content providers and we don’t intend to be content providers," she said. "So we’re very clear about delivering our platform and capabilities and allowing our customers to be the content providers. We’re in the streaming business with our customers.”

Still, this announcement does highlight that Microsoft, like Amazon or Apple, has live-streaming capabilities of its own and is ready to compete.

“For fans in different parts of the country or the world, you can watch basketball games and not have to worry about whether a local network carries it," Cupp said. "It’s this chance to really immerse yourself in the experience and continue to benefit from what you want to see more of and it’s a platform, so we’re all going to learn collectively and continue to offer opportunities. To me, it’s an inclusive experience… you also can look at buying merchandise, tickets, all in one experience on the app.”

The Microsoft-NBA partnership began amid COVID-19. In 2020, as the NBA was returning to TV screens, Microsoft Teams started appearing at games, bringing fans virtually to the NBA "bubble" in Orlando, Fla. The partnership has naturally expanded out over time and, last year, Microsoft began working with the NBA on CourtOptix, Cupp said.

Ultimately, from the NBA's perspective, the same way its collaboration with Microsoft is fluid and focused on feedback, so is what happens next for the just-launched app.

“We don’t want to make an assumption about how people will be using the app," Benyarko told Yahoo Finance. "We want to try and always be testing. That’s what the platform allows us to do.... The advancements that we’re making are about improving the overall NBA ecosystem.”

Correction: An earlier version of this story incorrectly suggested CourtOptix is part of the app when it's part of the broader partnership. The error has been corrected.

Allie Garfinkle is senior tech reporter at Yahoo Finance. Follow her on Twitter at @agarfinks.

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