Gail Miller, owner and chairman of the Larry H. Miller Group of Companies and the Utah Jazz, announced today that they have entered into definitive agreements to sell a majority stake in the Utah Jazz and other sports to technology entrepreneur Ryan Smith.
Melissa Majchrzak | National Basketball Association | Getty Images
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Ryan Smith, the new owner of the Utah Jazz, says he is still not sure what kind of owner he will become, but he already knows his focus will be on improving the experiences of fans and players.
Smith, 42, officially joined the sports property fraternity after the National Basketball Association approved his $ 1.6 billion purchase of the Jazz on Friday. The Qualtrics Co-Founder and CEO will be responsible for the final decision-making on corporate and basketball activities for the team.
The new ownership group also adds Atlassian co-founder Mike Cannon-Brookes and Ryan Sweeney of venture capital firm Accel as minority partners.
In an interview with CNBC Pro’s “A View from the Top”, Smith said he has no intention of staying behind the scenes. Still, unlike other NBA owners, running the Jazz isn’t going to be his full-time job. Qualtrics will emerge from SAP early next year, less than two years after the German software giant acquired the company. Smith says he expects it to be “a big company.”
“I think I’ll be practical,” Smith told CNBC’s Alex Sherman. “But we have phenomenal leadership. We have Dennis Lindsey, a world-class general manager, and Quin Snyder, who is one of the best coaches in the league. There are a number of owners that this is all they do full time. I’m not. I’m still very much involved with Qualtrics. “
Before buying the Jazz, Smith said he bought several NBA franchises, including the Minnesota Timberwolves. Chatter among sports bankers familiar with that process suggests Timberwolves owner Glenn Taylor is considering keeping the team for the time being.
“There are still a few minority groups,” Smith said of smaller interests held by NBA teams. “You’ll see them getting around.”
Smith said he spoke to other NBA owners with a technology background before making the purchase, including Dallas Mavericks owner Mark Cuban and Los Angeles Clippers owner Steve Ballmer, formerly the CEO of Microsoft. Both are among the most visible team owners at NBA games. Like Cuban and Ballmer, Smith said he plans to stay in court.
“I had a unique outlook because I’ve spoken to Mark five different times, or a few times, over the years,” said Smith. “And I’ve already gotten to know a lot of the other owners in the league just because that’s where my passion has been. But they’ve given me different advice. No one ever said this is how to do it. Everyone has their own own style. “
Smith said he thinks his basketball insight will help the Jazz align better with a technology and social media-driven competition.
“I understand basketball,” he said. “I get basketball. I play basketball three days a week. There is the basketball side and the business side. They are all equally interesting to me. One from the point of view of experience and one from an understanding.”
When asked what jazz fans can expect from his property, Smith replied, “They’ll see. They see it already. They know me – a lot of them do it.”
“All I do is change seats,” Smith said of the seats next to previous owner Gail Miller. “But I have to do the payroll now.”
Read the full CNBC Pro interview with Ryan Smith.
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