PayPal announced on Friday that the firm will no longer sponsor the Phoenix Suns if owner Robert Sarver remains with the team following the conclusion of his suspension.
PayPal stated that its existing partnership agreement with the Suns expires during the 2022-23 season, meaning it will expire during Sarver’s one-year NBA suspension. Sarver was suspended and fined $10 million last week after an inquiry revealed a history of vulgar, misogynistic, and racial words and behavior during his 18-year tenure as Suns owner.
In a statement, PayPal President and CEO Dan Schulman cited his company’s “strong history of combating racism, sexism, and all kinds of discrimination” and stated that Sarver’s behavior is “incompatible with our principles”
“In light of the NBA investigation’s conclusions, we will not renew our sponsorship if Robert Sarver remains connected with the Suns organization after completing his ban,” Schulman added.
Schulman stated that PayPal will continue to support the team, its players, and “the experienced and diverse talent now leading the organization,” which includes head coach Monty Williams, general manager James Jones, assistant general manager Morgan Cato, and senior vice president of people and culture Kim Corbitt.
Black men comprise Williams, Jones, Cato, and Corbitt. The investigation into Sarver revealed that he “repeated or purported to repeat the N-word at least five times during his tenure with the Suns.” However, the independent lawyers hired by the NBA to conduct the investigation concluded that Sarver did not use the racially insensitive language with the intent to demean or denigrate.
PayPal’s comment came one day after Suns vice chairman Jahm Najafi demanded Sarver’s resignation, stating that any company should have “zero tolerance” for vulgar, misogynistic, and racist behavior. Some players, particularly Suns guard Chris Paul — a former president of the National Basketball Players Association (NBPA) — and Los Angeles Lakers superstar LeBron James, have argued that the NBA’s punishment of Sarver was insufficient.
Wednesday, NBPA executive director Tamika Tremaglio tweeted that Sarver “should never again serve as a manager in our league.”
PayPal’s headquarters are in San Jose, California. Additionally, the technological platform and digital payments company has partnered with the WNBA’s Phoenix Mercury and a Spanish soccer team, both of which are owned by Sarver.