What grade does the Philadelphia 76ers receive for Embiid’s three-year extension?

The Philadelphia 76ers have reportedly agreed to a three-year, $192.9 million extension with center Joel Embiid.

Grade: Pass (extensions evaluated on a pass/fail basis)

Last year, with James Harden declaring he would never play for Philadelphia’s general manager Daryl Morey before training camp, Embiid was seen as a potential trade target for a top NBA superstar. However, guard Tyrese Maxey emerged as a star, and the 76ers utilized the cap space from the Harden trade to acquire nine-time All-Star Paul George, enhancing the team’s talent around Embiid as they head into the 2024-25 season.

In this context, Embiid’s new extension secures him through 2029, boosting the likelihood that he will spend his entire career with the 76ers.

Since Embiid has already completed 10 years in the NBA, including two seasons lost to injury early in his career, this extension does not qualify as a supermax. Instead, he will earn the maximum salary available for players with over 10 years of experience.

Joel Embiid’s player option for the 2026-27 season provided him with some flexibility in structuring his deal. If he declined the option, he could earn a bit more that season, with his salary set at $59 million, slightly below the projected max. By extending off the option, he would compensate for that in 2027-28, as his salary would increase to the full max, which is anticipated to rise by 10% annually as the salary cap adjusts to new national TV deals, while contract increases are capped at 8% per year.

Regardless of the choice, the outcome for the Sixers remains the same: Embiid is under contract for five years. There is some risk in committing over $60 million annually to him through age 35, especially since he has never played more than 68 games in a season. Concerns about the later years of George’s contract are valid, but this risk is manageable given the potential rewards of competing for a championship during Embiid’s remaining MVP-caliber years.

There are a couple of key aspects to this deal: First, it effectively prevents a trade for Embiid this season, similar to the extension Lauri Markkanen signed with the Utah Jazz during a salary renegotiation. Since Embiid has more than four years left on his contract—including his current deal and the extension—he can’t be traded for six months, which goes past the trade deadline. In practice, Embiid wouldn’t be moving unless he actively sought a trade.

Second, by signing a three-year extension, Embiid opens up the possibility of extending again in the future. Like fellow MVP Giannis Antetokounmpo, who emerged as a star after the supermax was introduced, Embiid is a high-profile player who has yet to hit free agency. There’s a chance he could spend his entire career without ever experiencing free agency.