The WNBA and Women's National Basketball Players Association remain deeply divided over revenue sharing with negotiations approaching a January 9 deadline, multiple sources told ESPN. The league projects the union's latest proposal would result in $700 million in losses over the agreement's duration.

Sources familiar with the negotiations said Wednesday the WNBPA proposal gives players approximately 30% of gross revenue with a salary cap near $10.5 million. The league believes such losses would exceed the combined deficits from the WNBA's first 29 years.

The union disputes the $700 million figure as "absolutely false" and maintains its model keeps the league profitable. A source close to negotiations cited disagreement over whether expansion fees factor into revenue calculations.

The league considers expansion fees a zero-sum transaction that generates no net revenue. New teams pay the fee but receive future revenue shares, while existing teams gain fee portions but surrender future revenue fractions.

The union's proposal accounts for expansion fees as real money contributing to owner profits. Portland and Toronto debut in 2026, while Cleveland, Detroit and Philadelphia each paid $250 million to join between 2028 and 2030.

The WNBA has proposed giving players over 50% of net revenue, defined as revenue after expenses. The December 18 offer featured uncapped revenue sharing with maximum salaries exceeding $1.3 million and growing to nearly $2 million.

That proposal included average salaries above $530,000 rising to more than $780,000 and minimum salaries exceeding $250,000 in year one. The 2025 salary cap sits at $1,507,100 compared to the proposed $5 million first-year cap.

WNBPA president Nneka Ogwumike previously told ESPN the league's revenue share model is "not adequate."

"The players remain fully engaged and focused on securing a transformative agreement that delivers a meaningful share of the revenue their labor creates," the WNBPA said in a statement.

Players authorized union leadership to call a strike "if necessary" earlier this month. Ogwumike said negotiations feel like they remain "a bit in their infancy" despite opting out over a year ago.