AT&T reportedly out as Spurs' arena sponsor, minority owner

The San Antonio Spurs are in need of a new naming-rights sponsor for their home arena as AT&T has reportedly indicated it won't renew its current deal, according to Front Office Sports.

The arena is expected to be known as AT&T Center until the contract expires in the fall of 2022, Front Office Sports adds. The telecom giant also recently sold off its 7% minority interest in the Spurs. 

"This sale is a result of the ongoing strategic review of our balance sheet and assets to identify opportunities for monetization," Fletcher Cook said, VP of corporate communications for AT&T, in an email to FOS. "We want to ensure that our assets support our overall strategy and areas of market focus. Where this is not the case, we transition them to owners who will provide incremental stewardship and investment."

It is estimated that AT&T made about $125 million from its original investment in the Spurs, which was made more than two decades ago. AT&T had paid about $2 million per year for the naming rights to the Spurs' arena. 

Front Office Sports says AT&T is looking for ways to cut costs. The company still owns naming rights to the Dallas Cowboys' AT&T Stadium, but it's no surprise it wants to keep the naming rights as the team is one of the most popular in the nation.

It's unclear which companies might be interested in purchasing naming rights for the Spurs' arena. Some of the largest companies in San Antonio include USAA, Rackspace Technology, VisionWorks and Valero Energy.