First year of the Pelle Larsson extension is comparable to his on court production last season. credit: Jay Kakani http Via @BobbyMarks42 on X

What happened: Larsson's new deal starts below its $15 million annual average and climbs over the life of the contract. One early read on the structure pegged that first season as roughly in line with his 2025-26 on-court value. That follows Larsson's four-year, $60 million extension, which includes a 2030-31 mutual option.

Why it matters: Year 1 salary is often the first pressure point in extension analysis because it sets the immediate cap cost against current production. If Larsson takes on a larger role in 2026-27, a $13.5 million opening number could make the deal look favorable early.

By the numbers: 4 years, $60 million total; $13.5 million in Year 1; $15 million average annual value; 2030-31 mutual option.

What to watch: The next markers are Larsson's role entering camp and the full salary escalators across the contract. Those will shape whether the deal reads as fair value or an early bargain.

Sources