What happened: Stephen A. Smith said on ESPN's First Take that the 76ers are now "right in with New York as the favorites" to come out of the East after LeBron James signed a two-year, $8 million deal with Philadelphia. Smith credited 76ers president Bob Myers, who won four championships as the Warriors' general manager from 2012-23, for assembling a roster that can compete with anyone. Smith called Jaylen Brown, Tyrese Maxey and rookie VJ Edgecombe all "big time" and said a healthy Joel Embiid could push Philadelphia to a title.
Why it matters: The Knicks swept the 76ers in the second round of this year's playoffs, and Smith's comments frame James' arrival as a direct challenge to New York's grip on the conference heading into 2026-27. James took a roughly $50 million pay cut from his $52 million Lakers salary to join a starting five of Maxey, Edgecombe, Embiid, Brown and James.
By the numbers: ESPN cap expert Bobby Marks said Philadelphia sits roughly $572,000 above the first tax apron after the signing.
What to watch: Myers must cut a player or find a trade before the season to clear the cap room James' contract requires.