How Magic Johnson Built a Billion-Dollar Portfolio in 30 Years

February 12, 2026

Here’s something that might surprise you — Magic Johnson turned from a basketball star into a billionaire in just 30 years. According to Chris Lyons from a16z, Magic’s secret isn’t flashy deals or high-risk bets, but often boring, steady businesses that grow over time. ((slower)) What’s fascinating is how mentorship shaped his approach — he credits icons like Michael Ovitz and Dr. Jerry Buss for teaching him the art of deal-making and patience. Now, here’s where it gets interesting: Magic’s sports ownership — owning teams like the Dodgers, the Commanders, and even the Sparks — shows how diversifying into different assets can build long-term wealth. ((upbeat)) As content+a16zpodcast@a16z.com explains, for the next generation of athletes and entertainers, understanding equity, building strong teams, and taking smart risks are game-changers. So what does this mean for you? It’s about playing the long game — staying steady, learning from mentors, and knowing when to take calculated risks, just like Magic did.

a16z’s Chris Lyons speaks with Earvin "Magic" Johnson about his 30-year journey from athlete to billionaire businessman. They cover the art of deal-making, lessons from mentors Michael Ovitz and Dr. Jerry Buss, why boring businesses often make the best investments, and Magic's sports ownership portfolio, from the Dodgers to the Commanders to the Sparks. They also discuss what the next generation of athletes and entertainers should know about equity, building teams, and taking risks.

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