The NBA announced Nike as its new apparel partner today in a momentous shift in the sports business world. The financial terms of the deal were not disclosed, but it is estimated to be worth around $1 billion and will last for seven years. It is set to begin during the 2017-18 season.The deal represents a massive revenue boost for the NBA from their previous agreement with Adidas, as they are set to earn 245 percent more per year from the new deal.In March, Adidas announced it would not attempt to extend its deal with the NBA as, apparently, executives from both sides were struggling to see eye to eye on certain issues. Adidas has also lost some of its cache in recent years in the U.S. as it has dropped to third in retail sales in America this year, falling behind Under Armour.This marks a massive coup for Nike as it now the official apparel company on two of the three largest sports leagues in America (it added the NFL in 2012). Nike already dominates the basketball shoe market, owning 90 percent of retail sales in the U.S. and will now be the dominant player in jerseys and apparel.Another key aspect to this is that Nike will now be able to place its trademark swoosh on game jerseys, something that did not happen with Adidas or Reebok before.Today is a big day for Nike and the NBA — maybe, now, the can do away with those awful short-sleeve jerseys.