Negotiations failed! Ethan and the Rockets did not reach a contract extension agreement, making him a restricted free agent next summer.

On October 21st Beijing time, according to renowned reporter Shams, the Rockets and Ethan ultimately failed to reach a contract extension, meaning Ethan will be a restricted free agent next summer.

Earlier, Durant agreed to a two-year $90 million pay cut extension with the Rockets, providing the team with greater maneuvering room, yet Ethan was still unable to finalize a new contract with the Rockets.

Previously, ESPN analyzed the reasons why Ethan and the Rockets might not reach a contract extension. ESPN noted that the Rockets may have concerns about Ethan’s injury history: during the 2023-24 season, he underwent season-ending surgery on his left leg, and last season he missed 22 games due to the same leg. He played all 82 games in his rookie season but appeared in only 79 games combined over the past two seasons. Additionally, Ethan has started just 21 games in his career so far and is likely to remain a sixth man this season. ESPN recommended a contract of four years worth $80 million.

Last season, Ethan played 57 games, averaging 12 points, 6.4 rebounds, 1.5 assists, and 1.7 steals per game, with a shooting percentage of 48.7% and a three-point percentage of 34.2%.

Rockets media member Will wrote: “The Rockets and Ethan failed to reach a contract extension before today’s deadline. The good news is this doesn’t mean we will lose him. The restricted free agent system prevents players from leaving immediately after their rookie deals expire. Next summer, no matter what offer Ethan receives, the Rockets have the right to match it. But there are two downsides. First, I’m not sure how Ethan feels about missing the extension — clearly, he really wanted to secure this deal, and I don’t want him to face a ‘prove-it’ situation next season. Second, although this doesn’t mean Ethan will leave via free agency, it does increase the possibility that the Rockets might consider trading him.”

According to multiple reporters, besides the Rockets’ Ethan, players like Spurs’ Sohan, Pacers’ Matherlin, Jazz’s Kessler, Nuggets’ Watson, Pistons’ Ivy, and Duren also failed to reach contract extension agreements with their respective teams before the deadline.