The creation of the WNBA was officially approved by the NBA Board of Governors on April 24, 1996, and announced at a press conference with Rebecca Lobo, Lisa Leslie, and Sheryl Swoopes in attendance. The new WNBA had to compete with the recently formed American Basketball League, another professional women's basketball league that began play in the fall of 1996, but would cease operation during its 1998–99 season.

The WNBA began with eight teams: the Charlotte Sting, Cleveland Rockers, Houston Comets, and New York Liberty in the Eastern Conference; and the Los Angeles Sparks, Phoenix Mercury, Sacramento Monarchs, and Utah Starzz in the Western Conference.