The Indiana Pacers have made a final decision regarding the future of guard Ethan Thompson.
Entering the 2026 NBA offseason, the Indiana Pacers had to make a decision regarding guard Ethan Thompson. During the 2025-26 season, Thompson showed some flashes of talent.
Fans quickly started viewing Thompson as a fan favorite. He has been fighting for a two-way contract with the team throughout the offseason. However, the team has made a final decision about his future with the franchise.
According to a report from Pacers reporter Tony East of Forbes, Indiana has decided to waive Thompson from his two-way contract.
Thompson will now look for another opportunity. Despite some bright moments for the Pacers last season, the two-way battle was too much for him to overcome.
More than likely, this paves the way for Indiana to have Jalen Slawson, Braden Smith, and Kobe Brown as its three two-way contracts. All three players were expected to remain with the team, which gave Thompson a tough uphill battle to deal with.
Throughout the course of the 2025-26 NBA season with the Pacers, Thompson ended up playing in 32 games and making 13 starts. He averaged seven points per game to go along with 2.2 rebounds and 1.8 assists, while shooting 37.8 percent from the floor and 32.8 percent from three-point range.
Now at 27 years old, Thompson has at least been able to audition for other teams. Much like Taelon Peter, who was recently waived by Indiana, it shouldn't take long for Thompson to find a new home.
Speaking of Peter, the 2025 second-round pick ended up signing a deal with the San Antonio Spurs after being released by the Pacers.
On Thursday afternoon, the NBA also announced the 2026-27 schedule for Indiana. Unfortunately, Tyrese Haliburton's return to the floor from a torn Achilles will not happen at home. Instead, the Pacers will open up the year on the road against the New Orleans Pelicans on October 21.
Indiana will then return home for its home opener on October 23 against the Dallas Mavericks.
All of that being said, moving on from Thompson was a tough decision for the Pacers. There is no question he has NBA level talent, but there was too much talent ahead of him on the roster. Hopefully, he is able to land a new deal in the near future.
Expect to see Indiana move quickly to give Smith a two-way contract. The rookie point guard struggled during Summer League, but the Pacers' front office is very high on him.


