“I would have probably made that decision to break them up a little earlier than now,” Karl said. “Would I give him an extension? I would try to work on an extension with him that would be team-friendly and hopefully make him happy. But if he wants to go out and get the bigger dollar, I might let him go.”

The biggest problem with the Klay Thompson situation will be the trickle effect that it has on Steph Curry. Steph Curry has stated numerous times that he wants to play his career with Klay Thompson and Draymond Green, how will it impact him if that doesn’t happen?

Thompson has been linked numerous times to the Orlando Magic, and Karl believes he could be a good fit with that team – not as an All-Star, but as a veteran.

“Orlando needs someone that can make a shot,” Karl said. “Now I don’t know if he’s able to help you as an All-Star, but he might help you as a veteran and pro that can come off the bench and light it up.”

The situation is an incredibly tricky one for the Golden State Warriors. The team absolutely can not overpay Klay Thompson or it’ll ruin their chances of any potential championship contending, but they also have to keep Steph Curry happy no matter what.