The 1997–98 NBA season was the Kings' 49th season in the National Basketball Association, and 13th season in Sacramento. After signing free agent Terry Dehere, the Kings decided a renewed devotion to youth with the quartet of talented rookies Lawrence Funderburke, Anthony Johnson, Tariq Abdul-Wahad and Michael Stewart. At midseason, the team traded Michael Smith and Bobby Hurley to the Vancouver Grizzlies for former Kings forward Otis Thorpe. However, with a 26–36 record in early March, the Kings struggled losing 19 of their final 20 games including a 12-game losing streak, and seven straight losses to end the season. They finished fifth in the Pacific Division with a 27–55 record, which was fourteen games behind the 8th-seeded Houston Rockets, who finished with a 41–41 record.

Mitch Richmond averaged 23.2 points per game and was selected for the 1998 NBA All-Star Game. Following the season, he was traded along with Thorpe to the Washington Wizards, while Billy Owens and Olden Polynice both left for free agency signing with the Seattle SuperSonics, Johnson signed with the Atlanta Hawks, Stewart with the Toronto Raptors, Mahmoud Abdul-Rauf was released and head coach Eddie Jordan was fired.