The Rockets traded Ryan Anderson to the Suns in a four-player deal Thursday, reports ESPN's Adrian Wojnarowski.
De'Anthony Melton was also sent to Phoenix in exchange for Marquese Chriss and Brandon Knight.
Last season, Anderson averaged 9.3 points and five rebounds per game. The 30-year-old signed a four-year deal with the Rockets in 2016 worth $80 million.
Melton was selected by the Rockets in the second round of the 2018 NBA draft.
The 21-year-old Chriss averaged 7.7 points and 5.5 rebounds per game last season. Knight averaged 11 points and 2.4 assists along with 2.2 rebounds per game during the 2016-17 season and sat out all of last year with a torn ACL in his left knee.
The move sees the Rockets shed a bit of money going into the season after offloading Anderson's contract and pick up another athletic big in Chriss who can potentially stretch the floor in Houston's offense.
The Suns gain a player in Anderson who can hit threes and space the floor for Devin Booker as well as pull up from unlimited range and offer a veteran presence for the young bigs on Phoenix's roster.
The Rockets finished last season at 65–17, finishing first in the Western Conference and losing to the Warriors in the Western Conference finals.
The Suns finished on the bottom end of the list at 21–61.