UFC And Paramount: A New Era For MMA, Or A Risky Bet?

Paramount and TKO Group Holdings Inc. have announced a seven-year broadcast deal, as the network will stream UFC events in the U.S. from next year.

The deal means all UFC numbered events and Fight Night events will stream on Paramount+. It is hoped this will see a departure from PPV, so fans can enjoy the biggest fights without having to shell out extra. Paramount is also open to the idea of acquiring UFC media rights outside the U.S. The news confirms the upcoming departure from ESPN at the end of 2025, as the UFC’s $1.5 billion deal will come to an end. While the venture will offer the UFC to expand its brand, there are still a few things to consider. 

The most significant benefit for fans is the elimination of PPV. This change makes UFC content more accessible and affordable, potentially attracting a wider audience. For Paramount, this deal is a major acquisition that could drive a huge increase in subscriptions to its streaming service. For the UFC, securing a seven-year, exclusive partnership with a major media company like Paramount provides long-term stability and a guaranteed revenue stream. Despite this being the case, White has suggested there could still be PPV for the biggest fights. 

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For the UFC, while they are getting a new broadcast partner, it is unclear if this deal meets their reported asking price of over $1 billion per year. Their previous deal with ESPN was valued at $450 million annually, and while a new, more lucrative deal is expected, a gap between their valuation and the final number could be seen as a missed opportunity to maximize revenue. 

Reaction

“I couldn’t be more excited to join forces with Dana, Ari, and Mark. Rarely do opportunities arise to partner on an exclusive basis with a global sports powerhouse like UFC – an organization with extraordinary global recognition, scale, and cultural impact. Paramount’s advantage lies in the expansive reach of our linear and streaming platforms. Live sports continue to be a cornerstone of our broader strategy — driving engagement, subscriber growth, and long-term loyalty, and the addition of UFC’s year-round must-watch events to our platforms is a major win. We look forward to delivering this premium content to millions of fans in the U.S., and potentially beyond,” David Ellison (Chairman and CEO of Paramount)

“This is a milestone moment and landmark deal for UFC, solidifying its position as a preeminent global sports asset. Our decade-long journey with UFC has been defined by continuous growth and expansion, and this agreement is an important realization of our strategy. We believe wholeheartedly in David’s vision and look forward to being in business with a company that will prioritize technology as a means to enhance storytelling and the overall viewing experience,” Ariel Emanuel (Executive Chair and CEO, TKO)

“Paramount is a platinum partner with significant reach. Our new agreement unlocks powerful opportunities at TKO for years to come – meaningful economics for investors; expanded premium inventory for global brand partners; and deeper engagement for UFC’s passionate fanbase. Just as importantly, our athletes will love this new stage,” Mark Shapiro (President and COO, TKO)

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