ESPN has gained WWE’s premium live events, but it is losing a lot of real fights.
On Monday, Paramount announced a new seven-year, $7.7 billion deal with UFC (and WWE) parent TKO, making Paramount+ the new streaming home to UFC events in the U.S. — including the MMA giant’s 13 numbered pay-per-views (on top of its 30 “Fight Nights”). Some of the numbered events — formerly pay-per-views — will be simulcast on CBS.
The deal is backend-weighted, but will be amortized at $1.1 billion annually, per Paramount. Paramount says it plans to go after international UFC rights when they become available.
The UFC PPV model is going away “in favor of making these premium events available at no additional cost to the expansive U.S. subscriber base of Paramount+,” the Aug. 11 press release reads. The “shift in distribution strategy will unlock greater accessibility and discoverability for sports fans.”
“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,” said David Ellison, chairman and CEO of Paramount.
“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,” Ellison continued. “We look forward to delivering this premium content to millions of fans in the U.S., and potentially beyond.”
Ellison’s Skydance merged with Paramount last week. This is his first giant move in demonstrating his vision for the company’s future.
“This is a milestone moment and landmark deal for UFC, solidifying its position as a preeminent global sports asset,” said Ariel Emanuel, executive chair and CEO, TKO. “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.”
“Paramount is a platinum partner with significant reach,” said Mark Shapiro, president and chief operating officer, TKO. “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.”
More to come.