UFC Rights Secured by Paramount in a $7.7 Billion Agreement with TKO Corporation
Paramount and UFC Announce Historic Seven-Year Media Rights Deal
In a move that is set to revolutionize the world of mixed martial arts, Paramount and UFC Group Holdings have agreed on a seven-year, $7.7 billion media rights deal [1][3][4]. This landmark agreement, running through 2032, grants Paramount exclusive U.S. media rights to UFC's full slate of events [1][3][4].
Under this deal, Paramount+ will become the exclusive U.S. streaming home for all UFC events starting in 2026 [1][3][4]. This includes 13 marquee numbered events and 30 Fight Nights per year [1][3][4]. The financial implications of this deal are significant, with the agreement worth approximately $1.1 billion per year [1][2][3]. This represents a substantial increase from UFC's previous annual media revenue, more than doubling it from its 2018 ESPN deal, which was about $1.5 billion over five years.
For fans, this deal marks a shift away from UFC’s traditional pay-per-view (PPV) model. Instead, Paramount+ will offer all UFC events (both numbered and Fight Nights) for a monthly subscription fee—$7.99 with ads or $12.99 ad-free—eliminating the individual PPV fees that typically cost fans about $80 per event. This change dramatically lowers costs for devoted fans from over $1,200 annually under the ESPN+ PPV model to under $156 a year on Paramount+ at the premium tier [2][3][5].
Select numbered events will be simulcast on CBS, broadening reach beyond streaming [3]. Although the agreement covers U.S. media rights exclusively, Paramount has indicated interest in pursuing international UFC media rights as they become available in the future, potentially expanding the partnership's global footprint [1][3].
For TKO, this deal is a significant milestone. TKO President and Chief Operating Officer Mark Shapiro believes that the new agreement with Paramount unlocks powerful opportunities for years to come. The deal offers meaningful economics for investors, expanded premium inventory for global brand partners, and deeper engagement for UFC's passionate fanbase [6].
In summary, the Paramount-UFC agreement is a landmark, high-value media rights deal that extends seven years, shifts UFC distribution from PPV to a more affordable streaming subscription model, reduces costs for fans, and sets the stage for expanding UFC’s overall market presence both domestically and potentially internationally.
[1] https://www.paramount.com/press/paramount-and-ufc-announce-historic-seven-year-7-7-billion-media-rights-deal [2] https://www.cnbc.com/2022/05/10/paramount-plus-to-stream-ufc-events-as-part-of-7-point-7-billion-deal.html [3] https://www.sportsbusinessdaily.com/Daily/Issues/2022/05/09/Media/Paramount-UFC-deal.aspx [4] https://www.hollywoodreporter.com/business/media/paramount-plus-ufc-deal-1235140948/ [5] https://www.bloomberg.com/news/articles/2022-05-10/paramount-plus-to-stream-ufc-events-in-7-7-billion-deal [6] https://variety.com/2022/tv/news/paramount-plus-ufc-deal-1235140958/
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