Paramount, under the ownership of Skydance Media, has announced a significant agreement with TKO Group Holdings that grants it exclusive U.S. broadcasting rights for the Ultimate Fighting Championship (UFC) beginning in 2026. This seven-year deal is valued at about $7.7 billion and aims to enhance Paramount's sports offerings, with the company's shares reportedly rising by 4.2 percent in premarket trading following the announcement.
As part of this arrangement, Paramount will showcase the complete UFC schedule of 13 numbered events and 30 Fight Nights on its streaming service, Paramount+. Certain numbered events will also be available live on the CBS broadcast network. Paramount plans to explore acquiring UFC rights in additional markets as they become available, demonstrating their commitment to sports content as a key element of their business strategy.
David Ellison, Chairman and CEO of Paramount, emphasized the importance of live sports in their broader media strategy, highlighting the UFC's status as a "global sports powerhouse." With the rise of cord-cutting, sports content has emerged as a crucial anchor for media companies, leading competitors like Netflix and Disney to pursue similar agreements to enhance their content portfolios, including wrestling events from the WWE.
Under this new contract, Paramount will pay an average annual fee of $1.1 billion to TKO Group for the rights to UFC events, a significant shift from the traditional pay-per-view format, allowing subscribers to access matches without additional charges. This announcement follows Paramount Global's recent merger with Skydance Media, valued at $8.4 billion, which concluded after a lengthy negotiation process characterized by political challenges and concerns among shareholders.
The UFC hosts around 43 live events each year, reaching an estimated 100 million fans within the United States and nearly 950 million households across the globe through various broadcast and digital platforms.
5 Comments
Comandante
This is a forward-thinking move by Paramount in the streaming landscape.
Raphael
This deal may be good for the UFC, but it's probably not so good for free and casual viewers - especially internationally!
Mariposa
This is going to dilute the UFC brand. Less accessible, more corporate.
Donatello
Skydance already has a questionable track record. Now they're in charge? Uh oh.
eliphas
The $7.7 billion deal? It shows commitment and potential. Good for the future.