Major UFC and Paramount Agreement Terminates Pay-Per-View Period, Worth $7.7 Billion
The Ultimate Fighting Championship (UFC) has struck a significant deal with Paramount+, a move that is expected to greatly enhance the streaming platform's subscriber base and revolutionise UFC's content accessibility.
In a seven-year, $7.7 billion deal, CBS and Paramount have acquired UFC's rights, marking a strategic bet on the mixed martial arts organisation as a key driver of their streaming growth and presence in live sports. This agreement doubles the annual value of UFC's U.S. rights over the course of the contract.
Mark Shapiro, TKO president and COO, stated that the new agreement unlocks significant opportunities for TKO, including meaningful economics for investors, expanded premium inventory for global brand partners, and deeper engagement for UFC's fanbase.
The deal brings 30 Fight Nights and 13 marquee numbered events to CBS and Paramount+ annually, starting in 2026. Full access to UFC events will be available as part of the Paramount+ normal subscription fee, making UFC content more affordable and accessible.
Shapiro also mentioned that UFC athletes will benefit from this new stage. UFC will join March Madness, the Masters, and the NFL in Paramount's portfolio, enhancing the platform's attractiveness and subscriber value proposition. Select marquee UFC events will also simulcast on CBS, increasing UFC's exposure to a mass audience and potentially driving new Paramount+ sign-ups for full access.
David Ellison, CEO of Paramount, stated that live sports are a cornerstone of their strategy. Combat sports have shown to be valuable for modern media companies seeking year-round draws. This move aligns with broader consumer trends favouring streaming and subscription bundles over single-event purchases, facilitating binge watching and discovery of UFC content.
However, there are risks. Translating UFC’s historic PPV revenue spikes to steady subscription income is uncertain. The shift may flatten revenue peaks per event for fighters and promoters, potentially affecting compensation models. The UFC may also lose some daily exposure previously gained from ESPN’s cable and social media platforms but gains broader streaming reach plus major event visibility on CBS.
Despite these risks, the UFC-Paramount+ deal is poised to transform UFC’s content accessibility, reduce viewing costs for fans, and serve as a major subscriber growth engine for Paramount+. This transition to a subscription-based model makes UFC content more affordable and accessible, encouraging both hardcore and casual fans to engage more frequently with the platform, thus acting as a catalyst for driving engagement and new subscriptions.
[1] UFC Deal Puts Paramount+ on Fast Track for Big Subscriber Gains
[2] UFC-Paramount+ Deal: What It Means for Fans, Fighters and the Sport
[3] UFC-Paramount+ Deal: What It Means for Fans, Fighters and the Sport
[4] UFC's Paramount+ Deal Is a Win for Both Parties
[1] This UFC-Paramount+ deal, valued at $7.7 billion over seven years, is set to boost Paramount+'s subscriber base significantly, a win for both parties in the world of finance and business.
[2] The strategic move of UFC partnering with Paramount+ promises to make UFC content more affordable and accessible in sports, opening opportunities for global brand partnerships and increased fan engagement.
