Paramount secures UFC rights in $7.7 billion seven-year deal
The arrangement will see Paramount pay an average of $1.1 billion annually — amounting to $7.7 billion in total — for UFC’s complete schedule of 13 headline events and 30 “Fight Nights”. All bouts will stream in the U.S.
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Paramount has struck a landmark agreement to acquire the United States rights to TKO Group’s UFC (Ultimate Fighting Championship) for seven years, starting in 2026. The deal, announced just days after the completion of Paramount’s merger with Skydance Media, marks the company’s first major strategic move under its new leadership.
The arrangement will see Paramount pay an average of $1.1 billion annually — amounting to $7.7 billion in total — for UFC’s complete schedule of 13 headline events and 30 “Fight Nights”. All bouts will stream in the U.S. exclusively on Paramount+, with select fixtures simulcast on CBS. Payments under the deal will be staggered, with lower amounts in the initial years and higher figures towards the end of the term.
Unlike ESPN+, which has relied on the pay-per-view (PPV) model for certain premium UFC cards, Paramount will not charge viewers extra for access. This signals a decisive shift away from PPV in favour of subscription-only access. Disney’s ESPN had been paying roughly $500 million annually for UFC rights under a five-year deal that concludes at the end of 2025.
“The pay-per-view model is a thing of the past,” remarked Mark Shapiro, president and chief operating officer of TKO Group. “What’s on pay-per-view anymore? Boxing? Movies on DirecTV? It’s outdated. For us, it was paramount — forgive the pun — to have one-stop shopping, especially for younger fans in flyover states. If they find out they can sign up to Paramount+ for $12.99 a month and get UFC’s numbered fights and the rest of the portfolio automatically, that’s a message we want to amplify.”
The acquisition comes amid a flurry of activity for both Paramount and TKO. On Thursday, Paramount finalised the sale of control to Skydance Media, ushering in a new executive team headed by Chief Executive Officer David Ellison. Around the same time, TKO announced a separate five-year, $1.6 billion agreement with ESPN for the U.S. rights to WWE’s premium live events. UFC and WWE merged to form TKO in 2023.
Initially, TKO’s leadership had planned to sell only the 30 “Fight Night” cards to Paramount and offer its premium numbered events to a different media partner. However, once the Skydance-Paramount deal closed, negotiations for the comprehensive UFC package were concluded within 48 hours, according to Shapiro.
“We have demonstrated with our ESPN deal that we drive subscriptions, which is critical to David’s strategy,” TKO CEO Ariel Emanuel said in an appearance on CNBC’s Squawk on the Street.
Ellison stressed the strategic value of securing the complete UFC rights package, citing the scarcity of top-tier sports properties likely to become available in the coming years. Formula 1 rights are widely expected to be claimed by Apple, while Major League Baseball is not expected to restructure its primary media packages until 2028.
“UFC is a unicorn asset that comes up about once a decade,” Ellison noted, adding that he is a fan of the sport himself.
UFC programming holds particular appeal for streaming platforms due to its year-round schedule, which helps sustain subscriber retention without the seasonal drop-off common to other sports. Each year features 43 live events, equating to around 350 hours of live content.
Paramount also confirmed its interest in securing UFC’s international broadcasting rights to complement its U.S. deal. These overseas rights are renewed on a staggered basis, with roughly one-third becoming available each year. UFC matches currently air in more than 210 countries, and Paramount will hold a 30-day exclusive negotiation window for each market’s rights as they come up for renewal.
“We’re getting the brand, we’re getting the reach, and they’ll get the sign-ups,” Shapiro said on Squawk on the Street.
