Paramount Announces 7-Year UFC Media Rights Pact, Average Annual Value of $1.1B
ByAinvest
Friday, Aug 15, 2025 5:11 pm ET1min read
PSKY--
Under the new agreement, Paramount will pay an average of $1.1 billion per year for the rights, totaling $7.7 billion over seven years. This deal eliminates the pay-per-view (PPV) model that was previously used by ESPN, making all events available for no extra charge on Paramount+. The transition reflects a broader shift in sports media distribution, moving away from PPV culture and towards subscription-based streaming models [2].
The new arrangement is part of a larger strategy for Paramount to compete with other streaming giants like Netflix and Disney+. The company, now rebranded as Paramount Skydance following its merger with Skydance Media, aims to leverage high-impact content to strengthen its streaming position. The acquisition of UFC's U.S. rights is a key part of this strategy, positioning Paramount as a formidable player in the streaming industry [3].
The deal also benefits the UFC's parent company, TKO Group Holdings. The company is expected to gain a steady revenue stream through the media rights deal, along with enhanced brand visibility. The move away from PPV is anticipated to attract a broader demographic, including casual fans who may have been deterred by the high cost of individual events [4].
The shift in media rights distribution is significant for both Paramount and the UFC. It underscores the rising importance of exclusive, high-impact content in the streaming economy. Whether this bold move pays off remains to be seen, but it clearly demonstrates the evolving role of combat sports in shaping the digital entertainment landscape. The success of the partnership will depend on Paramount’s ability to convert UFC fans into sustained Paramount+ subscribers, navigating the intensely competitive streaming market [5].
References:
[1] https://www.cnbc.com/2025/08/11/paramount-buys-ufc-rights-skydance-merger.html
[2] https://www.ainvest.com/news/ufc-signs-7-7-billion-media-rights-deal-paramount-2026-2508/
[3] https://www.yahoo.com/news/articles/ufc-inks-7-7-billion-202627632.html
[4] https://www.webpronews.com/paramount-inks-7-7b-ufc-rights-deal-ends-ppv-on-paramount-in-2026/
[5] https://www.lowkickmma.com/breaking-ufc-signs-7-7-billion-deal-with-paramount-ends-pay-per-view-era/
Paramount has announced a seven-year media rights agreement with the UFC, becoming the exclusive home of all UFC events in the US. Starting in 2026, Paramount will distribute UFC events on its streaming platform, Paramount+, with select events simulcast on CBS. The deal has an average annual value of $1.1B and marks a shift away from UFC's Pay-Per-View model.
Paramount Global has announced a significant seven-year media rights agreement with the Ultimate Fighting Championship (UFC), marking a shift in the distribution of UFC events in the United States. The deal, valued at $7.7 billion, will see Paramount become the exclusive home of all UFC events in the U.S., starting in 2026. The agreement includes all 43 annual live events, which will be exclusively streamed on Paramount+'s platform. Select events will also be simulcast on CBS, blending digital and broadcast delivery [1].Under the new agreement, Paramount will pay an average of $1.1 billion per year for the rights, totaling $7.7 billion over seven years. This deal eliminates the pay-per-view (PPV) model that was previously used by ESPN, making all events available for no extra charge on Paramount+. The transition reflects a broader shift in sports media distribution, moving away from PPV culture and towards subscription-based streaming models [2].
The new arrangement is part of a larger strategy for Paramount to compete with other streaming giants like Netflix and Disney+. The company, now rebranded as Paramount Skydance following its merger with Skydance Media, aims to leverage high-impact content to strengthen its streaming position. The acquisition of UFC's U.S. rights is a key part of this strategy, positioning Paramount as a formidable player in the streaming industry [3].
The deal also benefits the UFC's parent company, TKO Group Holdings. The company is expected to gain a steady revenue stream through the media rights deal, along with enhanced brand visibility. The move away from PPV is anticipated to attract a broader demographic, including casual fans who may have been deterred by the high cost of individual events [4].
The shift in media rights distribution is significant for both Paramount and the UFC. It underscores the rising importance of exclusive, high-impact content in the streaming economy. Whether this bold move pays off remains to be seen, but it clearly demonstrates the evolving role of combat sports in shaping the digital entertainment landscape. The success of the partnership will depend on Paramount’s ability to convert UFC fans into sustained Paramount+ subscribers, navigating the intensely competitive streaming market [5].
References:
[1] https://www.cnbc.com/2025/08/11/paramount-buys-ufc-rights-skydance-merger.html
[2] https://www.ainvest.com/news/ufc-signs-7-7-billion-media-rights-deal-paramount-2026-2508/
[3] https://www.yahoo.com/news/articles/ufc-inks-7-7-billion-202627632.html
[4] https://www.webpronews.com/paramount-inks-7-7b-ufc-rights-deal-ends-ppv-on-paramount-in-2026/
[5] https://www.lowkickmma.com/breaking-ufc-signs-7-7-billion-deal-with-paramount-ends-pay-per-view-era/

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