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via Imago

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via Imago

When Mark Shapiro, TKO Group’s president and COO, first thought about eliminating PPV, he wanted the UFC fans to wonder, “Wait, if I just sign up for Paramount+ for $12.99 a month, I’m going to automatically get UFC’s numbered fights and the rest of the portfolio?” For years now, watching premium events over PPV has been the center of UFC’s deal with ESPN, where the latter had been paying $500 million for five years. But that deal is coming to an end in December this year, and UFC has found a home in Paramount+.

The latest $7.7 billion/7-year deal set to begin in January, calls for 43 total UFC events per year – with 30 Fight Night cards and 13 numbered events. The highlighted text in the offer, however, is that the pay-per-view model is a thing of the past. These events will now air on the Paramount+ streaming service with a select number of events simulcast on CBS in the US. With the PPV gone, though, came the burning question– What about the fighters’ pay? While Dana White had been silent on the same so far, he has finally revealed his thoughts.

At the latest Dana White’s Contender Series press conference, the head honcho of UFC was asked, “Does this require massive restructuring of like fighter pay? I mean, they used to be pay-per-view partners with you, right? Now, what’s the encouragement to be the superstar?” White responded, “It’s not massive restructuring. We got a bunch of smart kids over there working in the accounting department to figure out how to make all this stuff work.

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“But it’s so good for the fighters. What I love about being with the one company that made such a big investment in us is they’re all in with us. So, the fighters are gonna get tons of promotion, built by all these unbelievable networks that these guys own. And, these are aggressive, smart guys that are gonna build a big media company.”

The UFC’s $7.7 billion contract with Paramount+ has already been hailed as a game-changer for fans. U.S. viewers will no longer be required to pay for individual pay-per-views, as every fight card will be included with their membership. For the fighters, White only added, “We’ve still got to get together and figure this stuff out… We have until January to figure all that stuff. We’re going to increase bonuses by millions of dollars.”

So far, UFC and fighters’ payments have worked in one structure. Fighters earn a part of the PPV ticket sales, which were known as PPV points. Hence, the bigger star you are, the more fandom you have, and the more money you earn through sales. But the change will imply that more fighters, not just the headliner, will gain monetarily from event nights, which is likely intended to ease concerns while the long-term pay system is worked out.

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The deal is tailored to Paramount’s goals

Speaking further at Dana White’s Contender Series press conference, the UFC CEO reminded reporters that each broadcast partner has its own strategy. “We’ve had Spike TV, Fox, ESPN, and now Paramount. All of these guys have different objectives and goals,” White explained. “Whatever it is, we are aligned, and we get in, we roll up our sleeves, and we do what needs to be done.”

For Paramount+, this means completely abandoning the PPV business in the United States. It’s a bold move that brings the UFC into the same streaming ecosystem as the NFL and major European soccer leagues, allowing users to watch every event without paying the extra $80-per-card price tag.

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What’s your perspective on:

Will the $7.7B deal finally address fighter pay, or is it just a fan-focused move?

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On the other hand, Paramount is looking to gain an ally in the annual sport. Most leagues are already signed up with some broadcaster, already leaving the pool short. But with UFC, a platform that keeps its fans entertained throughout the year, the company will not have to look for other sources during the off-season, a big issue with other sports like the NFL and the NBA.

The UFC head honcho said, “If it was going to be pay-per-view, it was going to be pay-per-view. If it was going to be a subscription, it was going to be a subscription.” Dana White also hinted at increased schedule flexibility, particularly for overseas events. While the idea of holding numbered cards during prime time for European or Asian viewers has not been finalized, he did promise that “We’re still figuring that part out,” leaving the door open for a more global-first broadcast strategy.

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Will the $7.7B deal finally address fighter pay, or is it just a fan-focused move?

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