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Paramount Locks $7.7B UFC Deal Days After Skydance Merger

By  |  August 11, 2025
Paramount+, streaming, advertising

Just days after finalizing its merger with Skydance Media, Paramount has struck a major sports rights agreement, securing exclusive U.S. broadcasting and streaming rights to TKO Group’s UFC for seven years starting in 2026, according to CNBC. The deal, valued at an average of $1.1 billion annually for a total of $7.7 billion, covers the UFC’s 13 headline events and 30 Fight Nights each year.

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    Under the agreement, UFC events will stream nationwide on Paramount+, with select matches also airing on CBS. Unlike the current pay-per-view model employed by ESPN+, Paramount will include all UFC content within its $12.99 monthly subscription at no extra charge. Per CNBC, ESPN had been paying around $500 million annually for UFC rights, a deal that ends in late 2025.

    Mark Shapiro, TKO Group’s president and COO, criticized the traditional pay-per-view structure, calling it “an outdated, antiquated model” in an interview. He emphasized that offering all UFC content under a single subscription is particularly appealing to younger audiences.

    Related: Skydance Seals $8 Billion Paramount Deal with FCC Approval

    The agreement comes amid rapid changes for both companies. Paramount’s sale of control to Skydance brought in new leadership under CEO David Ellison. Meanwhile, TKO — formed in 2023 through the merger of UFC and WWE — recently inked a five-year, $1.6 billion pact with ESPN for WWE’s premium events.

    According to CNBC, TKO initially considered splitting UFC rights between multiple partners, selling only the Fight Nights to Paramount. However, the UFC’s full package was negotiated and signed within 48 hours after the Skydance-Paramount merger closed. Ariel Emanuel, TKO’s CEO, said it was critical for Ellison to acquire the complete UFC rights given the limited availability of high-value sports properties in the coming years.

    Ellison, describing UFC as a “unicorn asset,” noted that its year-round schedule — 43 events and 350 hours of live programming annually — makes it especially valuable for streaming platforms seeking to reduce subscription churn. Paramount has also expressed interest in acquiring UFC’s international rights, which become available gradually and would allow the company to expand its global sports portfolio.

    Shapiro told CNBC that Paramount will have a 30-day exclusive negotiation window for each country’s rights as they come up for renewal, highlighting the long-term growth potential of the deal.

    Source: CNBC