The UFC is predicted to signal probably the most profitable broadcast rights deal in firm historical past in 2025 however is the group truly in search of over $1 billion per yr as a part of these negotiations?
That’s the query TKO Group Holdings president and chief working officer Mark Shapiro addressed on Monday throughout an look on the Morgan Stanley Know-how, Media and Telecom convention. Whereas there’s little doubt that the UFC is predicted to exceed the parameters of the present deal at ESPN, which began again in 2018, experiences surfaced that the corporate was in search of an enormous enhance by comparability when the brand new deal kicks in beginning in 2026.
The unique 5 yr cope with ESPN was value $1.5 billion with the 2 sides ultimately tacking on two extra years together with pay-per-view broadcasts added into the contract.
“All I’d say on this — this isn’t so of us can get scorching below the collar or get chilly or take it as ‘he’s inspired, he’s optimistic, however he’s not bullish.’ We don’t should learn between the traces right here,” Shapiro mentioned. “It’s easy. In fact, we’re going to maximise worth. In fact, we predict we’re undervalued — not as a result of we did a nasty deal — as a result of seven years is a very long time and the decks shuffle. However I believe, title your analyst, there’s lots on the market.
“I’m not saying we’re not going to get two-times [as much], no matter it is likely to be, that’s usually simply phrase of mouth. That’s not coming from the corporate.”
That mentioned, Shapiro acknowledges the notion that the UFC may probably be value that a lot in a brand new broadcast rights deal most likely stems from a number of various factors.
Before everything, sports activities rights packages are nonetheless enormous enterprise, particularly with streaming giants like Netflix and Amazon Prime Video getting concerned within the bidding. The NBA struck a deal that kicked off in 2025 value $76 billion throughout 11 years — greater than double the earlier deal at $24 billion over 9 years.
“I believe individuals are simply varied different leagues and considering the UFC is scorching and rising and numerous and younger and half our viewers is eighteen to 34, and we’re full yr spherical, we have now no offseason, we’re happening each single weekend and we’re rising globally,” Shapiro mentioned. “We’re in 170 nations with enormous alternative for progress. Europe, LatAm (Latin America), APAC (Asia-Pacific area), MENA (Center East, Northern Africa), all enormous areas of opportunistic progress they usually’re simply considering the sky is limitless right here. These guys can go to outer area!
“However they’re additionally balancing that with studying about MLB and studying about F1 and so I’d simply let you know there’s no early inning info. We cherish our relationship with ESPN and Disney. By the way in which, they’ve lots to do with our success and our progress and we’re in our [exclusive negotiating] window and we’re making an attempt to determine a means with them to resume. We could or could not come out of the window, we’ll see what occurs.”
The 2 offers Shapiro talked about referenced ESPN opting out of its broadcast cope with Main League Baseball and never hanging a deal to maintain System-1 racing both (though talks are reportedly nonetheless ongoing).
Proper now, the UFC remains to be in an unique negotiating window with ESPN via April 15 however after that date expires, the corporate can start fielding affords from different potential companions.
Shapiro is aware of there are going to be no scarcity of affords making an attempt to land the UFC’s broadcast rights however he additionally acknowledges that the corporate has to try long run success somewhat than a brief time period money seize.
In different phrases, a streaming service or perhaps a community may provide a ridiculous quantity to land the UFC’s broadcast fights but when that outlet doesn’t present the identical form of publicity as say ESPN, it may not be value the additional cash.
“Our job is to develop the model,” Shapiro mentioned. “It is a nascent sport, it’s mainstream now but it surely’s nascent. It’s early days. It’s was a serious however once you examine it to MLB, which has been round for 100 years, an NFL, which has been round 100 years, we have now a protracted method to go right here. So we have now to gauge attain, engagement, model energy with {dollars}. We’re taking part in the lengthy sport right here. That’s how we form of measurement up our negotiations and the completely different suitors which are on the market.
“As a result of there are some of us, some platforms, some channels that might pay extra however aren’t essentially the perfect match for our model. On the finish of the day, we have now to reside for the following deal. We’ve got to develop this, develop our viewers, monetize our viewers, however be sure we’re in probably the most aggressive place so when this deal is up seven years from now, 5 years from now, 10 years from now — probably when myself or Ari [Emanuel] are lengthy gone — we’re arrange for achievement with the following group, the following degree.”
