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The UFC has started to field offers from potential partners for a new broadcast rights deal that kicks off in 2026, but the promotion isn’t rushing to make any announcements.
Back in April, the UFC’s exclusive negotiating window with ESPN expired, which meant other networks and possible streaming partners could begin making offers to obtain part or all of the upcoming broadcast rights deal. The UFC is reportedly seeking somewhere around $1 billion per year under terms of the new deal after inking a seven-year contract with ESPN that started in 2018.
While the UFC has started talking to other suitors, TKO President and Chief Operating Officer Mark Shapiro promises talks are still ongoing with ESPN as well.
“We’re in discussions at this time with various third parties regarding the UFC’s rights,” Shapiro said during a quarterly TKO financial call Thursday. “I would term the conversations as thoughtful and strategic. Nothing to announce at this time and ESPN is still heavily included in the mix.
“I think we’ve been pretty vocal about how great a partner they’ve been and how instrumental they’ve been to our growth and success. I still believe they’re one of the best marketing machines in the business, let alone the brand and all the excitement around ESPN flagship and whatever it’s going to be called come next week. [ESPN chairman] Jimmy Pitaro and [Disney CEO] Bob Iger, both fans of UFC and personally showed up to events. Would be thrilled to continue with them and they’re definitely part of the equation but as I said for the time being, just various conversations, various parties and no real updates beyond that.”
Shapiro referenced “ESPN flagship,” which is the new streaming service the Disney-owned network is planning to launch soon that includes all of the standard channels currently available on cable and satellite such as ESPN, ESPN2 and ESPNews along with future plans for ESPN+, its existing streaming service.
While the UFC didn’t strike a new deal with ESPN during that exclusive negotiating window, it was never expected the two sides would come to an agreement during that time. It was only after that exclusive period expired that UFC would be allowed to then test the market for potential offers from other networks or streaming services.
No decisions have been made, but Shapiro doubled down on the company’s flexibility when it comes to the UFC’s future broadcast rights deal in regards to pay-per-views, Fight Night events and other programming available from the promotion.
“We remain highly flexible,” Shapiro said. “That’s the beauty of owning your own league. That’s the beauty of having an executive management team that’s as nimble and as tight as we are. As we like to say, we’re the owners and we’re the commissioners at the same time. We’ll make decisions that are best for the long term future of the sport and the brand. We have to continue to balance monetizing this rights deal while at the same time doing what’s best for our reach, our engagement and the growth of the brand.
“The market, I believe, remains strong. Our content is year round. It’s young men. Unbelievable numbers under 18. Believe it or not, our high school numbers are off the charts. We’re tied with the NBA for the biggest draw when it comes to under 18 from the major sports and we’re still antidote to churn and I believe a serum, a proven formula that works for subscriber acquisition. So we’re cautiously optimistic.”
The UFC actually struck its original deal with ESPN in May 2018, but it doesn’t sound like the promotion is racing towards the finish line just yet for the new broadcast rights deal that begins in 2026.
Talks are ongoing and that won’t slow down until an agreement is reached.
“We’re in no rush,” Shapiro said. “This is a volatile economy right now. A lot of uncertainty out there. We also understand there aren’t a lot of major sports rights hitting the market any time soon so we will be opportunistic but at the same time responsible when it comes to the right home for the growth of our brand.”