Netflix is unlikely to pursue a comprehensive broadcast rights deal with the UFC, as the streaming service remains focused on one-off live events rather than investing in entire sports packages.
The UFC is free to negotiate with any potential partner for its next broadcast rights deal. But is Netflix already out of the running?
As the seven-year ESPN deal ends in 2025, the UFC seeks around $1 billion annually for new broadcast rights. With WWE securing a $10 billion contract with Netflix for Monday Night Raw, speculation arose about UFC doing the same, given both are under TKO Group Holdings.
However, Netflix co-CEO Ted Sarandos seems hesitant. When asked about interest in UFC or sports like Major League Baseball, he emphasized a focus on one-off events rather than full broadcast packages.
“I’m not going to comment on those specific opportunities,” Sarandos said during an investors’ call. “Our live event strategy remains unchanged. We’re focused on big, breakthrough events that our audiences love.”
He added that any deal must make economic sense. Live content is a small part of Netflix’s spend—200 billion view hours—but it offers outsized benefits in conversation and acquisition.
Past successes include the Jake Paul vs. Mike Tyson fight, which garnered over 235 million watch hours, surpassing NFL Christmas games. Netflix also scored with The Roast of Tom Brady, featuring comedians and UFC CEO Dana White.
Next up is a boxing rematch between Katie Taylor and Amanda Serrano at Madison Square Garden in July. Sarandos hinted at continued interest in such events over broader sports rights investments.
“We have the Taylor-Serrano fight in July,” Sarandos noted. “It was the most-watched women’s sporting event in U.S. history.” He also mentioned excitement for NFL Christmas Day games, hinting at future global live event expansions.
One hurdle for Netflix investing in live sports has been season-long formats, leading to potential subscriber drop-offs post-season. The UFC, with over 40 events annually, doesn’t face this issue due to consistent monthly interest.
Despite downplaying deep involvement in sports rights packages, Netflix’s surprise investment in WWE shows unpredictability. Could a similar unexpected move happen with the UFC? Only time will tell.