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ESPN, UFC seal multi-year streaming deal

NEW YORK: UFC, the world’s premier mixed martial arts organization, and The Walt Disney Company’s new Direct-to-Consumer and International segment along with ESPN, have reached an immersive, multi-year media rights agreement for exclusive live UFC content on ESPN+, as well as across a variety of ESPN’s television, social and digital platforms, in English and Spanish, taking effect in January 2019.

Terms were not disclosed, but deadline.com pegged the deal at $150 million a year for five years — which is in the same range as the UFC’s annual take from its current broadcast deal at Fox. Fox’s seven-year broadcast arrangement, which rose to $155 million in its current final year, expires in December.

This first-ever rights and distribution agreement between the two companies provides for 15 live UFC events to stream exclusively on ESPN+ — the recently-launched multi-sport, direct-to-consumer subscription streaming service.  Each event will be branded “UFC on ESPN+ Fight Night” and will deliver a full card of 12 UFC bouts.

Streaming rights are increasingly being treated by sports leagues and networks as key complements to broadcast deals, with significant value seen downstream as digital customers are acquired.

Kevin Mayer, chairman, Direct to Consumer and International, The Walt Disney Company said, “One of our goals for ESPN+ is to bring sports fans of all genres content they love and are passionate about, and this agreement with UFC is illustrative of exactly that.  We look forward to providing UFC’s enthusiastic, growing fan base with a wide array of live events and building a lasting relationship with the industry leader in mixed martial arts.”

Jimmy Pitaro, ESPN president and co-chairman, Disney Media Networks said: “UFC is a premier global sports property with legions of incredibly avid fans.  We are excited to be able to bring their world-class events and content to ESPN+ and the ESPN networks.  This agreement shows the commitment we have to delivering fans the very best across our entire platform.”

Dana White, president, UFC said: “I couldn’t be more excited to partner with The Walt Disney Company and ESPN on an agreement that will continue to grow our sport. UFC has always done deals with the right partners at the right time and this one is no exception. We will now have the ability to deliver fights to our young fan base wherever they are and whenever they want it. This deal is a home run for ESPN and UFC.”

UFC has the youngest fan base among major US sports properties, with a median age of 39, and also comprises a much higher concentration of millennials than its peers, with 41% falling into the adult 18-34 demographic.

ESPN will also bring fans a variety of UFC content across ESPN’s linear and digital platforms, including an exclusive, 30-minute special on ESPN’s linear networks previewing upcoming bouts and breaking down match ups leading up to each UFC PPV; hundreds of hours of UFC library programming on linear networks; and re-airs of current UFC PPV events.

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