Zuffa has reached an agreement with In Demand to distribute its UFC PPVs which include the ability to sell UFC Fight Pass to subscribers. Terms of the agreement were not disclosed although the report by MultiChannel.com indicates it’s a multi-year deal.
New wrinkles to the deal include an “electronic sell-through” and affiliates can offer the subscription UFC Fight Pass to authenticated video subscribers.” The deal also allows for affiliates to sell PPVs to “commercial establishment in their territories.” It will also allow for longer viewership windows via video on demand.
According to MultiChannel.com, In Demand reaches more than 50 million households across the U.S.
Payout Perspective:
One might see this deal as one that focuses on the continued expansion and monetization of UFC Fight Pass. Last week the UFC announced the enhancement of its content by adding several libraries of other promotions to its digital network. This deal will give subscribers the opportunity to subscribe to Fight Pass. The renewal sounds like that subscribers will have a better opportunity to view UFC content with larger viewership windows. Another facet of the deal that grants affiliates the right to sell to commercial establishments will be another way to allow the licensing of its PPVs to sports bars and restaurants. This can be seen as preventative measure to deter from piracy.
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