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PARA
CNBC
8 days

Paramount buys UFC rights in $7.7 billion, 7-year deal in first major move post-Skydance merger

1. Paramount acquired UFC rights for $7.7 billion over seven years. 2. Deal eliminates traditional pay-per-view model, enhancing Paramount+ subscription value. 3. UFC rights acquisition follows Paramount's merger with Skydance Media. 4. Paramount aims to acquire international rights for UFC in future negotiations. 5. UFC events boost subscription retention with year-round programming.

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FAQ

Why Bullish?

The acquisition strengthens Paramount's content portfolio, positioning it competitively against other platforms. Historical examples include Disney's ESPN leveraging exclusive rights to enhance subscriber growth.

How important is it?

The strategic acquisition directly impacts PARA’s growth potential, enhancing content appeal and subscriber retention, which are key for financial performance.

Why Long Term?

By securing UFC rights, Paramount solidifies its market position, with benefits expected to manifest as subscriptions and revenues grow over time.

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