It’s been an historic week for the UFC. First UFC 200 gets completed – not the mega event they’d originally hoped for, but a success by all accounts – and then the official announcement that the UFC had indeed, been sold for a reported $4.2 billion. That’s a staggering number.
The group of investors, led by Hollywood Entertainment conglomerate WME-IMG, paid that whopping amount for the UFC franchise obviously believing projections which show the franchise could explode globally and become one of, it not THE biggest sport in the world.
That’s a tall order. The biggest global sport right now is clearly soccer, and it seems to be on the rise. Soccer is simple to play and does not require a ton of expensive equipment, making it accessible to almost everyone. And you don’t get your face caved in. Hard to see how ultimate fighting, which appeals to some but not all, will ever measure up. But that’s Dana White’s goal.
How does he get there? White will remain a partner and the chief operator of UFC, so the franchise is in the right hands, but it’s not without problems. White has stuff that needs fixing before UFC ever approaches his lofty expectations.
For starters, the fighters themselves are beginning to grumble. It started with Conor McGregor and his refusal to adhere to all of White’s requirements in order to be part of UFC 200. McGregor had surpassed Ronda Rousey as the sport’s biggest attraction and he was left off the sport’s biggest card for what amounted to insubordination. Then, when White and McGregor finally got on the same page, McGregor’s opponent, current champ Nate Diaz, began making noise about wanting more money. He recently said if he beats McGregor again in UFC 202, “they better hope I don’t win this one because the game is going to change.” What kind of threat is that? White was incredulous when he heard the statement.
Diaz speaks to something that could end up being a serious problem for an organization that is now publicly worth $4 billion. The fighters are underpaid in the estimation of many. Maybe not the biggest stars, but the fact is that a large number – a majority of them in fact – have to work other jobs to make a living. They put it all on the line for the product, but often times don’t get a lot in return. The pay structure of UFC is currently very very top heavy, which does not bode well for future labor considerations. It’s very easy to see the UFC fighters deciding to unionize at some point in the not too distant future. Could give a new meaning to the term, “Strikeforce.”
Second, there are some issues with the stars of the sport, too. Brock Lesnar made a triumphant return in UFC 200, but is now reportedly done with UFC and will go back to WWE full time. That leaves a 300 lb hole. McGregor’s status has been downgraded after his loss to Diaz in UFC 196 and his absence from UFC 200. And on the women’s side, there have been four different Batamweight champions in the past nine months, starting with Holly Holm’s shocking upset of champion Rousey, followed by Miesha Tate beating Holm to take the belt, and then Amanda Nunes beating Tate in UFC 200. Four champs inside a calendar year. The result is the women’s side lacking a dominant (marketable) superstar at the moment.
Could it be Rousey again? She hasn’t fought since losing to Holm last November. She’s reportedly been offered a title shot against Nunes, but many close to the sport don’t think she’s EVER coming back. She’s making movies and has other stuff going on, and even if she does come back to fight again, it may be just one last fight for show that will allow her to go out a winner. But without Rousey, the women’s side of UFC is hurting. Multiple champions, no star power.
The UFC is in a good place financially, that’s obvious. But are things sustainable the way they are right now? It certainly would help if Rousey came back to be the dominant force she was before. It would help if Lesnar remained active in UFC, and it would help if McGregor and his self-promotion machine would win back a belt.
It would also help if they figured out how to make all the top fighters – and not just the superstars – happy with the financial side of their sport.
Even after getting a handsome payday, Dana White has his hands full.