Sports fans, particularly those following the UFC, may see changes in how they access content and potentially in their subscription costs following a major announcement from ESPN.
On Tuesday, ESPN revealed plans to roll out a new direct-to-consumer streaming service in the fall. This service will include access to all the linear ESPN cable networks (ESPN, ESPN2, etc.), along with events broadcast on ESPN on ABC, for a monthly price of $29.99.
In addition to the base package, ESPN intends to offer bundled options that combine the new streaming service with Disney+ and Hulu. These bundles will be available at a standard rate of $35.99 per month, with an introductory offer of $29.99 per month for the first year upon launch. An option for ad-free streaming within the Disney+ and Hulu portions of the bundle will also be available for $44.99 per month.
The existing ESPN+ service, now referred to by some as ESPN select, will be included within the cost of this new comprehensive ESPN streaming package. However, ESPN+ will continue to be offered as a standalone subscription at its current price of $11.99 per month. It`s important to note that the standalone ESPN+ still requires a separate cable or satellite subscription to access content airing exclusively on the traditional ESPN networks.
The primary target audience for the new ESPN streaming service is consumers who do not subscribe to traditional cable or satellite television packages, which are currently required to view content on linear ESPN channels. An annual plan will also be offered for $299.99.
“It`s going to redefine our business,” commented ESPN chairman Jimmy Pitaro regarding the upcoming streaming launch.
This strategic move comes at a critical time for the UFC, as the promotion is in the process of negotiating a new broadcast rights deal. Their current agreement with ESPN is set to expire at the end of 2025.
Currently, ESPN holds exclusive rights to all UFC broadcasts, covering both the standard UFC Fight Night events and all pay-per-view events, which are exclusively distributed via ESPN+. While the UFC had an exclusive negotiation window with ESPN, that period has concluded, allowing the promotion to entertain offers from other potential media partners.
Reports suggest the UFC is seeking a substantial increase in value for its broadcast rights, aiming for around $1 billion per year, a significant jump from the roughly $300 million per year average ESPN has paid since their seven-year deal began in 2018.
Given that the UFC represents one of the most attractive major sports packages available for potential partners in the near future, the promotion is currently in a strong negotiating position.
The precise impact of this new ESPN streaming service on the UFC`s decision-making process regarding a potential renewal with the Disney-owned network remains to be seen. However, the increased accessibility offered to cord-cutting fans through a single, potentially more convenient, streaming package could play a role in future negotiations. For fans, this new service provides a pathway to accessing all ESPN content, including linear broadcasts of UFC events, without the need for an additional cable or satellite subscription.
While a specific launch date hasn`t been finalized, ESPN anticipates the service will debut sometime in the fall, ahead of the peak NFL season.
