Netflix Is The Future Of Sports, And It Starts Tonight With Jake Paul Vs. Mike Tyson
Unlike previous boxing bouts of such mainstem interest, Jake Paul vs. Mike Tyson is not on pay-per-view. The fight is free on Friday night for Netflix subscribers.
The fight is the streaming leader's first real foray into live sports content. But consider it more of a preview than a tryout.
This December, on Christmas Day, Netflix will air its first two NFL games. The two sides have already agreed to a three-season partnership to make Netflix the exclusive home for the NFL on Christmas.
However, industry experts expect that if the relationship goes as smoothly as anticipated, Netflix could quickly look to extend its partnership with the league.
Last week, NFL commissioner Roger Goodell said he hopes to schedule eight international games for the 2025 season. International games usually air on the NFL Network, a lowly cable network. The NFL would love to give —err, charge— Netflix for that package moving forward.
Streamers like Netflix have not only the financial resources to edge out television networks, but they now have the viewers too. Quietly, Thursday night games on Amazon Prime are doing as well as or better than ESPN-only Monday night games, marking a significant shift in the industry.
In other words, Netflix's relationship with the NFL is just beginning.
As is its relationship with WWE. In January, Netflix will assume the exclusive rights for WWE's Monday Night Raw.
But, Bobby, wrestling is not a sport. It's fake!
That may be. But WWE airs live content over 50 weeks a year and Netflix agreed to pay $5 billion over 10 years to secure the rights for just one of WWE's three weekly shows.
DALLAS - Mike Tyson attends the weigh-in for LIVE on Netflix: Jake Paul vs. Mike Tyson at the Toyota Music Factory on November 14, 2024. (Photo by Brett Carlsen/Getty Images for Netflix © 2024)
As is the case with the NFL, Netflix's investment in WWE is also in the early stages. WWE's deal to stream its premium live events (its former pay-per-views) on NBC's Peacock expires in March 2026. Netflix is expected to bid on that package and might be the frontrunner.
Prediction: a WrestleMania on Netflix would average more than 10 million viewers using standard television metrics.
Then there's the UFC, which merged with WWE in 2023 to form TKO.
No one will watch Netflix's presentation of Paul vs. Tyson closer than UFC president Dana White. The UFC’s current deal with ESPN expires in 2025, and the MMA giant will have options — a lot of options.
(Photo by Beata Zawrzel/NurPhoto via Getty Images)
There's an argument that the UFC is now a top-four professional sport in the United States, ahead of the NHL and trailing only the NFL, NBA and MLB.
"The [UFC] ratings on ESPN and ESPN2, apples to apples against the NHL, even including the playoffs, we dwarf them," Endeavor president Mark Shapiro said in March.
"You put a Fight Night — not a pay-per-view, not a preliminary bout in front of the pay-per-view — a regular weekly Fight Night on ESPN does double-digit ratings… and the demos are anywhere between 20-40 percent up."
However, the UFC is not paid like a top-four sport. In terms of annual revenue, the NHL holds a substantial $5.93 billion to $1.3 billion advantage over the UFC.
That is about to change.
The UFC also has unique growth potential as the only professional sports league that leans conservative. Based on the election results, leaning conservative is good business.
While ESPN and Amazon will be competitive, Netflix's relationship with TKO may give the streamer an edge in negotiations with the UFC.
NFL plus WWE plus boxing plus UFC? Not bad.
What other sports could Netflix show interest in? Honestly, all of them. MLB, soccer, Top Rank boxing, WNBA, college sports, etc.
Netflix has a market cap of $352.21 billion, with which only Amazon ($2.1 trillion) and Apple ($3.4 trillion) can compete. The television networks lag well behind: NBC ($164 billion), Paramount ($7.6 billion), Fox ($20 billion), and Disney ($201 billion).
And if the offers are close, the league partners will choose Netflix over Amazon Prime Video and Apple TV+, which have far fewer streaming viewers. Other than the NFL, Amazon Prime Video remains best known as a throw-in option for online shoppers.
Put simply: for a glimpse into the future of sports viewing, see Tyson and Paul square off in Dallas on Friday night.