Combat sports have seen a surge in popularity, with MMA and professional wrestling now outpacing boxing in terms of revenue. According to Forbes, the UFC is leading the pack with a valuation of $11.3 billion, followed by WWE at $6.8 billion and AEW at $2 billion.
The UFC recently held UFC 300, a pay-per-view event that generated a $16.5 million gate, marking the third-highest-grossing event in company history. The $11.3 billion valuation is a testament to the monumental growth of the UFC since its purchase by the Fertitta brothers for just $2 million in 2001. The sale of the UFC to Endeavor in 2016 for $4 billion resulted in an annual return of 72 percent for each year of ownership by the Fertittas.
In September 2023, the UFC and WWE merged to form TKO Holdings, becoming the highest-grossing companies in terms of media rights revenue ($800 million each). Despite this, boxing promotion Matchroom Boxing leads the top-valued boxing promotions at $850 million, followed by Top Rank Boxing ($630 million), Premier Boxing Championship ($600 million), and Golden Boy Promotions ($450 million).
While the UFC surpasses these boxing promotions in revenue, there is still a significant pay gap for fighters. MMA fighters did not make it to Forbes’ 2023 list of highest-paid athletes, while boxers such as Canelo Alvarez and Anthony Joshua did. A recent settlement requiring the UFC to pay $335 million to former fighters alleging pay restrictions could help address this issue in the future.