As the UFC continues to plan its blockbuster bout at the UFC at the White House in June, TKO’s parent company is warning investors that this is a one-time event that will likely cost it tens of millions of dollars… and that’s a good thing.
On TKO’s earnings call on Wednesday, President and Chief Operating Officer Mark Shapiro told Wall Street analysts that the White House event, currently scheduled for June 14 on the South Lawn, would cost “in excess of $60 million.”
“I think by the time we’re done, it’s all said and done with this event, and with what we’re paying the fighters and the fan festival that we’re going to have, this could move north,” Shapiro added. “It’s definitely not moving south.”
He said the company is working to engage corporate partners and others who he believes can offset about half the cost of the event, meaning the company plans to lose $30 million, or more if costs continue to rise.
However, the company is also framing it as a one-off spectacle that could be a big draw for the mixed martial arts promotion, which is just beginning its multi-year deal with Paramount global.
“I want to be clear about one thing: We will not profit from the event at the White House independently. We will not make money on America’s 250th anniversary,” Shapiro said. “This is a long-term investment. It’s about earned media.
“It’s about sampling, new fans, casual viewers, and the on-stage spectacle that will ultimately expand our audience, viewership, and success on Paramount+,” he added. “We view this once-in-a-lifetime milestone as a strategic investment to boost Paramount+ subscriber acquisition, massive audience sampling for the UFC overall, and Super Bowl-like earned media worldwide.”
Of course, the UFC hosted a one-off event at the Sphere in Las Vegas in 2024 (the company spent $20 million on the event, with Dana White telling his team “I’m doing this. And I didn’t care about the budget”), and Shapiro noted that while the focus is on fighting in the White House, TKO will open its eyes to other one-off bouts that could draw attention to the sport.
“We will be the first, and perhaps the only ones ever, to reach the South Lawn of the White House,” he said. “I can’t tell you that we have any upcoming events in the Kremlin, but we will definitely be looking for more one-off events.”
