WWE Monday Night Raw $5 Billion Deal With Netflix Sends TKO Stock Price Soaring, Up 22%

Netflix has struck a $5 billion deal with WWE, acquiring exclusive broadcasting rights to “Monday Night Raw.” This 10-year agreement, commencing in January 2025, marks a pivotal shift for the wrestling program, transitioning it from traditional television to a streaming platform. The deal, which is groundbreaking in terms of both its scale and scope, sent TKO Group Holdings shares into orbit, up 22 percent from yesterday’s close.

Netflix Expands Live Sports Portfolio With WWE Raw Deal

The agreement positions Netflix as the exclusive home for “Monday Night Raw” in the United States, Canada, the United Kingdom, and Latin America. Further, it extends Netflix’s reach as the international broadcaster for all WWE shows and specials, including “SmackDown,” “NXT,” and major live events like WrestleMania and Royal Rumble.

This expansion indicates a strategic maneuver by Netflix to enhance its live content portfolio, following earlier experiments with live comedy specials and sports documentaries.

TKO Group Stock on the Rise

This alliance has triggered a significant market reaction, particularly for TKO Group Holdings, WWE’s parent company, which witnessed a 22 percent rise in its stock value.

**TKO GROUP AGREEMENT WITH NETFLIX HAS AN INITIAL 10-YEAR TERM FOR AN AGGREGATE RIGHTS FEE IN EXCESS OF $5 BILLION

That’s $500 million per year for 10 years that $TKO didn’t have before. pic.twitter.com/ftXWN8PaD1

— JaguarAnalytics (@JaguarAnalytics) January 23, 2024

Interestingly, despite the considerable investment, Netflix’s shares displayed a steadier response.

TKO Group’s president, Mark Shapiro, lauded the deal as “transformative,” emphasizing its potential to revolutionize the media landscape by combining WWE’s enthralling content with Netflix’s extensive global outreach. Shapiro’s remarks underscore the expected expansion of WWE’s reach and the introduction of regular live programming to Netflix’s diverse content slate.

This deal represents a significant shift for “Monday Night Raw,” transitioning it from NBCUniversal’s USA Network, where it has been a staple for decades. The move is indicative of the evolving landscape of sports entertainment, where streaming platforms are increasingly becoming key players.

For Netflix, this deal is a strategic expansion, reflecting its broader ambition to include live sports and events in its offerings. This move is anticipated to not only draw in new subscribers but also retain existing ones, capitalizing on WWE’s global popularity.