TKO Group Holdings Enters Boxing Arena
TKO Group Holdings, the organization behind the UFC, has officially ventured into boxing by promoting the recent fight between Canelo Alvarez and Terence Crawford in Las Vegas. This event marks just the beginning of their larger ambitions in the boxing world.
Anticipated Launch of Zuffa Boxing
With plans to launch Zuffa Boxing in 2026, the company aims to implement UFC-like promotional strategies to develop a roster, establish rankings, and create championship belts for contracted fighters. A significant aspect of these plans relies on the Muhammad Ali American Boxing Revival Act, a proposed law in Congress intended to modify current regulations that hinder promoters from also serving as managers, thereby protecting athletes from exploitation in contracts and salaries.
Matt Brown’s Concerns About Monopolization
Matt Brown, a former UFC competitor, expressed concerns that if this legislation is enacted, it could enable Zuffa Boxing to dominate the boxing industry, particularly regarding fighter treatment. He stated on “The Fighter vs. The Writer” that the UFC has effectively monopolized MMA, causing fighters to feel compelled to beg for opportunities and bonuses.
The Challenge of UFC Business Practices
Critics argue that the UFC’s business model allows it to secure long-term contracts with athletes, maintaining a tight grip on the sport due to its extensive reach. These tactics, such as exclusive contracts and streamlined rankings, wouldn’t typically be acceptable in boxing but could change if the new proposal passes into law.
Disparities in Revenue Distribution
Financial records have revealed that UFC fighters typically receive only 16-20% of total revenue, contrasting sharply with other major leagues like the NFL and NBA, where athletes earn around 50% due to collective bargaining. Brown highlighted that while UFC fighters might earn substantial sums, the disparity between what fighters and the organization makes underscores the issues with current revenue distribution.
The Implications of UFC-style Promotion
Brown noted that many boxing fans hope Zuffa Boxing will rectify issues in the industry. However, he believes the realities of pay structure will change. Currently, promoters advocate for boxers, evidenced by the high earnings of fighters like Terence Crawford and Canelo Alvarez, which could diminish under UFC-style promotion that shifts the power dynamic toward the promoter.
A Cautionary Perspective on the Future of Boxing
As Zuffa Boxing gears up for its launch in 2026, Brown remains uncertain about the future landscape of boxing, especially with pending legislation. While he acknowledges the success of the UFC, he emphasizes that this business model may not benefit athletes in the long run, expressing sympathy for fighters who struggle for fair compensation.
