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REVENUE SHARING For viewing of past fights, our Fight Channel revenue model will include two ways of sharing revenue with fighters: 1) by paying residuals to fighters on a per view basis, and 2) by donating a percentage of fan subscription revenue to a Professional Fighters Association, a tax-exempt foundation organized under IRS Sec. 501(c)(3) that will administer unprecedented retirement fund and insurance benefits. Because this model is beneficial to them, the incentive for free agent fighters to pressure promoters to use the Fighters Online Fight Channel to promote their fights will be strong. Fighters will have incentive to put on entertaining fights to win more online views. In addition to benefiting fighters, there will be excellent public relations value with fans who will know the fighters are getting residuals when they use our site. While free video services like YouTube will always be our competition on the low end, and cable on the high end, revenue sharing will be one way to ensure that we get exclusive broadcast of the best quality fights. According to a Bleacher Report, UFC programs are broadcast to 430 million homes worldwide in 147 countries and territories, in 19 different languages. They produce 30 live events in stadiums and arenas around the world. According to Satellite TV Market News, there are 500 million broadband subscribers worldwide, One in every five of the world's households now has a broadband connection. This is a truly astonishing figure and one that reinforces the great opportunities the Internet presents for the broadcasting industry. This was revealed at the Broadband Forum's quarterly meeting in Hong Kong, where this very rosy picture for global IPTV was disclosed. The Fighters Online Fight Channel proposed would have an estimated fight fan subscriber universe of 15% of a conservative total subscriber universe of 200 million homes. A monthly $4.95 premiere Fight Channel subscription fee applied to 15% of the market who are avid fight fans (30 million) will result in an annual gross of $1,782,000,000. If Fighters Online shares with the fighters 50% of the subscription fees above, conservatively estimated at $1,782,000,000, and 25% with promoters, that leaves $445,500,000 for Fighters Online. That doesn't include any other revenue, e.g., advertising. It sounds crazy, but those are the numbers. Today's broadband world and the MMA market continue to explode. Home Executive Summary The Fighters Online Free Agency Model Advantages for Fighter and Managers Advantages for Promoters Advantages for Fans Potential for Growth Math Phenomena of Our Matchmaking Creating an Unprecedented All-Heavyweight Series New Models and Revenue Streams Revenue Sharing A Letter from the President Password Protected Directories Copyright 2011 - All rights reserved |