WWE Admits Serious Issue With Raw In Late 2024
WWE Raw is heading to Netflix but serious questions remain about the future of the red brand at the end of 2024.
WWE has announced a $5 billion deal with Netflix for the streaming giant to become the new home for Raw. Outside of the United States, Netflix will become the home for the WWE Network in many countries meaning that it will be the place to see all of the company’s content.
That deal comes into effect on the 1st of January 2025 but Raw’s current deal with the USA Network will come to an end in October 2024. That means there is a real chance Raw won’t be on the air for three months.
No Sign Of Where WWE Raw Will Air Late In 2024
In the TKO Holding’s Annual Report, it is explained that there could be serious repercussions for the company should WWE fail to find a stop-gap solution for Raw in late 2024:
We also intend to renew our license or find an alternate provider to carry Raw in the U.S. for the 90-day period from October 1, 2024 through December 31, 2024 before it moves to Netflix as described below. These domestic licenses together account for a very significant portion of our media segment revenues and profitability. No assurances can be provided as to the outcome of these negotiations and, if we are unable to renew existing agreements or find alternative streaming or distribution partners, our results of operations could be adversely impacted.
As announced in January 2024, beginning January 2025, Netflix will be the exclusive global home to Raw. Additionally, beginning in January 2025 and as rights become available globally, distribution for all WWE content outside the U.S., including premium live events, will be on Netflix.
Our agreement has an initial 10-year term, with an option for Netflix to extend for an additional 10 years and to opt out after the initial five years. Our failure to maintain the Netflix agreement, including through Netflix exercising its opt-out rights, could adversely affect our ability to distribute WWE content, which could adversely affect our operating results.
Speaking on the TKO Q4 2023 Earnings Call, TKO CFO Andrew Schleimer noted that the belief is that WWE will find a way to air Raw in the final quarter of 2024 and the company remains positive about the issue:
We believe Raw will be aired in the fourth quarter. We have no further information. We feel pretty positive about it.
As well as the Raw deal, NXT will also be leaving the USA Network in 2024 while SmackDown will be heading the other way as its five years with FOX comes to an end.