The Anatomy of the Zuffa-Strikeforce Deal

Filed under: UFC, Strikeforce, FanHouse Exclusive, Sports Business and MediaIn the end, the impetus to the surprising Zuffa-Strikeforce deal was not the UFC’s goal of world domination, or the expensive contract of Fedor Emelianenko. Instead, it was a b…

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In the end, the impetus to the surprising Zuffa-Strikeforce deal was not the UFC’s goal of world domination, or the expensive contract of Fedor Emelianenko. Instead, it was a ball and a hoop.

In May 2008, San Jose, California-based Silicon Valley Sports & Entertainment (SVSE) acquired a 50 percent stake in Strikeforce and became its major financial engine. The relationship helped spur the expansion of the upstart MMA promotion, but it ultimately came with an unforeseen cost. SVSE had long desired to bring an NBA franchise to San Jose, and as that goal started to become more attainable, SVSE found itself faced with a decision: Look over the continued growth of Strikeforce, or focus on its core arena sports businesses with an eye on professional basketball.

With that, Strikeforce was the odd man out.