Netflix reached a multibillion-dollar, 10-year deal for exclusive rights to WWE’s flagship weekly wrestling show, “Raw,” as the streaming giant broadens its offerings with more live content.

The deal will bring “Raw” to Netflix starting next January, Netflix and TKO Group, WWE’s parent company, said in a statement today. Netflix will also own the rights to stream WWE’s other shows and specials outside the United States.

The agreement will cost Netflix more than $5 billion and last for 10 years, with an option to extend an additional 10 years or opt out after five, TKO Group said in a regulatory filing.

Hours later, Netflix said in an earnings announcement that it had added 13.1 million subscriptions for the largest fourth-quarter gain in company history. The service now has 260 million subscribers worldwide.

The company says its strategy on live events has not changed. Today, during a fourth-quarter earnings call, Netflix’s co-CEO Ted Sarandos echoed a sentiment he had previously expressed about the service’s attraction to “the drama of sport.”

“WWE is sports entertainment, which is right in the sweet spot of our sports business, the drama of sport,” said Sarandos, adding that the WWE agreement should be considered as part of Netflix’s annual $17 billion content budget and not a change of strategy.

The WWE deal does greatly expand Netflix’s stable of live programming, which also includes the reality show “Love Is Blind.” Airing live programs can be a particular challenge for Netflix, which experienced technical difficulties during a “Love Is Blind” reunion episode in April. However, a live Chris Rock comedy special went smoothly a month earlier.

The company has recently focused on sports documentaries over live sports. But adding “Raw” to its lineup makes Netflix more competitive with rivals such as Peacock, which has made live sporting events a backbone of its service and recently streamed an NFL playoff game. Amazon Prime has been streaming Thursday night NFL games since 2022; Apple has signed a $250-million-per-year deal with MLS and an additional pact with MLB.

Just months ago, Sarandos told analysts during a third-quarter earnings call that documentaries and behind-the-scenes shows such as “Quarterback” were “the part of the sports business that we bring the most value to.”

He added of live sports: “We’re not anti-sports. We’re just pro-profit. We have yet to figure out how to do it.”

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This article originally appeared in The New York Times.

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