The State of Texas and the City of Arlington will pay at least $1.8 million to bring the upcoming Mike Tyson versus Jake Paul fight to town.
The money will come from the Events Trust Funds program, which aims to spur economic gains by attracting major events. The trust funds provide money up front to attract events before the city is reimbursed through taxes on ticket sales, alcohol sales, hotel fees, and other sources of revenue, per The Texas Tribune.
The City of Arlington will contribute an estimated $247,000, and Texas will contribute about $1.5 million, according to reporting by WFAA.
Major sporting events can be huge economic drivers. In recent years, Texas has attracted several major events, including Super Bowl XLV in 2011. The Major Events Trust Fund was used to generate $26 million in seed money, the largest such grant at the time. About $200 to $250 million in economic activity was generated by hosting the game, per the Midland Reporter-Telegram.
The Netflix-sponsored fight between YouTube star and professional boxer Jake Paul and former heavyweight champion of the world Mike Tyson is scheduled for July 20. About 75,000 people are expected to attend the fight. It was initially intended as an exhibition match but was later sanctioned by the Texas Department of Licensing and Regulations as a heavyweight matchup to be fought over eight 2-minute rounds with 14 oz. gloves.
Tickets for the fight are available for purchase. The match will also be streamed on Netflix for free to subscribers. Tyson most recently fought in 2020 in an exhibition match against Roy Jones Jr.
Some of the most profitable events in recent years have involved fighting events. Dallas hosted WrestleMania 38, the highest-attended and highest-grossing WWE event in history. More than 156,000 fans attended, generating an estimated $200 million in direct economic impact, as reported by WFAA.