I obviously have no idea how UFC contracts work, but you'd think some of these fighters would rather just renegotiate and probably get shit money than head off to WSOF. Then again, maybe Bellator and WSOF are more competitive than I assume in terms of how much they are paying fighters.
Anyway, I'm one of those fancy business school guys and basically most decisions can always be trace to the cost/benefit analysis of the situation. Sometimes it's easier to think in extremes to make a point. For example, in crazy world, if Okami was making the UFC $1B and he only cost them $100M, then it's a pretty safe assumption they would want to keep him. He would be considered a "cash cow" or "star." So, I think it's a pretty safe assumption that the benefits of cutting him outweighed all the possible revenue he would have generated, that he was considered a "question mark." Question marks have low relative market share position and compete in a high-growth industry, in this case the MW division. These "firms," in this case Okami, require a high amounts of cash while their cash generation is low.
Another interesting real life example is Tito Ortiz and Rampage. They had such good name recognition and branding that the UFC kept booking fights for them even though they were on an obvious slide, but the UFC pretty much sucked as much revenue out of them as possible before the costs outweighed the financial benefit. Now, Bellator is betting that they bought these assets on the cheap (they were undervalued) and can generate a profit from them. From what I can tell WSOF has based their whole business model on the idea of undervalued assets.
I think the saddest example of milking an "asset" was with Dream and Sakuraba. I think most people love Sakuraba and Dream milked the hell out of that fact till the very end. That's definitely one good thing that came from Dream essentially shutting down.
It's a shit way of looking at the world, but it's really hard not to describe most things from a cost/benefit analysis and it's really effective when especially looking at UFC decisions.
On the flip-side, we can look at all the fighters with questionable win-loss records (Leonard Garcia), but understand that those guys are probably just happy to be in the UFC, get shit money, and so can make a profit for the UFC.
But yeah, guys like Lombard and Overeem are probably stressed beyond belief because they are in the category of having good name recognition and branding from previous organizations, but are definitely sliding into the Question Mark territory.
Meanwhile, the UFC is probably in love with Matt Brown because he's not terribly expensive, but is definitely starting to become a draw.
To reiterate what basically most people have said, no surprise about Okami from a business perspective. At the same time, I don't think it's right, but then again I'm for Obamacare; I don't like to make decisions purely based on just monetary considerations.
Wow, what a waste of time writing and probably reading this to basically say the same thing everybody else is.