Wikipedia, citing Oyama’s own writings –

Mas Oyama was actively opposed to the idea of the fragmentation into several karate schools. He believed that making karate a combat sport, as well keeping it as a martial art, could be a possible approach to unify all schools.

UFC1 happened around the same time Mas Oyama died. He would have loved to see MMA, where styles are battle-tested against each other. Styles are becoming more unified than they were because of that.