To be fair, UFC usually cuts people if they have 3 losses in a row. It's not his style or anything that would have kept him in the company. An unpopular fighter on a big losing streak always means they get cut.
On the other hand, cutting him after he is a replacement is a joke. They should have made an agreement beforehand that he gets another full fight if he was to lose.
EDIT: Put it this way, 24million people watched the world cup final in America. How does MMA fair up to that?