Nickel (Ni)-yttria-stabilized zirconia (YSZ) cermets are a prevalent material used for solid oxide fuel cells. The cermet degrades upon redox cycling. The degradation is related to microstructural changes, but knowledge of the mechanisms has been limited. Direct current conductivity measurements were performed on cermets and cermets where the Ni component was removed. Measurements were carried out before, during, and after redox cycling the cermet. The cermet conductivity degraded over time due to sintering of the nickel phase. Following oxidizing events, the conductivity of the cermets improved, whereas the conductivity of the YSZ phase decreased. An improved model of the redox degradation mechanism was established based on the measurements.