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Alpine’s $1 Billion Power Unit Exit: FIA’s Tombazis Admits Defeat in Engine Program Retention

Publisher by Publisher
November 17, 2024
in Motorsports
Reading Time: 3 mins read
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Alpine’s $1 Billion Power Unit Exit: FIA’s Tombazis Admits Defeat in Engine Program Retention

Formula One F1 - Sao Paulo Grand Prix - Autodromo Jose Carlos Pace, Sao Paulo, Brazil - November 1, 2024 Alpine's Pierre Gasly during practice REUTERS/Amanda Perobelli

Renault’s Alpine Formula 1 team is set to abandon its power unit program by 2026, a move that will save the team nearly $1 billion over five years, according to FIA Single Seater Technical Chief Nikolas Tombazis. While the financial prudence of this decision is evident, Tombazis acknowledged that the FIA failed to persuade the French team to remain as a power unit manufacturer.


The Billion-Dollar Question

Producing Formula 1 engines is an astronomical expense. Tombazis detailed the annual costs:

“It is $120, $130, $140 million per year, and taken over five years, it is approaching a billion.”

Despite Alpine registering as a power unit manufacturer under the 2026 regulations, the FIA recognized it could not compel the team to continue such a major financial commitment. This highlights the delicate balance between encouraging manufacturer participation and respecting the business realities of Formula 1 teams.


The End of an Era for Alpine

Alpine’s decision to become a Mercedes customer team in 2026 aligns with its strategy to refocus resources. The move is expected to save Alpine around $100 million annually, which the team can channel into car development rather than engine production. This could help bridge the performance gap Alpine has faced in recent seasons, particularly regarding the three-tenths-per-lap deficit attributed to its Renault power unit.


The Bigger Picture: F1’s Engine Landscape

The 2026 season will see new entrants in the power unit arena, including Audi (through Sauber) and Honda, returning as Aston Martin’s supplier. However, Alpine’s exit as an engine manufacturer reduces the grid’s diversity in power unit suppliers.

Tombazis acknowledged the inherent risks in this shift:

“It was always possible for anybody to pull out, and we want people to stay because they want to, not because we are forceful.”

This approach underscores the FIA’s reliance on voluntary participation, rather than mandates, to sustain competition and innovation within the sport.


Crashgate’s Shadow and Alpine’s Future

Flavio Briatore’s advisory role at Alpine, alongside CEO Luca de Meo, is seen as instrumental in the team’s decision to abandon its engine program. Briatore’s influence has pushed Alpine to focus on optimizing its chassis and aerodynamics rather than bearing the weight of a standalone engine project.

With Mercedes engines powering its cars, Alpine could become a stronger midfield or even front-running contender, eliminating the power deficit that has plagued the team for years.


What It Means for Formula 1

While Alpine’s departure as an engine supplier marks a significant shift, it also raises concerns about the financial sustainability of maintaining independent engine programs. As F1 evolves under new regulations, the sport must ensure that participation remains viable for manufacturers while fostering competitive diversity.

For Alpine, the cost savings and competitive advantages of aligning with Mercedes signal a pragmatic approach to remaining relevant and competitive in a rapidly changing Formula 1 landscape.

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