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Audi Formula 1 project nearing Adidas sponsorship agreement

Carl Smith by Carl Smith
August 7, 2024
in Motorsports
Reading Time: 2 mins read
0
Audi Formula 1 project nearing Adidas sponsorship agreement

Audi’s upcoming Formula 1 project is close to finalizing a sponsorship agreement with German sports brand Adidas to become its official clothing partner. SportBusiness states that Audi is currently engaged in “advanced” negotiations with Adidas to ensure that the renowned three-striped logo of the global sportswear brand appears on Audi’s apparel when it enters Formula 1 in 2026. This partnership will grant Adidas a presence with two F1 teams, as the German sports brand is set to replace Puma as Mercedes’ apparel partner in 2025.

For Audi, the collaboration with Adidas follows a previous sponsorship and technical partnership with BP that was established in July. This agreement designates BP as Audi’s official fuel supplier, while Castrol assumes the role of the oil and lubricants partner. Additionally, there have been changes at the management level, with former Ferrari employee Mattia Binotto taking charge of the Audi takeover of Sauber. Binotto replaces Andreas Seidl and Oliver Hoffmann as the leading figures in this transition.

Shortly after Binotto’s appointment before the Belgian Grand Prix, Audi and Binotto announced that Jonathan Wheatley, the current Sporting Director of Red Bull, will become the Audi Team Principal in the middle of Sauber’s final year in 2025. Audi’s entry into Formula 1 coincides with a period of rapid growth in terms of commercial opportunities, and the partnership with Adidas is just one example of many brands joining the sport. Castore already has partnerships with Red Bull and McLaren, while Puma’s collaboration with Mercedes is in its final year. Castore also has deals with Ferrari and Williams.

It is not surprising that Adidas wants to be part of the F1 scene, as the sport’s visibility and interest have significantly increased, especially in the United States. Bjorn Gulden, CEO of Adidas, revealed in an interview with the German newspaper Bild earlier this year that “most of the contracts in F1 regarding technical sponsors expire in 2026. We are in talks with several teams, and the plans are so advanced that I cannot disclose anything at the moment. We will do so as soon as we can.” Adidas’ negotiations have resulted in partnerships with 20% of the Formula 1 grid, aligning with two German marques. On the other hand, Audi will continue its discussions with other brands to expand its commercial portfolio before 2026.

According to SportBusiness’ report, Audi will not have a title sponsor as it aims to raise the profile of the Audi brand on a global scale. However, title partnerships have become commonplace in F1, with examples such as Oracle Red Bull Racing, Scuderia Ferrari HP, and Aston Martin Aramco Formula 1 Team embodying this trend.

Photo from Audi Formula 1 Instagram

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