BEN SULAYEM Mohammed (UAE), President of the FIA, pictured during the 2023 Monaco Formula 1 Grand Prix, the 6th stage of the 2023 Formula 1 World Championship, from May 26 to 28, 2023 at the Monaco Circuit, in Monaco – Photo by Florent Gooden / DPPI
The FIA president, Mohammed Ben Sulayem, who previously expressed his desire for an increase in the number of teams and a decrease in races, reiterated his support for expanding the number of teams in Formula 1. However, he emphasized that the quality of the teams is more important than the quantity. In an interview with Reuters at the Monaco Grand Prix, the Emirati president stated that Formula One Management (FOM) and Liberty Media, holders of the commercial rights, would welcome additional teams, as long as they are original equipment manufacturers (OEMs) in the automotive industry. Ben Sulayem advised Andretti Cadillac, a team from the United States, to consider buying an existing team instead of entering as the 11th team. He believes that some teams need to be refreshed and that having 10 strong teams is preferable to having 11 teams of varying quality. The FIA president stressed that the focus should be on the quality of the teams, not the quantity.
Ben Sulayem expressed his excitement about the potential entry of Andretti Global, led by Michael Andretti, into Formula 1. He highlighted the importance of having the right teams in the sport and the potential impact of having General Motors (GM) with a power unit (PU) joining Formula 1. As Formula 1 has a significant fan base in the United States, Ben Sulayem believes that having a proper American team, along with American drivers, would be highly beneficial. Although teams like Haas, Alpine, and the second Red Bull team, RB, have been mentioned as possible acquisition targets, none are openly available for sale.
The FIA has an entry fee of $200 million for new teams, which is distributed among the 10 existing teams. However, this entry fee may increase to $600 million from 2026. This higher limit may make acquiring an existing team more attractive, despite already high valuations of over $1 billion. Ben Sulayem believes that the $600 million limit is appropriate for the current market and emphasizes the need for balance in the financial aspects of Formula 1.
The FIA and Formula 1 recently announced a joint strategic plan, which was seen as a step towards resolving their tense relationship. Ben Sulayem expressed satisfaction with the progress made in discussions with Liberty Media CEO Greg Maffei, and stated that negotiations on a new commercial “Concorde Agreement” are progressing well. He emphasized the importance of clarity and cooperation between the FIA and FOM, as they are partners working towards business sustainability. Ben Sulayem concluded by stating that it is essential to focus on the bigger picture and find solutions to address any issues that may arise.
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