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Cupra Secures Formula E Future with Kiro Race Co Partnership, Shaping the Next Era of Electric Racing

Harry Stone by Harry Stone
January 9, 2025
in Motorsports
Reading Time: 3 mins read
0
Cupra Secures Formula E Future with Kiro Race Co Partnership, Shaping the Next Era of Electric Racing

Cupra, the dynamic Volkswagen subsidiary and a rising force in motorsport, has committed to Formula E for the next two seasons as the official partner of the rebranded Kiro Race Co team. This announcement comes amidst a wave of strategic changes in the Formula E ecosystem, with Cupra poised to play a vital role in the competition’s evolution.

Cupra’s Evolving Role in Formula E

The partnership marks a shift for Cupra, which previously collaborated with Abt for two seasons in both Formula E and Extreme E. Now aligned with Kiro, formerly known as ERT, Cupra will leverage Porsche powertrains from its Volkswagen Group stablemate, reinforcing its connection to cutting-edge electric vehicle technology.

The new alignment follows a tumultuous year of negotiations between Cupra, Abt, and Porsche that ultimately fell apart. While Cupra remains a sponsor rather than a technical contributor, its involvement signals a growing interest in Formula E as a platform to market its burgeoning lineup of electric vehicles.

A High-Stakes Alliance

The newly rebranded Kiro Race Co team is backed by American entities Forest Road and Ares Management, both introduced to Formula E through Liberty Global, the series’ majority stakeholder. These partnerships underline Formula E’s expanding appeal as a commercial and technological proving ground.

Forest Road’s Managing Director Jeremy Tarica highlighted the synergy between the two organizations: “Our partnership starts in motorsport, but it extends far beyond it. We share a belief in challenging the status quo and leading change in our respective fields.”

Kiro’s acquisition signals the growing influence of U.S. investors in Formula E, further solidifying the series’ global ambitions.

Cupra’s Motorsport and Market Ambitions

Cupra’s commitment to Formula E comes at a time of explosive growth for the brand. The automaker recently announced record profits of €625 million in 2023, alongside a 31% surge in annual turnover to €14.3 billion. Plans to enter the U.S. market by the end of the decade, with a lineup of electric SUVs, dovetail seamlessly with its high-profile motorsport ventures.

Xavi Serra, Cupra’s global head of racing, emphasized the brand’s strategic goals: “Formula E provides a competitive platform to develop the future of electric road cars. By combining our technical know-how with the team, we are fully prepared to compete at the highest level.”

Abt’s New Path with Lola Yamaha

Meanwhile, Abt, once synonymous with Cupra, has embarked on a fresh journey by partnering with Lola-Yamaha for powertrains. This development underscores a growing diversification within Formula E, as traditional alliances give way to new partnerships.

Despite initial hopes of a three-way collaboration between Abt, Porsche, and Cupra, complications—likely tied to overlapping ownership under Volkswagen—ultimately derailed those plans. Instead, Abt has chosen Lola Yamaha for the remaining Gen3 seasons, marking a significant pivot for the storied racing team.

The Big Picture: Formula E’s Expanding Appeal

Formula E continues to grow as a magnet for global brands eager to showcase their electric credentials. Jon Wilde, a key figure in securing the Cupra-Kiro deal, hailed the partnership as a milestone for the sport: “This is the perfect endorsement of our vision and commitment to building strong commercial partnerships. Formula E is a unique platform for international brands to connect with an engaged global audience.”

What’s Next for Cupra and Kiro?

The coming seasons will be pivotal for the new Cupra-Kiro alliance. With Porsche powertrains under the hood and Cupra’s marketing muscle behind the scenes, the team is well-positioned to challenge the grid’s frontrunners. The transition also sets the stage for Cupra to further refine its electric road car technologies, aligning with its broader business strategy.

While the collapse of earlier plans with Abt and Porsche represents a missed opportunity, the new partnerships signal fresh beginnings. For Cupra and Kiro, the next chapter in Formula E promises to be as thrilling as the high-speed races themselves.

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