The European Union has launched an in-depth investigation into Liberty Media’s proposed acquisition of an 86% stake in Dorna Sports, the commercial rights holder of MotoGP and other major motorcycle racing championships. The deal, announced in April, has raised concerns about potential anti-competitive effects in motorsports broadcasting rights.
Formula 1 Meets MotoGP: The Collision of Two Racing Giants
Liberty Media, which already owns the exclusive commercial rights to Formula 1, seeks to expand its motorsports portfolio with this high-profile acquisition. The EU’s competition commission, however, fears the merger could reduce competition in the licensing of broadcasting rights, particularly for motorsports content.
“The Commission’s preliminary investigation indicates that the transaction may reduce competition between Liberty Media and Dorna Sports in the licensing of broadcasting rights for motorsports content,” the EU stated.
Dorna Sports currently controls MotoGP and other motorcycle racing properties, making it a dominant player in global motorcycle racing. The addition of Dorna Sports to Liberty Media’s portfolio would consolidate two of the biggest motorsport properties under a single corporate umbrella, raising questions about market fairness and consumer choice.
Extended Timeline to Address EU Concerns
Liberty Media has responded by agreeing to an extended timeline for the acquisition, pushing the expected completion date to June 30, 2025. The extension will allow time for the EU investigation and Liberty’s responses to any competition concerns.
In a statement, Liberty Media said: “We are committed to working with the European Commission to address any concerns and believe the transaction should ultimately be approved.”
The Stakes: A $4 Billion Gamble
This deal, valued at approximately $4.4 billion (€4.2 billion), echoes Liberty Media’s 2017 purchase of Formula One Group, which solidified its position as a dominant force in motorsports entertainment. That acquisition reshaped F1’s global reach and fan engagement, making this latest move into motorcycle racing a potential game-changer for MotoGP.
However, the EU’s scrutiny highlights the challenges of creating a unified motorsports empire, particularly when it comes to ensuring competition in media rights licensing.
Implications for Fans and Broadcasters
Should the deal go through, Liberty Media’s expanded motorsports portfolio could create new synergies between Formula 1 and MotoGP, potentially increasing global exposure and fan engagement for both series. However, critics warn that reduced competition could lead to higher broadcasting costs, ultimately impacting consumers and broadcasters alike.
What’s Next?
The EU’s investigation will focus on whether Liberty’s acquisition of Dorna Sports would limit competition or innovation in motorsports broadcasting. Both Liberty Media and Dorna Sports remain optimistic about the outcome, but with the extended timeline in place, the motorsports world will have to wait until mid-2025 for the final verdict.
