The world of Formula 1 (F1) television is on the brink of a seismic shift. Picture this: it’s a typical Sunday, just before 3 pm. Suddenly, a notification springs to life on the screens of nearly 1.4 billion iPhone users across the globe. It’s a call to action from F1, inviting them to tune in to the upcoming race live on Apple TV. A mere tap away lies an opportunity to set reminders for YouTube highlights or to delve deeper via an auto-downloaded F1 TV product. The future of F1 broadcasting might just be unfolding in front of our eyes.
Currently, this scenario remains in the realm of fantasy. However, as F1 evaluates new ways to exploit the global shift in viewing habits, this future may not be as far-fetched as it seems. The pursuit of the highest bidder, the traditional approach to TV broadcast deals, is giving way to a more nuanced strategy. F1 is now keen on optimizing its reach and income, capitalizing on the influx of new fans.
The rapid adoption of Smart TVs has not gone unnoticed by F1’s top brass. With estimates suggesting over 54% of households globally own connected televisions, the landscape of viewership is evolving at a breakneck pace. Linear television is witnessing a steady decline as audiences increasingly gravitate towards digital platforms that offer them content on their terms. This shift is primarily driven by a younger demographic whose viewing habits contrast starkly with previous generations.
Recent data disclosed by F1 CEO Stefano Domenicali paints an interesting picture. An average of 66 million people watched each race on linear platforms last year, supplemented by an additional 20 million via digital platforms, including F1’s own F1 TV. Further insight reveals that out of a cumulative audience of 1.6 billion race viewers in 2024, nearly 500 million were captured on streaming platforms, with an impressive 230 million tuning in for YouTube highlights.
The growing interest in F1 among YouTube viewers is evident. The Race, for instance, has seen its YouTube channel, boasting nearly 1.2 million subscribers, rack up a staggering 160 million views in 2024.
This shift towards digital streaming platforms, while posing a challenge for traditional broadcasters, presents an opportunity for rights holders like F1. Domenicali, in a recent Liberty Media earnings call, acknowledged the future growth of F1 in terms of viewership and revenue would need to embrace these changing consumption patterns.
F1’s adaptation to changing consumption trends is also reflected in its approach towards YouTube. Initially perceived as a threat, YouTube is now viewed as a platform to engage with new fans. F1 now produces its own shows, offers highlight packages and, for the first time in 2025, will incorporate YouTube numbers in its overall viewing figures.
The upcoming expiration of ESPN’s exclusive US rights at the end of this year is pushing F1 into a crucial decision regarding future media rights deals. While ESPN remains a contender, giants such as Netflix and Apple are potential suitors for the US broadcast deal from 2026.
Major streamers like Netflix and Apple, however, prefer global rights deals as opposed to regional ones. This preference diverges from F1’s traditional approach of individual market deals. The existing Sky deal for the UK, running until 2029, could potentially complicate matters.
Liberty Media’s president and CEO, Derek Chang, however, suggests a different approach might be on the cards. A global player like Apple or Netflix could turbocharge F1’s global promotion efforts and bring F1 into households in ways that F1 on its own could not.
Chang cites Netflix’s successful live telecast of the NFL Christmas Day games last year as a testament to the potential of such partnerships. The games were broadcast to 200 countries, demonstrating the possibilities of this evolving space.
As viewing habits continue to evolve, the focus is shifting from what F1 can do for broadcasters to what broadcasting deals can do for F1. With the right partners, F1 can potentially elevate its reach and engage with audiences in ways that were previously unimaginable. The future of F1 broadcasting is revving up for a thrilling ride.
