How F1 makes money is one of the topics covered in this week’s Business of Motorsport Roundup. Not only will you learn how F1 makes money, but you will also get an update on all the latest motorsport sponsorship deals, legal news and calendar updates plus much more!
Motorsport Industry News
Formula 1
Hong Kong should focus on developing a greater motorsports culture before bidding to host a Formula 1 race, a top official from the sport’s governing body has told the South China Morning Post.
“Speaking on the sidelines of the annual conference of the Federation Internationale de l’Automobile (FIA) in Macau, Valerio Iachizzi suggested that focusing on karting and esports would be a better use of time and resources.”
Apple and ESPN are emerging as the frontrunners for Formula One’s next US broadcast deal, which begins next year. This intense competition could significantly increase the annual value of the contract, with analysts estimating it could reach $121 million per year. While Netflix remains interested, its position appears less strong. This follows Apple’s recent box office success with its F1 movie starring Brad Pitt, highlighting the growing synergy between the tech giant and the motorsport.
A proposal aimed at bringing Formula 1 back to South Africa is set to be assessed by the sport’s commercial rights holder. While no official announcement has been made as to which of the three efforts has been successful, PlanetF1.com understands the Kyalami effort was the preferred option but there are disputes about the required bidding fee.
Malte Karstan does a deep dive into F1’s business model based on their 2023 fiscal year. ” Formula 1 is not just a motorsport spectacle. It is a complex global business generating billions in revenue and distributing that wealth across teams, sponsors, and media partners. With 22 races completed in FY23, Formula 1 reported total revenues of $3.2 billion, marking a 25 percent year-over-year increase. But where exactly does this money come from, and how is it spent?”
You can also see his F1 revenue breakdown here.
General Motorsport Industry News
Chicago Mayor Brandon Johnson “dodged direct questions” along pit row last weekend about whether the NASCAR race returns for another lap next year. Meanwhile Ald. Brendan Reilly (42nd) said that the city “needs a deal that benefits both parties.” He also said discussions about NASCAR’s future in the city “are in the works.”
Just over a week after the European Commission authorized Liberty Media’s acquisition of Dorna, the American company has finalized the purchase of 84% of the Spanish firm, following a payment of €4.3billion. The remaining 16% is retained by Carmelo Ezpeleta, CEO of Dorna, and Enrique Aldama, who oversees the company’s operations. But as Matt Oxley points out in Motorsport Magazine, what’s next? “Liberty’s purchase of MotoGP gives us a rare chance to look at how much money MotoGP brings in, via an information pack published by the company to showcase its new property.”
As I mentioned briefly last week, Tim Mayer has announced that he is running for the FIA presidency, combating what he calls Mohammed Ben Sulayem reign of terror, a characterization that Ben Sulayem obviously disputes.
Here are some articles analyzing his candidacy.
- Today FIA presidential hopeful Tim Mayer celebrated his Independence Day (Autosport)
- Attacking Ben Sulayem ‘illusions’ – new FIA president bid explained (The Race)
- Mayer expects a difficult fight with Ben Sulayem (RACER)
- Tim Mayer’s manifesto to re-empower FIA members (RACER)
- FIA respond to surprise Mohammed Ben Sulayem challenge (RacingNews365)
- FIA head Mohammed Ben Sulayem laughs off ‘reign of terror’ jibe (ESPN)
- Ben Sulayem removes Britain’s senate representative (BBC)
Formula E has insisted it is in full growth mode and enjoys “unwavering support” from its shareholders, after posting a loss of €78.3m ($93m) in 2023-24, a significant worsening on the prior year’s finances.
BlackBook Motorsport reports that the decrease in revenue was attributed primarily to the reduced number of race events and other race related activities. Unlike the previous season, the 2023/24 campaign did not feature races in Cape Town, Jakarta and Rome, while an event in Hyderabad was eventually cancelled. In their place, Misano, Tokyo and Shanghai all joined the calendar for the season.
Roger Penske has appointed the top two leaders of his Porsche Penske Motorsport IMSA/WEC program to add dual roles of leading his IndyCar Series effort. Jonathan Diuguid, a former Penske IndyCar race engineer who was tasked with building and running the new PPM initiative that debuted in 2023, has taken on the title of Penske Racing president, and Travis Law, Josef Newgarden’s former championship-winning chief mechanic who was elevated to the No. 2 role at PPM, is Team Penske’s new competition director.
After years of deliberation, it appears that the FIA WEC’s organisers are close to striking a deal that will see Silverstone return to the calendar reports Daily Sportscar. “Principally, the WEC’s management team requires confidence that the cost of traveling across the English Channel for a race would be offset, at least in part, via gate receipts.”
RACER looks at the current status of both the NASCAR and IndyCar 2026 schedules. Both series have numerous rumored new races that could be part of the schedule next year.
Quick Takes on the Business of Motorsport This Week
- 50 Years on the fast track: Nardò Technical Center celebrates special anniversary (Porsche)
- Why Gene Haas “gets annoyed” by repeated offers to buy his F1 team (Autosport)
- Lewis Hamilton warns against rushing ‘F1’ movie sequel after box-office success (Autosport)
- The real Formula 1: the £16bn industry driving Brad Pitt blockbuster (The Times)
- Motorsport Needs More Women, Says Racer and Elemis Ambassador Jessica Hawkins (Beauty Inc)
- F1 Is For the Girls Now (Glamour)
- In motorsport not every moment is worth seizing. This one might be (RTR Sports Marketing)
- Motor racing entrepreneur Tim Miles killed in tragic accident (SpeedCafe)
- Apple’s ‘F1’ movie tops box office, expects to earn over $300 million (AppleInsider)
- ‘F1’ is Apple’s highest-grossing theatrical film ever (CNBC)
- The changing landscape of Racing Media (Mick Palmer)
- How Rodi Basso is engineering a business model for the future of sport (Insider Sport)
- Multi-million-pound contract win for McLaren & Ferrari tech supplier Dynisma (Business Cloud)
- Kent Motor racing circuit Buckmore Park given green light to expand (BBC)
- Damon Hill Shares Emotional F1 Insight With Esquire and The Platinum Card® by American Express at Silverstone (Esquire UK)
- Plans to build football stadium on historic Western Springs Speedway site axed (SpeedCafe)
- Skip Barber Racing School to Build First-Ever Racing Resort in Ixtapan de la Sal, Mexico (Skip Barber)
- Formula E and Google Cloud collab on descriptive audio for visually impaired fans (Formula E)
- F1: The Movie isn’t just for enthusiasts–and that’s a good thing (Grassroots Motorsports)
- BlackBook Motorsport Publishes IndyCar 2025 Business Report (BlackBook Motorsport)
- What Christian Horner’s Red Bull Exit Says About F1’s Increasingly Opaque Ownership Structures (The Motorsport Saga by Alan Dove)
- More than a race: Why online abuse has no place in motorsport (Motorsport Week)
Highlights from the Sustainable Motorsport Roundup
DHL is driving a new era of sustainable logistics for Formula 1 in a new partnership with the FIA and I have all the details in this week’s edition of the Sustainable Motorsport Roundup. I also have news on circularity at Mclaren, a hydrogen-powered rally car and much more!
The Numbers
Motorsports viewership in the U.S. last weekend (via Adam Stern):
U.S. motorsport viewership last weekend:
1) NASCAR Cup (TNT + TruTV): 2.1 million
2) F1 (ESPN2): 1.5 million
3) NASCAR Xfinity (The CW): 1.1 million
4) IndyCar (Fox): 775,000
“F1 The Movie” has surpassed $300 million in global revenue after 11 days, according to IMDb.com‘s Box Office Mojo tracker. (Via Adam Stern)
- Domestic (37.4% of revenue): $112,713,26
- Foreign (62.6%): $188,500,000
- Total: $301,213,267
- British GP viewership up 19 percent (RACER)
- 775K viewers for Mid-Ohio IndyCar (RACER)
Motorsport Law Roundup
A look at some of the legal and regulatory issues and analysis in Motorsport this week
23XI Racing and Front Row Motorsports are poised to lose their NASCAR Cup Series charters following a denial of a rehearing by the Fourth Circuit of Appeals. This decision, issued on Wednesday, means the injunction that allowed them to race with charter status this season is expected to expire seven days after the ruling. Consequently, these teams may have to compete as “Open” teams as early as Dover Motor Speedway on July 20, impacting their guaranteed entry and purse money. Despite this setback, the teams remain committed to their antitrust case, with a trial date set for December 1st, aiming for fairer terms for all racing teams.
In “Navigating racing drivers’ contracts – Top 10 legal considerations” LawinSport provides guidance for motorsport drivers and their representatives on navigating contract negotiations. It covers essential elements every driver should understand before signing, from confidentiality clauses to performance requirements, helping them protect their interests while navigating the complex world of motorsport agreements. You can read the article here.
Sebastien Buemi has had his podium finish from last month’s Jakarta E-Prix re-instated after a post-race penalty dropped him down to eighth. “Envision petitioned to the FIA to have the penalty reviewed and with new evidence now to hand, namely the roll hoop camera footage from Buemi’s car – and consultation from both drivers, with Mortara agreeing that the move was legitimate and that he “barely felt the contact” – the FIA has now overturned the penalty.”
The ISDE has published “𝐴 𝑐𝑜𝑚𝑝𝑟𝑒ℎ𝑒𝑛𝑠𝑖𝑣𝑒 𝑐𝑜𝑚𝑝𝑎𝑟𝑖𝑠𝑜𝑛 𝑏𝑒𝑡𝑤𝑒𝑒𝑛 2024, 2025 𝑎𝑛𝑑 2026 𝐹1 𝑆𝑝𝑜𝑟𝑡𝑖𝑛𝑔 𝑅𝑒𝑔𝑢𝑙𝑎𝑡𝑖𝑜𝑛𝑠, ” a first-of-its-kind academic work offering an in-depth analysis of the upcoming F1 regulatory changes. It was co-authored by Davide Beatrice, Anirban Aly Mandal and Magdalena Ferrer
I’m proud to share my first scientific publication on Formula 1, issued by ISDE and co-authored with Davide Beatrice Anirban Aly Mandal and Magdalena Ferrer.
Davide Beatrice: What makes this paper unique is not only the comprehensive comparative approach, but also the identification of inconsistencies, missed opportunities, and structural ambiguities within the regulatory texts — aspects rarely highlighted in public debate, but crucial for the integrity of the sport and of the FIA – Fédération Internationale de l’Automobile itself.
You can access the article here.
Motorsport Sponsorship, Partnership News and Analysis
The latest motorsport sponsorship deals, partnerships and related analysis that were announced this week
- BWT Alpine Formula One Team connects with Claro as Regional Team Partner (Alpine)
- The Brick Awards: How F1 and LEGO came together for an iconic British GP podium moment (Autosport)
- F1 drivers receive Lego trophies in latest activation of partnership (Sports Business Journal)
- SharkNinja Races into the Hollywood Spotlight with F1 THE MOVIE APXGP Team Sponsorship and Limited-Edition APXGP Performance Collection (SharkNinja)
- How the F1 movie created “another route” for sponsors to enter Formula One (SportsPro)
- LEGO just made Formula 1 history (Business of Speed)
- Formula 1 Racing Star Oscar Piastri Signs With IMG Models (Women’s Wear Daily)
- Value Beyond the Podium: why choosing a midfield team isn’t a compromise, but a strategic decision (Drive Sports Marketing)
- Crypto Sponsorships Shift the Race: How Digital Currencies Are Accelerating Motorsports in 2025 (Front Stretch)
- de Novo Solutions Sponsors Rising Formula 4 Star Daniella Sutton (Business News Wales)
- Matt Stone Racing brings mining giant BHP Mitsubishi Alliance to Supercars (SpeedCafe)
- NHRA Racing Sponsorships are About ‘More Than Just the Logo on the Car’ (Autoweek)
- Iconic Rental Car Brand Hertz to Serve as Sponsor for Nemechek at Dover (Racing America)
- The Incredible Value of Sponsorship in Motorsport (M1 Sports)
- Creating unforgettable experiences in the air and at the track with Wheels Up (United Autosports)
- Inside F1’s 2025 Sponsorship Power Plays: McLaren, Ferrari, and Red Bull’s Bold Moves (NextGen Auto)
- What do fans really think about women’s sports sponsors? (SportsPro)
- 95% of Brands Priced Out of F1 Sponsorship—Fan Prix Offers an Alternative (Business of Speed)
- TOPDON US Renews Sponsorship With Federico Sceriffo & His Custom Drifting V-12 Ferrari 599 GTB (The Shop)
- MrBeast brings Feastables to the fast lane with Formula E (Formula E)
- Is This F1’s Smartest Fan Campaign Yet? How Aston Martin flipped the script at Silverstone (Sponcon Sports)
Team & Manufacturer News
A roundup of the latest team news from around the world of motorsport
- Christian Horner sacked as Red Bull F1 team boss (Autosport)
- Mark Hughes analysis: Why Red Bull sacked Christian Horner (Motorsport.com)
- What Horner’s sacking means for Red Bull – and the whole of F1 (Autosport)
- Red Bull sees further dismissals from F1 team amid Christian Horner exit (Motorsport Week)
- Red Bull document indicates potential detail behind Christian Horner dismissal (Motorsport Week)
- Christian Horner’s surprising firing by Red Bull F1 raises many questions (The Athletic)
- Who is Laurent Mekies, the new Red Bull F1 boss succeeding Christian Horner? (Autosport)
- Alan Permane replaces Mekies as Racing Bulls team principal (RACER)
- Alpine announces Steve Nielsen as F1 team managing director (Autosport)
- Amidst the crisis, Alpine F1 secures a major sponsor and welcomes a new CEO (Formula Nerds)
- Cadillac Won’t Let Anything Stand in Its Way to Absolute Victory at Le Mans (Road & Track)
- Team Penske makes leadership moves for race team (Sports Business Journal)
- Marks continues to see ROI in van Gisbergen (RACER)
- Toyota: GR010 Hybrid Styling Change Possible for 2026 (RACER)
- Gene Haas Has ‘Rejected Numerous Buyout Offers’ for F1 Team (Autoweek)
- Un-Limited Motorsport reaffirms commitment to running three cars (Touring Car Times)
- HMD Motorsports and TJ Speed Team Up to Join Castrol Toyota Formula Regional Oceania Trophy In 2026 (RTD Media)
- IDEC Sport Racing partnering with AVL RACETECH (IDEC)
Motorsport Movers & Shakers
Grand Prix 24/7 has an exclusive interview with Honda motorsport boss Koji Watanabe. Watanabe reflected on the end of Honda’s dominant partnership with Red Bull in Formula 1, the company’s full-scale return with Aston Martin in 2026, and the deepening alignment between F1’s hybrid future and Honda’s wider electrification roadmap. You can read it here.
Author: Mark Boudreau
Mark is the publisher of Motorsport Prospects. As a lawyer, he applies his legal background and research skills to assist race drivers by showcasing the resources they need to make their motorsport careers happen.
