Liberty Media Under Antitrust Investigation Following Andretti Rejection

Liberty Media are under an antitrust investigation by the United States Department of Justice following their rejection of the Andretti F1 bid, and I have the details. Elsewhere in this week’s Business of Motorsport Roundup I have a legal analysis of George Russell’s exclusion from the Belgian Grand Prix, the business challenges facing NASCAR and how Japanese motorsport appears to be on a rebound.

Motorsport Industry News

Formula 1

Michael and Mario Andretti

The United States Department of Justice is officially looking into Formula 1 owner Liberty Media’s rejection of Andretti Global reports Autosport. CEO Greg Maffei confirmed in a quarterly earnings call that the company that owns Formula 1 is officially being probed by the justice department’s Antitrust Division over the legality of F1 refusing entry to Michael Andretti’s team.

“We believe our determination, F1’s determination, was in compliance with all applicable US antitrust laws, and we’ve detailed the rationale for our decision, vis-a-vis Andretti in prior statements.”

Read the full story at Autosport.

Speaking of Liberty Media and Formula 1, the company announced their Second Quarter 2024 Financial Results which you can read here.

“The F1 season is seeing phenomenal racing, with seven different winners through fourteen races and tighter gaps across the grid. Social media followers are up over 30% across F1 platforms and we had 3.7 million race attendees through the first half of the season with ten sellout crowds,” said Stefano Domenicali, Formula 1 President and CEO. “F1 Academy is off to a strong start in its first season running all events alongside F1 race weekends. Together with the Sprint and FIA F2 and F3, it is adding to the exciting on-track action and bringing added value to our fans, promoters and sponsors.”

In an exclusive two-part interview with Autosport, F1 CEO Stefano Domenicali looks at the near and long-term future of Formula 1.

“This is a point of: is really now the time to do in 2030 another step change? We are not in a position to answer today, because we need to wait and see how this new technology will come in and how this will be developed. Therefore, there will be a point at which we need to discuss about it, and we need to understand if the need of the manufacturers, the need of teams and the need of the engineering, is definitely there as it was when there was the need to change the regulation [for 2026].”

MGM Resorts executives have revealed that hotel sales are off to a soft start ahead of the second Las Vegas Grand Prix, as reported by local news. Prices for hotels close to the circuit are currently 50 per cent down from where they were at this point last year.

BlackBook Motorsport has more details.

Representatives from Rwanda are set to meet F1 officials in September to discuss what they call a serious bid for a Grand Prix. “They are serious,” said Stefano Domenicali. “They have presented a good plan and actually we have a meeting with them at the end of September. It will be on a permanent track.”

As Vincenzo Landino points out in Business of Speed, Africa is fertile ground for the first Grand Prix on the continent since 1993. “In Kenya, for example, entertainment venues compete to host F1 viewing parties, drawing large crowds. Joy Jeptoo, a social media influencer, hosts these events, attracting fans who spend significantly on food and drinks. The Paddock Experience in Kenya pulls in up to 1,400 fans per event, showing strong demand for F1 content.”

BWT Alpine

Renault’s decision to halt the development of their F1 powerplant is not being well-received, either within the company or beyond it.

The 350-strong workforce at the French manufacturer’s base at Viry-Châtillon, where 60 per cent have been involved in the design and construction of the new-for-2026 power unit, was informed last week of Renault’s decision to halt production.

“We didn’t see it coming,” said Karine Dubreucq, a union representative at the Viry-Châtillon site, speaking to L’Equipe. “It’s a stab in the back, a betrayal. We have developed engines here capable of being F1 champions 12 times, and now we can’t anymore? They didn’t even wait for the first test bench.”

Outside of Renault, RB boss Laurent Mekies has expressed his displeasure as well. “And of course, from what Bruno is saying, the OEM will stay as a team, but obviously, one of the big targets of these new regulations in 2026 was to attract more OEMs. So ultimately, if it goes as Bruno said, it means that we’ll get plus one with Audi and minus one with Alpine. So I don’t think it’s a good news.”

If the Spa Francorchamps circuit want to retain a Formula 1 race in the future, they will need to get a grip on their parking issues. Is It Fast‘s Öykü Ceylan described the chaos that ensued after this year’s Belgian Grand Prix, a scene that is regularly repeated after every Grand Prix.

“After the race on Sunday, tens of thousands of fans attempt to leave the track simultaneously, creating an enormous traffic bottleneck. The narrow, single-lane roads leading away from the track become completely gridlocked. This rural location is not equipped to handle such a massive influx of vehicles trying to exit all at once. Unlike the varied arrival times spread over several hours and days, the end of the main event sees everyone departing simultaneously.”

Read all the details here.

General Motorsport Industry News

NASCAR

As negotiations for a new charter agreement between the sanctioning body and its teams slowly progress, formal guidelines around private- equity investment could be introduced, including a potential ban on sovereign wealth funds, according to Sports Business Journal. But while potential investors kick the tires, Forbes points out the financial challenges facing the series as sponsor revenues have been declining.

“Recently, GlobalData released The Business of NASCAR 2024, allowing a comparison between last year and this one so far. And there are some eyebrow-raising contrasts that stand out. Again, NASCAR (rightly so) doesn’t publicly report earnings, and to be fair, they aren’t required to. But using available data, GlobalData reported that last year NASCAR generated $425.06 million in sponsor revenue, while this year, so far, it has generated $362.34 million—a nearly 16% drop.”

Meanwhile, with Brazil expressing an interest in hosting NASCAR Clash in 2026, many others are wondering what’s going on with NASCAR’s charter system. “Series organizers and teams have been locked in negotiations. More than six months on from the original hard deadline for an agreement to be reached, fans are none the wiser to the future direction of NASCAR.”

IMSA has announced that at their most recent race at Road America, attendance increased 10 percent from 2023, setting a record for the sportscar series. “It’s crazy to see the strength of the series at the moment – to see it get bigger and bigger every year,” said Dane Cameron, who teamed with Felipe Nasr to finish second Sunday in the No. 7 Porsche Penske Motorsport Porsche 963. “We had some great news from Doonan about the increase in our crowds and rivaling the IndyCar attendance, which is huge and special for us. We’ve been considered a niche motorsport, especially in America, so it’s super cool to see that.”

Amongst other topics, the BlackBook Motorsport podcast Mics Out looks at why MotoGP is struggling to attract British crowds to Silverstone. “The Mics Out team of Cian Brittle and Peter Jones discuss the event and whether moving next year’s race earlier in the year will help to improve crowds.” You can listen here.

Liberty Media Under Antitrust Investigation Following Andretti Rejection

With South Korea and Malaysia adding international flavor to Japan’s two largest championships in Super Formula and Super GT, Jamie Klein of Autosport thinks this could be promising signs that Japanese motorsports are making a comeback after the pandemic.

“Super GT views hosting races outside of Japan as essential for living up to its billing as an international series (it has now been 20 years since the series was known as the All-Japan GT Championship), expanding its fanbase and providing an extra incentive to the manufacturers by giving them a platform to market their products to a wider audience. As such, it wouldn’t be a surprise if the revived Sepang race proves to be the first step in an expanded presence across the Asian region.”

Mahindra is one of four current manufacturers that have so far not committed to the Formula E Gen4 rules which will debut at the end of 2026. Is their a danger that the series will lose one of its founding manufacturers asks The Race?

“There is a feeling that Formula E, with the necessary investment by Liberty now, will become much more than just a curio and niche strand of motorsport, which in reality it really still is. Liberty and Formula E CEO Jeff Dodds have been drilling that home to all sorts of manufacturer executives in recent months, and so far it has mostly paid off with the big three of Jaguar, Nissan and Porsche having committed to Gen4. Mahindra’s appears to be a more complex decision and one that has had – like its performance on the track in the first part of Gen3 – plenty of nerves jangling.”

Read more at The Race.

Quick Takes on the Business of Motorsport This Week

Business of Motorsport

Motorsport Law Roundup

A look at some of the legal and regulatory issues and analysis in Motorsport this week

Picking Up Rubber

Anirban Aly Mandal writes a comprehensive legal analysis in Motorsport Prospects of George Russell’s disqualification from the Belgian Grand Prix covering the legalities of what went on versus the sporting regulations and the issues confronting the FIA in the wake of the disqualification.

“Therefore, it can be concluded that a suggested or effective counter-measure for Russell to save disqualification, under the Regulations, could have been picking up rubber – something he could not do at this particular event but something that is a common practice in Formula 1. This brings us to the core discussion of this article i.e., when tested against the touch stone of the Sporting Regulations, does the practice of picking up rubber still stand good?”

Read his full analysis here.

Red Bull has announced an appeal against an investigation clearing its Formula 1 boss Christian Horner of wrongdoing has not been upheld. The appeal, which was handled by another independent barrister, has now also been dismissed, Red Bull GmbH announced on Thursday.

“Earlier this year a complaint raised against Christian Horner was investigated. The complaint was dealt with through the company’s grievance procedure by the appointment of an independent KC who dismissed the grievance,” a press statement read. “The complainant exercised the right to appeal, and the appeal was carried out by another independent KC. All stages of the appeal process have now been concluded, with the final outcome that the appeal is not being upheld. The KC’s conclusions have been accepted and adopted by Red Bull. The internal process has concluded.”

Autosport has more.

LawInSport has a series of tips for sports organizations looking to protect their brand.

“Many domestic and international sports organisations and bodies often do not prioritise their intellectual property (“IP“) brand strategy. Registered intellectual property rights (“IPRs”) protect creations, so that only the owner or its licensees can use it. IPRs include trade marks (which protect brands), copyright (which protect literary, artistic, dramatic and musical works), patents (which protect inventions) and design rights (which protect designs). Other legal mechanisms also exist which allow organisations to protect their knowledge and creations, such as the laws of passing off and confidential information. Sport organisations need to ensure they have a stringent intellectual property policy in place in order for their IPRs to be protected.”

Read the full article here.

Motorsport Sponsorship & Partnership News

Here are the latest motorsport sponsorship deals, partnerships and related analysis that were announced this week

Business of Motorsport
Liberty Media Under Antitrust Investigation Following Andretti Rejection

The Business of Running a Race Team

Liberty Media Under Antitrust Investigation Following Andretti Rejection

The Turning Tables Podcast talked to Motors Formula Team principal Ludovic Pezé and driver Fabrice Pantani about a number of topics including:

  • Early beginnings in motorsport
  • Building a team from scratch and signing new talent
  • Working in motorsport in Monaco
  • The business challenges a team has to overcome
  • Managing driver training and the use of simulators
  • Differences between a team sport and individual sport
  • Finding opportunities for your drivers
  • Driver and team fashion
  • Advice for budding motorsport professionals
  • How to increase inclusivity in motorsport
  • The health and future of motorsport globally (including a bold Lewis Hamilton prediction)
  • Producing the movie Without Mercy

You can watch the interview in the video above.

Team & Manufacturer News

Here is a roundup of the latest team news from around the world of motorsport

Business of Motorsport
Liberty Media Under Antitrust Investigation Following Andretti Rejection
Business of Motorsport
Liberty Media Under Antitrust Investigation Following Andretti Rejection
Liberty Media Under Antitrust Investigation Following Andretti Rejection

Motorsport Movers & Shakers

Business of Motorsport
Kevin Savoree

Successful race promotion requires attention to detail and the ability to capitalize on opportunities, which Kevin Savoree and his business partner Kim Green have utilized to produce some of North America’s most treasured race events. Regardless of the series on the bill, the promoter in him proclaimed, “Whatever it is, we will be around to sell a ticket to it.” PRI gets insights from Kevin Savoree in their Industry Insights feature.

“Whoever we have on our team, whatever they bring to the table, whether it’s a marketing background, a public relations background, a law degree, or the operations side of things, you have to have varied experiences and varied ways to look at how to attack and solve problems and make everything a success. I certainly think the accounting degree for me was a big part of that. Kim’s got a very mechanical background, and that brings a lot to the table, too, on how we approach certain things.”

You can read the full interview here.

Mark Boudreau
Author: Mark Boudreau

Mark is the publisher of Motorsport Prospects. As a former 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.