Author Archives: Garry Sloan

In the Pit Lane – What is Dimitry Mazepin’s next move?

The “American” Team

As the F1 circus moves on to Sochi for the next round of the 2021 season, Russian President Vladimir Putin will no doubt be pleased the Haas cars can circumvent the ban on drivers racing under the Russian flag with the adoption of the ‘Russian-themed’ livery.

Haas have courted much controversy for their perceived Russian flag livery. Image: Autosport

The irony of course is Haas arrived on the F1 scene with the emphasis on the team being F1’s American team!

Much has been written over why Gene Haas remains in F1, with various theories doing the rounds.

One school of thought is Gene Haas turned down the more than generous offers tabled in 2019 by the Saudi’s and Dmitry Mazepin from a patriot standpoint ensuring an American team remains on the grid. 

This may have been in doubt, as William’s new owners’ American private equity firm Dorilton Capital was also rumoured to be ‘having a look’ at Haas. The patriotic angle can now be dismissed, however, as news has emerged that Michael Andretti’s Andretti Autosport approached Gene Haas to buy the team only to be turned down.

Andretti Autosport is in the process of raising $287.5m to top up its available spending pot to $400m. Andretti was a potential bidder for Force India, and only walked away when faced with what they perceived to be ridiculous valuations.

With Williams, Dorilton outbid all interested parties to secure the ownership for its unknown mystery beneficial owner.

Andretti back in F1?

Andretti Autosport is a serious player running a 4-car Indy team. a Formula E team with BMW, a 4-car Indy Lights team, and an LMP3 car in the ISMA’s Sportscar series.

Andretti’s IndyCars are just one of the outfits racing teams

Undeterred by Gene Haas’ rebuttal, Michael Andretti confirmed a continuing interest in F1 telling Racer magazine, “If the right opportunity comes up, we’ll be all over it. But we’re not there yet, It would be great, but there’s a long way to go if it were to happen.”

Instead of selling, Gene Haas took Mazepin’s sponsorship Rubles in return for Junior’s race seat and of course the opportunity to brand the cars. Mazepin Sr. may or may not be disappointed with Nikia’s performance to date, but he is apparently delighted with the global exposure his company Uralkali has received.

The sponsorship has been instrumental in opening doors and has resulted in new business that has more than recouped his investment.

Could Mazepin invest outside of Haas?

The world’s biggest potash producer has just got even bigger, and this may have increased his desire to own a team not only for his son’s career but for the business opportunity that F1 presents not dissimilar to Lawrence Stroll’s F1 journey.

Unsurprisingly, Mazepin Senior has funded his son’s racing career from the get-go

If Mazepin wants to own a team, there are only two other realistic options, Williams, or Sauber, but both will in all likelihood be out of reach. 

In William’s case, if Mazepin writes a big enough cheque, you would naturally assume a private equity firm would do what private equity firms do, namely take the money and run. 

A similar scenario exists at Sauber aka Alfa Romeo which is owned by billionaire Swedish Finn Rausing worth $14.4bn courtesy of the Tetra Pak empire. Rausing became involved in F1 when back in 2016, he was approached by fellow Swede Marcus Ericsson who drove for the Sauber F1 team that was in financial difficulties.

Rausing bought out owner Peter Sauber and chief executive Monisha Kaltenborn initially through his secretive Swiss investment firm Longbow Finance SA, later transferring the ownership to himself. He appointed trusted family friend Pascal Picci as chairman and took no active role in the running of the team.

Rausing quietly attendees race weekends without any media attention.

He is a regular visitor to the factory in Hinwil, Switzerland spending hours happily chatting away to engineers. Rausing currently supports the team to the tune of $20-$30m, so it may be like Williams a heart and not a head decision. Well, he’s got to spend his money on something!

Mazepin F1 on the way?

The million-dollar question, or more accurately the multi-million-dollar question, is would Mazepin start a new team with all that involves?

Well, Liberty Media would like to expand the number of teams on the grid after the pandemic has ended. Sporting Director Ross Brawn commented to Russian broadcaster RT in July 2020, “If there was interest from a Russian team or any other that we thought was sustainable then we would be fully open to exploring the opportunity.”

One option for Mazepin would be to join forces with fellow Russian billionaire Boris Rotenberg, founder of the Russian bank SMP. Along with his brother Arkady, Boris owns the SGM Group, the largest construction company for gas pipelines and electrical power supply lines in Russia.

Rotenberg is a close confidant of President Vladimir Putin from his childhood. Both men learned judo together in Leningrad (now Saint Petersburg).

Rotenburg has had a few issues…

It’s not all been plain sailing for Boris. Image: Moscow Times

The SGM Group was involved in large infrastructure projects in Crimea, which after the annexation of Crimea by Russia in 2014 led to American sanctions of both brothers and their assets.

The U.S. Treasury claimed that Putin had awarded the Rotenberg’s billions of dollars in contracts from Gazprom and for the Sochi Winter Olympics. 

EU sanctions followed, but only covered property in Rome and Sardinia valued at €30m.

As Rotenberg held Finnish citizenship, due to a previous marriage to a Finnish citizen, he bypassed the sanctions. The assets included three villas in Eze, Nice, and Rotenberg’s racing team SMP Racing, which also trains drivers in the city of Le Luc, France.

SMP Racing has a host of Russian drivers on its books, including ex-Williams F1 driver Sergey Sirotkin and rising star Robert Schwartzman.

Rotenberg has more than money behind him…

Rotenberg is a confirmed petrolhead and raced in a variety of series from 2011 to 2014 with his biggest achievement coming 2nd in the 2012 – 24 hours of Barcelona race.

Rotenberg is interested in forming an all-Russian F1 team using SMP racing and made clear his intentions back in October 2019 at the Russian Grand Prix. He said, “The more you try to create in motorsport, the more chance you have to flourish. Do we want to create a Formula 1 team? I think the more teams there are, the more opportunities there will be for our drivers.

“Everything is possible. The main thing is to make the effort. First of all, are the financial considerations.”

Well, in 2020 Rotenberg planned to invest in Dutch car maker Spyker that would enable the company to resume producing a range of three sportscars in 2021 namely The C8 Preliator supercar, the D8 Peking-to-Paris SUV, and the b6 Ventator supercar. 

Hoping to emulate Ferrari, McLaren, and Aston Martin with a sportscar manufacturer sponsoring their own F1 team Rotenberg ambitiously claimed, “Our group of companies will launch the Spyker brand successfully in the league of the world’s best super sportscars.”

Alas, it all ended in tears with the investment never materialising and Spyker filing for bankruptcy in January.

In May 2021 BR Engineering, the race car constructor established by SMP Racing released details of their third single-seater car, the BR03 developed specifically for the Russian market.

Rotenberg may be down but is not out and no doubt is planning his next move aboard his brother’s $75m superyacht ‘Rahil’.

So, will a combination of Mazepin’s money and Rotenberg’s expertise create a new all-Russian F1 team?

Time will tell.

Garry Sloan is an author, columnist, and podcaster more details at garrysloan.com

Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In The Pit Lane: Liberty Media Spoiled for Choice

As the global pandemic continues to create havoc with the 2021 race calendar, Liberty Media continues to look forward. Liberty has an ambition to ultimately hold 25 races per season and to facilitate this, the introduction of more double and triple-headers will be necessary regardless of the human cost to the teams.

Where will the 25 be?

Liberty aims for a third of the races to be held in Europe with the remainder spread throughout the world including a wish list race in the continent of Africa.

Kyalami has been long mooted for a return to hosting the South African GP for the first time since 1993. Image: Autosport

As part of the strategy, Liberty is examining the prospect of alternating races with some circuits hosting every two or three years. This has happened before with for example the German GP, which was spilt between Hockenheim and the Nürburgring.

Liberty will endeavour to protect the ‘heritage’ races such as Monaco, Silverstone, Spa, and Monza, the rest will be decided on who has the deepest pockets.

READ MORE IN THE PIT LANE: LANDO NORRIS BUCKS THE TREND

The top circuits

Currently, there are 33 FIA Grade 1 approved circuits, with more in the pipeline, so supply exceeds demand, hence, a bidding war is created. Pre the pandemic, Liberty had plans to increase hosting fees, which in 2019 generated an income of $602.1 million making it F1’s second-largest source of revenue.

Even tiny Kuwait has a Grade 1 circuit these days

Individual deals are not disclosed and an average of $28.7 million does not give a fair representation of the gap that exists between the European circuits, and, for example, the circuits based in the Middle East.

Liberty does consider the teams/sponsor’s commercial interests in a country as well as the TV audiences but in the final analysis, cash is king.

The elephants in the room

The argument for not racing in countries with poor human rights records which may have changed post-Ecclestone but didn’t is now finally redundant with the upcoming race in Saudi Arabia.

Jeddah’s Formula 1 debut will be a sad day for motorsport

Instead, F1 is now positioning itself as a force for change with Stefano Domenicali declaring,

“Formula 1 has zero embarrassment at competing in Saudi Arabia. F1 has a role to play in advancing our values in different places in the world. Sport can progress this in a faster way by shining a spotlight. We can be an enabler and are discussing these kind of things with the Saudi’s.”

Debate closed!

READ MORE IN THE PIT LANE: THE UAE FLASH THE CASH

What about the FIA?

Well, the calendar falls within Liberty’s remit, courtesy of the 113-year deal struck between Bernie Ecclestone and the late Max Mosley back in the day. As long as the circuit’s administrative and safety standards are met, then the FIA has no say in where F1 races.

So, it comes as no surprise Russian President Vladimir Putin is getting the chequebook out with the construction of the new Igora Drive venue in St Petersburg replacing Sochi in 2023.

Formula 1 is making a popular departure from Sochi after 2022. Image: F1Destination

It is believed the switch is due to Putin wanting to showcase and promote the region and no doubt the Haas team’s controversial Russian-themed livery helps especially as the doping ban on flags for the nation’s drivers begins.

In other developments, Domenicali continues to court the American market, telling The Business Breakdowns podcast, “The United States of America represents one big challenge for us that we need to make sure we take in a good way.”

Enter one Rodger Penske who confirmed at the Goodwood festival he would, “love to welcome F1 back to the brickyard.”

The only problem is he wants to pay $20m and Liberty is looking for $30m, so it will be a case of who blinks first. Domenicali has been a busy man of late, meeting with Sergio Perez’s father Antonio at the Hungarian GP.

According to Reforma, a Mexican newspaper, Antonio was heading up a consortium of Mexican businesspeople to discuss the possibility of a second grand prix in Mexico, most likely in Cancun.

READ MORE IN THE PIT LANE: Wolff set to become a billionaire

What about the Middle East?

Qatar, who has long held ambitions to host a race may also be exercising its influence behind the scenes. Liberty is in talks with the Volkswagen Group aiming to get the company back into F1 either as an engine supplier or team owner.

As a sweetener, Liberty may agree to a race in Qatar to satisfy Volkswagen’s second-largest shareholder QIA the sovereign wealth fund of Qatar!

We could see a one-off Qatar GP become a fixture in the near future

Liberty has made a lot of noise about the advantages of some of the new circuits, with Ross Brawn commenting of the Saudi circuit, “We no longer want mickey mouse circuits, we don’t want those old classic street circuits with 90 degree turns we want fast sweeping circuits, circuits which are going to challenge the drivers – and they are going to love this one – and we want circuits where we can have wheel to wheel racing.”

What about the most important but all too often overlooked stakeholder – the fans?

In a survey carried out in 2020 on Formula 1’s Fan Voice website, only 10 per cent agreed with the notion that there should be more races. Of those surveyed 51% think the current number of races is “about right” while 39 per cent feel there should be fewer races in a season.

The events fans are most looking forward to in 2021 were, the Netherlands, Britain, Italy, and Monaco.

Time will tell where F1 ends up racing, but it may not be in countries or at circuits that have the fans blessing.

Garry Sloan is an author, columnist, and podcaster more details at garrysloan.com

Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In the Pit Lane – Lando Norris bucks the trend

A surprise pay driver

Lando Norris continues his impressive season with a podium in Austria leaving his expensive teammate Daniel Ricciardo scratching his head. Lando owes much of his success to his father’s deep pockets.

F1 has a trio of billionaire fathers backing their sons to various degrees of success namely Lawrence Stroll, Michael Latifi, and Dimitry Mazepin.

Stroll and Mazepin seniors have both backed their sons’ Formula 1 careers so far

The debate on a father paying for a race seat goes along the lines of is it fair or right that the sons concerned get the drive regardless of talent compared to other drivers who get a drive and financial backing due to talent.

Well, Lando Norris may be bucking the trend. Lando is a pay driver, a fact not often publicised, but his millionaire father has coughed up $44m to date to ensure Jnr’s racing career.

The good news for Norris and McLaren is the kid has the talent, witnessed by multiple karting championships, a F3 championship, and now top ten finishes in F1.

Who is Norris senior?

His dad Adam Norris made his fortune as a founder of stockbroking firm Hargreaves Landsdown and is believed to be sitting on a $200m cash pile.

Even by F1 standards, Norris Snr is a rich man

He first got the chequebook out at McLaren through his Horatio Investments fund back in 2017 to secure Lando’s role as test driver. Lando was upgraded to reserve driver in 2018 before landing the coveted race seat in 2019 in a three-year deal costing Snr $12m a year.

A true win-win

The difference from say Latifi is McLaren knew Lando was potentially the real deal, so it was a win-win for the team.

This year it was announced Lando had signed a three-year deal but not before Norris Snr had got the chequebook out again this time paying $5m a year.

2021 Austrian GP
Norris has done his talking out on-track and showed why he’s a special talent

Norris Snr knew McLaren had the upper hand as they could provide a competitive car unlike other teams who would welcome his cash and so he went in for a penny in for $59m. McLaren again scored a win-win with Norris agreeing to pay the cash-strapped team the three-year cost of $15m upfront.

Lando has always rather naively played down his father’s cash stating, “I don’t really like to talk about it, but compared to Lance Stroll my father is not nearly as wealthy.” For the Norris family, it’s worth spending big bucks matching the talent to a competitive team and avoiding the scenario that is Williams or Haas.

Uncertain future for other teams

At Williams, Nicholas Latifi brings a staggering $30m to the team in the shape of both his father’s money and sponsorship from Royal Bank of Canada and coffee giant Lavazza. Williams also tap another billionaire, Sylvan Adams who pays $6-7m for his protégé Roy Nissany’s role as test driver.

It does beg the question if Russell goes to Mercedes, will Adams write a bigger cheque to secure the race seat for Nissany in 2022?

At Haas, Mazepin Snr is backing Nikita by providing Gene Haas with $12m of sponsorship and a ‘contribution’ of $8m in what may be a ‘try before you buy’ deal.

For Mick Schumacher, the German communications company 1&1 pay $12m in sponsorship but with the caveat, Mick gets the drive.

The Schumacher family stump up another $6m.

The reality is, Haas bank $18m and Mick gets to trail around at the back of the grid!

The last council estate F1 driver

At the other end of the grid, we have Sir Lewis Hamilton resigning for Mercedes-AMG wearing his ‘loyalty’ t-shirt to match his ‘loyalty’ tattoo. Lewis did not have a rich father, but Anthony Hamilton held down three jobs and spent every penny he had on his son’s racing career.

Sir Lewis will remain at Mercedes until at least 2023.

So, the F1 world was surprised at the very public falling out in 2010 when Lewis sacked Hamilton Snr as his manager.

Questions were asked of Lewis’s loyalty but as with most events F1-related it was about money.

Lewis lost the bulk of his newly earned millions when Anthony got on the wrong end of a land deal in the Caribbean Island of Grenada waving goodbye to $20m of his son’s money – ouch!

So, the debate will continue on pay drivers which also include drivers who bring sponsorship money to the table, but the crucial difference is for these drivers’ talent was paramount in securing the funding.

Garry Sloan is an author, columnist, and podcaster more details at garrysloan.com

Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In the Pit Lane – Nicolas Todt plays the long game

The ‘who is going where’ silly season starts early, with all sorts of speculation on F1’s game of musical chairs.

Heavily involved are the driver’s management teams and when it comes to driver management the power brokers that come to mind, are the usual suspects of Toto Wolff and Helmet Marko. In fact, one of the most powerful individuals behind the scenes is the ambitious and well-connected Nicolas Todt.

Todt Jr.’s Career

Nicolas, of course, must live with being the son of former Ferrari team principal and current FIA president Jean Todt, and all the resulting accusations of nepotism. Nicolas Todt is a serious player, managing the careers of the likes of Daniil Kvyat and Charles Leclerc through his All Road Management company, which he founded in 2003.

Todt has managed Formula 1 drivers, including Ferrari driver Charles Leclerc

His journey started when Felipe Massa asked him to become his manager and so began Todt’s rise to power. Todt’s strategy was clear, find the drivers young before they are signed up and to this end, he bought into Birel ART a big player in the karting world.

Todt explains, “I look for the best talents and need to sign them young because it’s a competitive landscape, to say the least. If they’re already in F2 and winning races, they’ll already be in discussions with F1 teams and it won’t make sense to sign with someone like me. So, I try to follow karting very closely because that’s the grassroots, where 99% of the best drivers start.”

The Present and the Future

Todt first met Charles Leclerc when he was a 13-year-old kart racer and told Corriere della Sera, “I talk to the best people in the industry and form an opinion. In karts they told me that Charles was special.”

Hoping history will repeat itself in 2018 he signed another 13-year-old, Italian driver, Gabriele Mini.

Mini could be a Formula 1 star within the next ten years. Image: ART

The signs are looking good, with Mini now competing in the lower formulae and last year he took the first three pole positions and a race win in the Italian F4 Championship. Todt like with Leclerc beforehand will have had to finance the youngster, something that does not come cheap.

READ MORE IN THE PIT LANE: WOLFF SET TO BECOME A BILLIONAIRE

Lower Formulae = Big money

Toto Wolff has been the latest to criticise the absurd wealth required to compete in the lower Formulae

Toto Wolff has recently questioned the whole system saying, “What I think we can do is make sure that grassroots racing becomes more affordable, so kids that haven’t got any financial background can actually be successful in the junior formulas.

“All the big Formula 1 teams [need to be] able to identify those kids, rather than making it so expensive that a good go-karting season costs €250,000, an F4 season €500,000, and an F3 season €1 million.

“That is totally absurd, [and] needs to stop, because we want to have access. I think we need to give access to kids that are interested in go-karting, the opportunity to race for much more affordable budgets.”

READ MORE IN THE PIT LANE: THE UAE FLASH THE CASH

For the numbers to add up for Todt, he needs a backed driver to make it into F1 as Leclerc did, and on an estimated 2021 salary of €10m, Todt will pocket €2m.

You can imagine Todt disagreeing with Leclerc when he told il Giornale last week, “I wouldn’t leave Ferrari even if he was offered double the salary.”

Before driver management

Until the end of 2018, Todt was the co-owner of the motorsport team ART Grand Prix, which he founded with current Sauber team principal Frederic Vasseur in 2004. 

Todt has excellent connections with Alfa Romeo boss Fred Vasseur

Todt confirmed in 2019 that he would have a role in Mick Schumacher’s career telling Sky Sports, “My job for Mick is to advise the family to guide them and give them some advice what I think they could do.” Adding it was his job to protect him.

Nicolas Todt acknowledged his father’s influence in an interview with Forbes Monaco back in 2019 he said, “Having a Dad like this for sure helped me to enter this industry because I was able to follow motorsport closely from a young age and develop a very good network.”

An understatement to say the least!

When it comes to Todt Snr, it would be fair to say he is not without his critics, but it says a lot about him as a human being that he still regularly visits Michael Schumacher.

Last week Todt told Corriere della Sera, “I see Michael at least twice a month. I never leave him alone. Corinna, the family: we’ve had so many experiences together. The beauty of what we have experienced is part of us and it goes on.”

A true friend can be measured in not only the good times but more importantly the bad times.

The last word goes to Nicolas who once said, “You can be a great manager but if you aren’t working with the right driver you will never make it. You can’t turn a donkey into a racehorse!”

Garry Sloan is an author, columnist, and podcaster more details at garrysloan.com

Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In the Pit Lane – The Battle for Formula 1’s TV Rights Intensifies

The recently published Nielsen Sports’ report found interest in F1 was driven by younger audiences galvanised by F1’s social media, Netflix’s drive to survive, and esports.

The research found 77% of the growth came from the 16 to 35 age group, which is equivalent to 46% of F1’s fandom in 2021. Nielson Sports also predict a billion people will be interested in F1 by April 2022.

How Formula 1 sees itself

Stefano Domenicali told investors back in February that, “We saw only a marginal reduction in TV audiences, caused by multiple reasons but clearly driven by a shortened and limited geographical calendar compared to 2019, but something every major sport has experienced in 2020.

“We are proud of what we delivered in 2020 and know we have an incredibly strong fan base and audience platform to grow in the coming years.”

So as Liberty Media continues to pursue the promised land of digital streaming, the giants of Amazon, Apple, and Disney may have a serious competitor in DAZN the global sports subscription service and media company.

DAZN has just launched a 24/7 dedicated Spanish language channel DAZN F1 in Spain after reaching an agreement with Telefonica’s Moviestar+ to broadcast races until the start of 2024. The channel will have veteran Spanish F1 commentator Antonio Lobato and ex-F1 driver, Pedro de la Rosa, heading up the coverage.

READ MORE: WHY FORMULA 1 NEEDS TO BE FREE TO AIR

Who are DAZN?

DAZN is already covering most sports and is involved in motorsport covering Indycar, Formula E, Extreme E, the Dakar Rally, the World Endurance Championship, and the World Touring car series.

Extreme E is just one series that is already covered by DAZN. Image: Totally EV

It’s believed that DAZN have their sights on 20 Spanish-speaking countries and the next step will include a Portuguese F1 channel to cover 11 Portuguese-speaking countries.

In February, DAZN announced its sponsorship of the Scuderia AlphaTauri team for the 2021 season and signed Yuki Tsunoda as a brand ambassador in Japan. DAZN means business and in March 2020 they announced the expansion into 200 countries worldwide with its boxing coverage spearheading the growth.

READ MORE: IN THE PIT LANE – HOW FORMULA 1’S INCREDIBLE LOGISTICS WORK

How DAZN navigated the pandemic

When Covid-19 struck, DAZN suffered the loss of content and an exodus of subscribers from its service which had ironically marketed its cancel anytime policy as a selling point to fans. The service did launch in December 2020 with an aggressive starting price point of £1.99 for its boxing which will have had the likes of Sky Sports worried.

In April, The Athletic website reported boxing promoter Eddie Hearn had struck a record-breaking nine-figure deal with DAZN, ending an exclusive Sky Sports partnership.

Eddie Hearn has moved from Sky to DAZN in what could shake-up the boxing world. Image: TalkSport

DAZN is ambitious and is not hanging around, with the company securing the rights to show seven exclusive Italian Serie A football matches per week in a deal worth $987m per season.

Even with these sums of money involved, DAZN co-chief executive James Rushton told SportBusiness that DAZN would make money on the deal stating, “DAZN is a high-growth tech business but the most important thing for me is doing deals on solid and sensible unit economics.

READ MORE: IN THE PIT LANE – THE UAE FLASH THE CASH

“I’m not interested in vanity projects or making big splashes in the market that don’t make sense. We will make money on Serie A in Italy. No doubt about it.”

Rushton claims the service will be a ‘fans-first model’ by remaining ‘accessible’’ and ‘value priced’.

Not words the F1 fan who watches their sport on free-to-air TV with neither the inclination nor money to watch behind a paywall will want to hear.

Streaming killing the TV star

Rushton believes the move away from TV is inevitable telling Forbes, “There is a seminal change happening in the balance of power between linear TV and [Over the Top (OTT) providers] where rightsholders recognize the future of their sport is with platforms like DAZN,” he says. “The tipping point has happened.”

Streaming giants such as Amazon Prime Video are here to stay.

DAZN is looking to that new younger audience Liberty is cultivating hoping to attract them with flexible contracts, cheaper subscriptions, and the ability to watch on the device of their choice.

Like the other players in the market, DAZN, need to invest upfront often incurring losses witnessed by a 76% increase in subscribers pre the pandemic but a resulting $1.4 billion loss.

DAZN may not have the financial firepower of the likes of Amazon, Disney, and Apple, but it does have deep pockets as it is owned by the multinational industrial group Access Industries best known for its ownership of the Warner Music Group.

READ MORE: IN THE PIT LANE – WOLFF SET TO BECOME A BILLIONAIRE

Who else is involved?

As is often the case in F1 a billionaire is involved, step forward Ukraine-born but London-based Sir Leonard Blavatnik worth $32bn making him Britain richest man ahead of INEOS boss and Mercedes team shareholder Sir James Ratcliffe at $17bn.

Blavatnik has an estimated fortune in excess of £10bn ($13.9bn)

Blavatnick gained control of the DAZN group back in 2014, when Access Industries increased its stake in the company from 42.5% to 77%. Like fellow billionaire Dmitry Mazepin, Blavatnick made his first fortune during the ‘privatisation’ of Russian state assets selling his stake in Russian oil company TNK-BP for $7 billion back in 2013.

Blavatnick, as the 46th richest man on the planet, has all the billionaire playthings, owning the obligatory $80m 242 ft superyacht Odessa 11 and no less than 4 private jets including a $150m Boeing 767.

He is also a philanthropist having pledged over $700m mostly to universities, including Oxford, Stanford, and Harvard. Time will tell who will win the battle for F1’s coverage but no doubt as always the case in F1, cash will be king.

Garry Sloan is the author of “In the pit lane – F1 exposed” details at inthepitlane.com
Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In the Pit Lane – How Formula 1’s Incredible Logistics Work

The season continues with Imola providing a spectacle, but F1 remains vulnerable to the effects Covid-19 may inflict.

Stefano Domenicali told Auto Motor und Sport, “That while 2020 was all about surviving the sudden crisis, F1 must now navigate a world with highly complex new rules.

“The situation this year is much more complicated than in 2020.

“Last year, everyone first had to find a way through the pandemic and learn. Now every country has its own rules and conditions. That is why we have to decide from day to day and remain flexible in case something changes at the last moment.”

What issues could be on the way?

Problems are already surfacing with the anticipated cancellation of the Canadian GP, as the promoters cannot make the sums add up without spectators.

Also, Canada’s strict COVID-19 travel restrictions requiring a 14-day quarantine upon entering the country are not feasible for the F1 travelling circus. Canada would have to accept approximately 2000 F1 personnel arriving from Azerbaijan and wanting to leave again 7 days later.

Formula 1 hasn’t raced in Canada since 2019 and might not do so again until 2022.

Potential problems are raising their head over the Belgium race at the Spa-Francorchamps circuit too.

Commercial director of the circuit Stijn de Boever toldthe Algemeen Dagblad newspaper,

“We are organising everything for a normal grand prix, but it looks difficult. Really very difficult.”

Last year, Spa hosted a ‘ghost race’ without spectators and is unlikely to do so again with Boever stating the situation in 2020 “was really not great”.

How Formula 1 will navigate this crisis

Domenicali hit the nail on the head when he said flexibility was required for last-minute changes and that’s where F1’s logistic partner DHL will be critical in ensuring F1 continues to go racing in 2021.

DHL has 16 years experience of moving cars, tyres, fuel, team equipment, hospitality, and broadcast equipment and have recently renewed their contract with Liberty Media.

1,400 tonnes will travel 120,000 km in 2021, which is enough to circle the world three times over.

DHL are very experienced when it comes to F1’s logistics, but even they will struggle

2021 sees 23 destinations on five continents, the largest number in the sport’s history which includes the logistical nightmare of three triple headers.

The first triple-header takes place in Europe, with Belgium, the Netherlands, and Italy.

READ MORE F1: FORMULA 1 TO RACE IN MIAMI FOR 2022

The second triple header to Russia, Singapore, and Japan is logistically even more challenging because significantly greater distances must be covered.

To add to the task the third tripleheader to the US, Mexico, and Brazil involves a fair old mileage.

Why the triple headers are so tough

Paul Fowler, Global Motorsport Head, DHL Global Forwarding comments, “An intercontinental triple header is when logistics are really put to the test. Even during the race, before the checkered flag is waved, the DHL team start dismantling and stowing equipment.”

Adding to the headache is the new races at Zandvoort and in particular Saudi Arabia, DHL personnel have to travel months ahead to check out the unfamiliar surroundings.

Zandvoort will hopefully host the first Dutch GP since 1985 this year

It cannot be overstated the importance of DHL’s personnel using all their experience to make sure the season can be run under such difficult circumstances.

The company will have to be able to react to fast-moving situations that may involve substitute venues coming on stream with very tight time frames.

To this end, decisions on freight shipments can be made within 12 hours and DHL have containers positions within a two-week transportation window to any circuit in the world.

READ MORE IN THE PIT LANE: Is Lawrence Stroll Cash-strapped?

Staff at race weekends are in a logistics biosphere, working in smaller teams with cargo being disinfected in the freight zone before being handed over to the teams.

DHL is committed to F1 with the new deal understood to be non-cash with DHL providing all the logistics for ‘free’ in return for trackside advertising and prominent branding in the pit lane.

Liberty Media of course get their pound of flesh by invoicing the teams for the freight.

DHL and Formula 1’s partnership

The association with F1 is an important element in DHL’s marketing as Arjan Sissing, Global Head of Brand Marketing at DHL explains, “The partnership enables us to develop specialised logistics solutions for other customers in the automotive industry, which helps also growing our core business”.

Ferrari have been partnered with UPS for a number of years

DHL’s competitors have been involved in F1 with FedEx sponsoring several teams, Benetton (1996-1999), Ferrari (1999-2001), Williams F1 (2002-2006), and McLaren (2007-2008).

Also in the frame is UPS, who has been a partner to the Ferrari F1 team since 2013.

DHL’s biggest threat came from Dubai-based DP World, which started as a port operator, but has grown into a full-service logistics company.

DP World entered the fray back in 2020 ahead of F1’s 2021 tender when they became Global Logistics Partner and Title Partner of the Renault F1 team.

READ MORE IN THE PIT LANE – THE UAE FLASH THE CASH

Echoing DHL’s sentiments Sultan Ahmed Bin Sulayem, Group Chairman and Chief Executive Officer, DP World, said: “One of our strategic objectives has been to develop innovative logistics solutions for the automotive sector. This partnership is a first step in the exploration of ways to make the global automotive supply chain more efficient by lowering costs, increasing speed and transparency, and mitigating the environmental impact”.

After realising DHL was to continue as the logistic partner, the company exited F1 and now concentrates on its cricket and golf sponsorships.

As the world hopefully emerges from the pandemic, F1 and its fans can only hope that DHL continues to keep the show on the road.

Garry Sloan is the author of “In the pit lane – F1 exposed” details at inthepitlane.com
Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In the Pit Lane – Is Lawrence Stroll cash-strapped?

News broke last month that Lawrence Stroll was selling his Canadian racetrack Le Circuit Mont-Tremblant. Stroll has owned the circuit, which hosted the Canadian GP in 1968 and 1970, since 2000.

He has invested in the 2.65-mile circuit, including a new timing tower and enhanced medical facilities, valuing the venue at over $10m.

The sale comes on the back of selling his South Florida penthouse, previously owned by Oprah Winfrey, for $20m.

Citing a conflict of interest with his Aston Martin shareholding, he is in the process of selling his $220m collection of vintage Ferraris with the jewel in the crown being the $25m ex-Mark Donohue/Roger Penske Ferrari 512m.

In August 2020, several credible sources in the yachting world said Stroll’s $200m superyacht Faith had been sold to no other than one Michael Latifi!

So, is Lawrence Stroll cash-strapped?

Well, an individual’s net worth can indeed be tied up in assets and not cash, as pleaded by ex-F1 team owner billionaire Sir Richard Branson. Branson faced criticism when at the start of the pandemic, he asked for taxpayer’s help for his Virgin Atlantic airline.

Branson is obviously wealthy, but his wealth was tied up in assets rather than the bank

He responded with, “I’ve seen lots of comments about my net worth—but that is calculated on the value of Virgin businesses around the world before this crisis, not sitting as cash in a bank account ready to withdraw.”

Branson has a net worth of $4.2bn with $600m in cash and investments outside his Virgin brands.

READ MORE IN THE PIT LANE: STROLL SEALS THE BIG DEAL AGAIN

In Stroll’s case, there are substantial assets with include homes in Geneva, London, Quebec, and the Caribbean island of Mustique. Stroll amassed his fortune selling his shareholdings namely Pierre Cardin, Polo Ralph Lauren, Tommy Hilfiger, and the jewel in the crown, Michael Kors, leaving him with substantial resources.

His net worth today stands at $3.2bn, up $1.4 billion since 2012, so the selling of some of his physical assets is probably not because he needs the money.

But it’s not only Stroll that owns Aston Martin

Stroll and the word consortium go hand in hand and like Branson, he is an expert in using other people’s money. Branson’s F1 team was funded by Russian sports car manufacturer Marussia and his Formula E team by Chinese wind power company Envision Energy, and both deals substantially reduced his financial exposure.

Although Stroll’s Yew Tree consortium ploughed £182m into Aston Martin an additional £500m was raised by existing investors including fellow billionaire Juan Abello. This subsequently was not sufficient, and last October Stroll refinanced the company with a £1.3bn package.

This has left Stroll with $1bn of debt sitting on the balance sheet, and the Times newspaper estimates an average interest rate of an eye-watering 16%.

READ MORE IN THE PIT LANE – THE UAE FLASH THE CASH

Facing the huge challenge of both the F1 team, and in particular the car company, Stroll is in all probability selling his ‘toys’ so he can remain totally focused with no external distractions. For now, gone will be the Partying witnessed by his lavish 60th birthday party at Villa Lysis in Capri with 250 guests back in 2019.

A distant memory will be last year’s wedding to long-term girlfriend Raquel Diniz, in which he took over the whole island of Mustique for 3 days. 300 guests were flown in with the select few staying at his $100m house ironically called the Great House!

READ MORE IN THE PIT LANE: ARE THE DAYS OF BIG MONEY DRIVER CONTRACTS HISTORY?

Now Stroll realises that his reputation and legacy rest on the success of his F1 team and the Aston Martin car company, both require his absolute attention.

He may have the Midas touch, but helping him to focus will no doubt be the memories of his $100m loss he and business partner Silas Chou suffered in their investment in the Asprey jewellery business 20 years ago.

Garry Sloan is the author of “In the pit lane – F1 exposed” details at inthepitlane.com
Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In the Pit Lane – Sponsorship Revenue in Europe Takes €7 Billion Nosedive

Sports sponsorship has taken a pounding

There has been a 23% contraction in the European sponsorship market in the past year due to the COVID-19 pandemic.

New research from the European Sponsorship Association and Nielsen Sport found the total value of Europe’s sponsorship market shrunk from a record €30.69bn in 2019 to €23.63bn in 2020 – its lowest point since 2010.

The world economy has been thrown into chaos and uncertainty. Sport has been no exception.

Analysis of the figures indicates the sports sector fared better with a fall of 9%.

F1 has been bucking the trend, with some major deals recently struck and is emerging in good shape all things considered.

‘Sponsorship’ is old hat with the new buzz words ‘commercial partners’ taking centre stage.

READ MORE IN THE PIT LANE: BRILLIANT RACING ON-TRACK MASKS TROUBLES OFF IT

Williams have been leading the charge

Williams is particularly proactive in attempting to change the narrative offering to add value through technical expertise.

Williams are being the most proactive in the modern sponsorship race

Tim Hunt, Williams Racing’s Commercial and Marketing Director told SportsBusiness, “In Formula 1, it used to be that the two choices you had when sponsoring a team were ‘how big do you want your sticker on the car?’ and ‘do you want Chablis or Chardonnay in hospitality.

“Thank God, those days are behind us. Those things are still factors and will always be part of the proposition, but the reality is that in today’s market we need to look at, how do we actually fundamentally impact a partner business’s P&L?

“It’s the reality behind the perceptions of a Formula 1 team as being a high-performance, well-oiled machine. It’s a commercial manifestation of the cliché of having 18 guys deliver a pitstop in under two seconds, which is arguably the definition of teamwork, and it is the tip of the iceberg in terms of our high-performance culture that we are now looking to apply with our partners.”

READ MORE IN THE PIT LANE: WHO REALLY OWNS WILLIAMS F1?

To highlight an example Williams used, their thermodynamics expertise to assist sponsor Unilever on two projects; changing the process they produced soap powder for the Rexona brand and making the way they make ice cream more efficient, both of which delivered considerable bottom-line benefits to Unilever.

As hunt says, “A simple manifestation from my side is that our sales deck used to say, “join our team”, where it now says, “how can we help?”

Hunt summarises the post-COVID-19 sponsorship landscape by saying: “They (partners) are not going to spend the dollars they used to on eyeballs or on brand awareness and a logo on the car. They’re going to have to grow their way out of what we’ve all been through, and I don’t think there’s any better way to position our sponsorship proposition right now than finding out how we can help our partners do that.”

Step forward, tech giants

On the other side of the coin is what a sponsor can bring to the team in particular with technical expertise, step forward the software and technology companies.

McLaren have partnered with tech giants DELL

Nielsen Sports head of rights holders Tom McCormack highlighted a “growth in the number of digital service providers joining F1’s sponsorship landscape.

“We expect to see more entrants from this sector as the 2021 season progresses.”

Well, he is not wrong, take a look at deals worth over $2m:

Mercedes – Epson $5m, Crowdstrike $4m, AMD $4m, TIBCO $4m, Pure Storage $3m, and Hewlett Packard $2m.

Red Bull – Oracle $30m, Citrix $4m, and Hewlett Packard $2m.

Ferrari – Kaspersky $4m.

McLaren – Dell $15m, Dark Trace $10m, Arrow Electrics $4m, Cisco $4m, Webex $4m, and Splunk $2m.

Aston Martin – Cognizant $15m, NetApp $2m, and Sentonel One $2m.

Alpine – Hewlett Packard $3m, 3D Systems $3m, and Microsoft $2m.

Alfa Romeo – Zadara $4m, Acer $2m, Additive Industries $2m, and Mitsubishi Electric $2m.

Haas – Ionos $2m.

Williams – Versa Integrity $4m and Acronis $3m.

READ MORE IN THE PIT LANE: AMAZON PRIME IN POLE POSITION TO TAKEOVER F1 TV RIGHTS

Interestingly, some deals consist of cash and non-cash with the latter equating to the value of goods and services supplied to the team. A good example is Red Bull’s $30m deal with Oracle which includes $10m in non-cash and McLaren’s $15m deal with Dell that includes $10m in non-cash.

So, it is good news that the big-spending and deep-pocketed technology companies have committed $147m in sponsorship sorry in commercial partnerships.

It’s not just the tech companies, though…

The F1 grid still relies upon the Car Manufacturers Renault, Honda, Ferrari, Mercedes, Alfa Romeo, and Aston Martin who pump in over a billion dollars.

In F1, money talks and the ‘dirty’ industries of Oil and Tobacco still contribute huge sums into F1’s coffers.

Mercedes’ Petronas and Ferrari’s Mission Winnow are two of the biggest sponsorship deals currently in Formula 1

The oil companies stump up $224m – Petronas $100m, Shell $42m, Exxon Mobile $37m, Castrol/BP $22m, PKN Orlen $20m, and Gulf Oil $3m.

Tobacco’s Philip Morris International and BAT cough up (excuse the pun) $130m.

Just like the good (bad) old days!

On a footnote: Williams have recently announced a new sponsor damn it commercial partner in the shape of food company Honibe, owned by Island Abbey Foods, owned by Dorilton Capital, owned by ???

Garry Sloan is the author of “In the pit lane – F1 exposed” details at inthepitlane.com
Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

In the Pit Lane – Brilliant Racing On-Track Masks Troubles off it

Liberty Media may well have had a rebrand introducing a new logo and F1 theme written by Hollywood composer Bryan Tyler, but it cannot gloss over the hard financial reality.

Aftermath of a Pandemic

In 2020, annual revenues fell 44 percent year on year to $1.1billion, resulting in an operating loss of $386 million. The group took big hits on its other businesses, with the Atlanta Braves baseball team and concert promoter Live Nation also posting losses.

There hasn’t been an Australian Grand Prix since March 2019

Not helping is Liberty’s $3.7 billion of debt sitting on its balance sheet.

As a third wave of Covid-19 spreads throughout Europe, the upcoming Imola race must be a concern and the news that international spectators will not be allowed to attend the Olympic Games held this summer in Japan must have left Liberty worried.

READ MORE IN THE PIT LANE: WHO REALLY OWNS WILLIAMS F1?

Putting a brave face on the development, Liberty president Greg Maffei told Wall Street analysts, “I think one of the things about being part of the Liberty group is we have the ability to hopefully look ahead and be thoughtful with the benefit of our operating companies.”

The problem is Liberty is banking literally on spectators returning to races and race promoter fees returning to ‘normal’ not to mention a full race calendar.

Backtracking Maffei claimed Liberty were not in the crystal ball business and commented, “We’re not here to make a forecast, in part because some of this is still up in the air, floating around. It’ll definitely be impacted, the amounts to which we’ll see.”

Liberty may need to raise cash

CEO Stefano Domenicali told Servus TV, “There is great interest in Formula 1 from the financial market. Many investors are knocking on our door. That’s a good sign.” Liberty may turn to the world’s sovereign wealth funds like it did last April, when Saudi Arabia’s sovereign wealth fund took a 5.7% stake in Liberty’s Live Nation business.

Saudi Arabia are taking an increasing interest in Formula 1

The world sports empires, which have a combined value in excess of $100 billion, are attractive to the wealth funds. No more so than Liberty which holds the No.1 position with a valuation of $13 billion (this includes their stakes in Drone Racing League and Ball Arena).

The top 10 sovereign wealth funds globally include China which runs four separate funds, Singapore, Kuwait, Qatar, Saudi Arabia, and Abu Dhabi.

READ MORE: IN THE PIT LANE – THE UAE FLASH THE CASH

It is no coincidence these wealth funds host races with Kuwait and Qatar waiting in the wings. Let us not forget the wealth funds out of the top 10, Bahrain and the United Arab Emirates, who have interests in F1.

The wealth funds have trillions of dollars looking for a home, so when China and the Middle Eastern countries face human rights criticism, but have the cash, you can see Liberty’s dilemma.

It’s not just Asian countries, though

Bucking the trend is the world’s largest sovereign wealth fund although it is actually a government pension fund. Step forward Norway, with its 1.3 trillion-dollar fund, which owns approximately 1.5% of all equities in the world.

Their portfolio includes $30 billion invested in sports-related companies.

Formula 1 has had a troubled history with Norway, just ask Bernie Ecclestone!

The Norwegian’s originally invested in F1 when CVC capital partners owned the business paying out $300 million for a 4% stake back in 2012. It was not a harmonious relationship and the Norwegian’s were incensed when the then CEO Bernie Ecclestone faced a trial for bribery.

Yngve Slyngstad, Chief Executive of the fund, launched an attack on Ecclestone, telling Norwegian newspaper Dagens Naeringsliv, he wished Mr Ecclestone had been “formally suspended” from his role as executive ahead of his forthcoming trial for bribery.

READ MORE IN THE PIT LANE: AMAZON PRIME IN POLE POSITION TO TAKEOVER F1 TV RIGHTS

“We are of course not happy with the situation that has arisen. What’s especially unfortunate are the corruption charges.”

The Norwegians remained invested with F1, but now seem to have had a change of heart and last month reduced their holdings by 20% now holding 1.27% of F1 worth about £155m.

So, as the world grapples with the ongoing pandemic F1 may need to access the resources of the sovereign wealth funds aligning them even closer with some questionable regimes.

On a footnote, Liberty’s owner John Malone may decide to be an individual wealth fund having seen his fortune rise during 2020 from $5.8 billion to $8.1billion!

Garry Sloan is the author of “In the pit lane – F1 exposed” details at inthepitlane.com
Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

Grid Talk Podcast

If you want more reaction to the Bahrain Grand Prix, Grid Talk has you covered! George Howson hosted, Phil Mathew, Owain Medford and Steve Jackson in Grid Talk’s Bahrain GP review. Both audio and video versions of the show are available below!

In the Pit Lane: Who Really owns Williams F1?

The end of an era

Back in August 2020, the F1 world learned that the historic and much-loved Williams team had been sold to American private investment company Dorilton Capital for £135m, thus ending Sir Frank Williams 43 years at the helm.

Williams had been struggling for some time, the pandemic and loss of title sponsor ROKiT were according to Claire Williams, “The final nails in our coffin.”

Williams losing their title sponsor was the straw which broke the camel’s back

All the PR noise at the time focused on Dorilton’s long-term strategy and Matthew Savage, founder and chairman, claimed his company as the “ideal partner” for Williams.

Dorilton faced competition from four ‘interested and legitimate parties’ according to Claire Williams.

READ MORE IN THE PIT LANE: AMAZON PRIME IN POLE POSITION TO TAKEOVER F1 TV RIGHTS

Much was made at the time about the value placed on William’s heritage with Claire commenting, “They had a huge amount of respect for the heritage and the legacy of Williams, a huge respect for what my dad’s achieved, and they didn’t want to rip that up.” 

This has led to speculation that the new owner of Williams is an F1 and Williams fan, and not just a ‘money’ person(s).

Who is behind Dorilton?

We know from Dorilton’s social media and websites that it invests on behalf of a single-family.

Fast forward to the upcoming start to the 2021 season, and we are still no clearer to finding out the identity of the ultimate beneficial owner (UBO) of Williams F1.

Is Bernie the man behind the new Williams ownership?

We know the purchase was through Dorilton subsidiary BCE limited which led to wild speculation it was one Bernard Charles Ecclestone, but this has been generally discredited, although with Ecclestone, never say never!

Names in the frame include David and James Mathews, who were involved in the sale with their Eden Rock Group, but now other potential owners are being mentioned in the paddock.

READ MORE IN THE PIT LANE: THE UAE FLASH THE CASH

Was Lo the highest bidder?

According to Will Nicoll, writing for Forbes magazine, the secretive Hong Kong billionaire Calvin F.Lo CEO of R.E. Lee International and R.E.Capital that manages over $8bn in assets is potentially the new owner. Lo goes to extraordinary lengths to protect his privacy, even attempting to stop the publication of photographs of him.

Various Chinese language websites last year named Lo as someone who was deciding on purchasing, “The British Formula 1 team known to be experiencing significant financial difficulties and of which this billionaire is known to support.”

READ MORE IN THE PIT LANE – WILL ALFA ROMEO AND SAUBER’S RELATIONSHIP CONTINUE?

Nicoll contacted R.E. Lee International and lawyers representing Lo declared,

“Mr. Lo is well known for his interest in Formula 1, and for the friendship he enjoys with the partner of a director of the FIA [as documented via social media channels]. At this time, we, on behalf of both R.E. Lee International and Mr. Lo, can neither confirm nor deny involvement in this acquisition, nor make any further comment at this time.”

READ MORE IN THE PIT LANE: F1 SEEING DOLLAR SIGNS

Lo’s lawyer continued, “In addition to this, we are not qualified to speculate upon the identity of the unnamed Hong Kong national who media outlets report to be purchasing [the] Williams Company.”

R.E. Lee’s reference to Lo’s friendship with a “director of the FIA” is a reference to social media posts that shows Lo with actress Michelle Yeoh. Yeoh, who is perhaps most famous in the U.S. for her role in the film Crazy Rich Asians, is the partner of FIA president Jean Todt. 

Who else could it be?

So, if it is not Ecclestone, the Mathews family or Calvin F Lo then who?

Well, it is rumoured that the UBO of Dorilton is an American tech billionaire with a passion for well the Williams team.

Could Jeff Bezos be an unlikely candidate for the man behind Dorliton

The list of tech billionaires is a long one, and all the parties privy to the individual’s identity remain tight-lipped no doubt gagged by non-disclosure agreements and the threat of a billionaire’s legal attack dogs!

Dorilton’s Chief legal officer Stephanie Dattilo is also a formidable individual who no doubt reminds everyone to keep schtum.

READ MORE IN THE PIT LANE – FORMULA 1’S CONFLICT OF INTERESTS

Possible names include Steven Ballmer ex-CEO of Microsoft with a $74 billion fortune who has already invested in a sports franchise with his $2 billion purchase of the Los Angeles Clippers back in 2014

Then there is Ernest Garcia 111 the CEO of Carvana the online used car dealer which posted sales of $5.5 billion in 2020 earning the company the nickname “Amazon of Auto”. 

READ MORE: IN THE PIT LANE – SAFETY DOESN’T HAPPEN BY ACCIDENT

Carvana is a sponsor of the National Hockey League’s Carolina Hurricanes, United Soccer League Championship’s Phoenix Rising Football Club since 2018, and IndyCar Series driver Jimmie Johnson since 2021.

Lastly, let us not forget the uber-wealthy Jeff Bezos of Amazon, who as pointed out last week, is a serious petrolhead.

Whoever emerges from behind the curtain one thing is for sure they have deep pockets which can only be a good thing for the Williams team and its loyal fans.

It is interesting to note that this season’s car has fewer sponsors logos and more of the Williams branding indicating the new owner’s emphasis on the team and the potential value as a ‘franchise’.

Jost Capito CEO of Williams points out, “If you position the brand right and work on the brand, then you become attractive.” 

Garry Sloan is the author of “In the pit lane – F1 exposed” details at inthepitlane.com
Copyright ©2021 Garry Sloan

[Note: The opinions expressed on this website are those of the author’s and do not necessarily reflect the opinions of the editors and/or publishers.]

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