FIA challenging FOM once again.
Discussion
F1: FIA president Mohammed Ben Sulayem wants more teams and fewer races -
https://www.bbc.co.uk/sport/formula1/67051341
He's getting stuck in.
https://www.bbc.co.uk/sport/formula1/67051341
article said:
Formula 1 should have more teams and fewer races, according to FIA president Mohammed Ben Sulayem.......
......
...."Saying no to a team which has been approved by the FIA - it's very hard," Ben Sulayem told Reuters.
He goes on to suggest that F1 should look to China as a possible team location.......
...."Saying no to a team which has been approved by the FIA - it's very hard," Ben Sulayem told Reuters.
He's getting stuck in.
Don’t disagree with a lot of what he says to be honest. The team principles’ attitude to potentially having to share the pot with 1 or 2 more teams feels really quite pathetically selfish, self absorbed and arrogant.
You’re teams, not franchises. Get over yourselves and welcome the additional competition which would be good for the sport.
You’re teams, not franchises. Get over yourselves and welcome the additional competition which would be good for the sport.
He is breaking the agreement made with the EU on seperation of remit by opening his big gob, and destabilising a USA publicly listed company.
He was warned not to do this earlier in the year and shut up for a while, now he is back at it again. He could lead to the FIA being sued and the EU getting involved again.
The bloke spends his life on the road going to all the F1 races and making sure he is on show when he should be doing his job in Paris and Geneva.
Meanwhile the WRC is becoming more of an irrelevance by the day.
It's clear he took the role at the FIA as one big ego trip and the sooner he is gone the better.
You hardly saw Todt or Moseley at the events, they were doing a job, Moseley for all his faults spent a lot of his time working on road car safety campaigns that brought much better safety standards and pushed for that in developing countries too.
He was warned not to do this earlier in the year and shut up for a while, now he is back at it again. He could lead to the FIA being sued and the EU getting involved again.
The bloke spends his life on the road going to all the F1 races and making sure he is on show when he should be doing his job in Paris and Geneva.
Meanwhile the WRC is becoming more of an irrelevance by the day.
It's clear he took the role at the FIA as one big ego trip and the sooner he is gone the better.
You hardly saw Todt or Moseley at the events, they were doing a job, Moseley for all his faults spent a lot of his time working on road car safety campaigns that brought much better safety standards and pushed for that in developing countries too.
What I don't understand is that now F1 is a franchise model business and each franchise is valued in the billions of dollars, why teams like Williams are complaining about running their operation at a loss of millions of dollars?
Surely if this is the case the team isn't worth that valuation, unless of course they are stupidly leveraged?
Surely if this is the case the team isn't worth that valuation, unless of course they are stupidly leveraged?
The idiot is at it again.
https://www.autosport.com/f1/news/andretti-heading...
one of the classics
“This marriage [between FIA and FOM]? I’ve said it before and I'll say it again: I think the Pope of the Vatican can get married 100 times and get divorced. But we will not be divorced,”
That will be the head of the Catholic church, that Pope, where no member of the clergy is allowed to get married, and they forbid remarriage of divorcees, that Pope.
The rest of his comments are equally stupid.
https://www.autosport.com/f1/news/andretti-heading...
one of the classics
“This marriage [between FIA and FOM]? I’ve said it before and I'll say it again: I think the Pope of the Vatican can get married 100 times and get divorced. But we will not be divorced,”
That will be the head of the Catholic church, that Pope, where no member of the clergy is allowed to get married, and they forbid remarriage of divorcees, that Pope.
The rest of his comments are equally stupid.
Craigyp79 said:
What I don't understand is that now F1 is a franchise model business and each franchise is valued in the billions of dollars, why teams like Williams are complaining about running their operation at a loss of millions of dollars?
Surely if this is the case the team isn't worth that valuation, unless of course they are stupidly leveraged?
Value of a stock, or company, is not based on current income, it's especially the case in emerging value stocks. Companies can trade for decades at a loss and still be valued in the billions, based on their perceived future value, so long as they can attract the funds to stay afloat during the value build stage. Amazon and Tesla being two high profile examples of this.Surely if this is the case the team isn't worth that valuation, unless of course they are stupidly leveraged?
Craigyp79 said:
What I don't understand is that now F1 is a franchise model business and each franchise is valued in the billions of dollars, why teams like Williams are complaining about running their operation at a loss of millions of dollars?
Surely if this is the case the team isn't worth that valuation, unless of course they are stupidly leveraged?
The current valuation of a company, any company, is based on the expectation of future earnings. Surely if this is the case the team isn't worth that valuation, unless of course they are stupidly leveraged?
It’s not difficult to imagine F1 in a few years’ time, where there’s £100m in prize money for an average team, £100m to be made in sponsorship, and a £100m cost cap. In which case, £100m profit. Say the shares trade at 10x annual profit, that gives a market cap of £1bn. Obviously back-of-a napkin numbers, but illustrates the general point.
The valuation is also helped by the barriers to entry, which was what raised the ire of MBS. The rules and agreements allow for up to 12 teams, and there’s only 10 now. One potential team, successful in multiple other high-level motorsport championships and backed by one of the world’s largest OEM carmakers, is having their entry held up by the existing teams, who want to keep their monopoly and not see the prize money split 11 ways. The contrary argument is that such a high-profile entry, with a massive American following in particular, will grow the total value of the prize pot (which comes from race fees and TV rights) more than it would dilute it.
Williams as a team will be pretty leveraged, the current shareholders are a private equity company, and they’re a little short of sponsors at the moment. One can imaging that right now they’re struggling to keep in the black, especially as they’re investing in improving their facilities and operations. Vowles said that he was shocked at all the old machinery in the factory when he arrived, as the team was run on a shoestring for several years before the Dorilton buyout. The timing of the buyout, only weeks after the cost cap was agreed, was no co-incidence. Vowles came from Mercedes, with an almost unlimited capital budget, where they had the latest and greatest of every machine in the shop, even prototype machines in some cases! He’s been arguing to change the rules on how capital expenditure is dealt with under the cost cap, so they can get everything upgraded quickly.
520TORQUES said:
He is breaking the agreement made with the EU on seperation of remit by opening his big gob, and destabilising a USA publicly listed company.
He was warned not to do this earlier in the year and shut up for a while, now he is back at it again. He could lead to the FIA being sued and the EU getting involved again.
The bloke spends his life on the road going to all the F1 races and making sure he is on show when he should be doing his job in Paris and Geneva.
Meanwhile the WRC is becoming more of an irrelevance by the day.
It's clear he took the role at the FIA as one big ego trip and the sooner he is gone the better.
You hardly saw Todt or Moseley at the events, they were doing a job, Moseley for all his faults spent a lot of his time working on road car safety campaigns that brought much better safety standards and pushed for that in developing countries too.
Re the listed US company, that feels like a red herring - the FIA is the rule-making body. The rules says 12 teams max. The commercial rights to the sport aren’t his, but that’s not what he’s weighing-in on. The make-up of the participants shouldn’t be under the control of the commercial rights holder, and the Concorde agreement looks a lot like a cartel if qualified entrants are excluded.He was warned not to do this earlier in the year and shut up for a while, now he is back at it again. He could lead to the FIA being sued and the EU getting involved again.
The bloke spends his life on the road going to all the F1 races and making sure he is on show when he should be doing his job in Paris and Geneva.
Meanwhile the WRC is becoming more of an irrelevance by the day.
It's clear he took the role at the FIA as one big ego trip and the sooner he is gone the better.
You hardly saw Todt or Moseley at the events, they were doing a job, Moseley for all his faults spent a lot of his time working on road car safety campaigns that brought much better safety standards and pushed for that in developing countries too.
I don’t think this beaches the EU agreement, either, for the same reason. Who should race isn’t a commercial decision; how the sport is commercially exploited is, and he’s not into that.
In fact, amongst the undertakings made to the EU was “to guarantee access to motor sport to any person meeting the relevant safety and fairness criteria.”
If F1 (Liberty) or the teams block an entrant qualified by the FIA under the rules, it might be argued it was *only* the FIA who were complying with their undertakings, surely?
Apparently, Andretti's engine supply agreement with Alpine has lapsed.
So, without a new contract, they've no power unit to go racing with.
It seems to me that GM have the chance to step up. I've always thought it a bit strange that Alpine would allow its engines to be rebadged by a rival.
Alpine do the work, while GM get any credit that accrues makes little sense to my ageing, non-commercial brain.
So, without a new contract, they've no power unit to go racing with.
It seems to me that GM have the chance to step up. I've always thought it a bit strange that Alpine would allow its engines to be rebadged by a rival.
Alpine do the work, while GM get any credit that accrues makes little sense to my ageing, non-commercial brain.
Blib said:
Apparently, Andretti's engine supply agreement with Alpine has lapsed.
So, without a new contract, they've no power unit to go racing with.
It seems to me that GM have the chance to step up. I've always thought it a bit strange that Alpine would allow its engines to be rebadged by a rival.
Alpine do the work, while GM get any credit that accrues makes little sense to my ageing, non-commercial brain.
Whilst a lot of fuss is made about any new team being required to bring an engine manufacturer in with them the reality is that provided they get an entry then the existing manufacturers are required under Appendix 6 of the Sporting Regulations to provide them with an engine.So, without a new contract, they've no power unit to go racing with.
It seems to me that GM have the chance to step up. I've always thought it a bit strange that Alpine would allow its engines to be rebadged by a rival.
Alpine do the work, while GM get any credit that accrues makes little sense to my ageing, non-commercial brain.
I'd love to see Andretti get an entry but I doubt its going to happen. Ultimately I expect Andretti to be left on the outside looking in and Ben Sulayem to loose the next FIA Presidential election. It doesn't do the FIA any good to continually lock horns with FOM due to their massive financial dependence on F1.
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