Cadillac Joins as F1 Seals Concorde Talks

F1 Eyes Bigger Share with New Concorde Deal

F1 is pushing for a lucrative new Concorde Agreement, aiming for growth through tough negotiations and Cadillac’s strategic entry into the sport.

Liberty Media continues to work with the teams to finalize the new Concorde Agreements, which govern the sport. Liberty Media’s President and CEO, Derek Chang (pictured below), explains that these lengthy discussions do not affect the relationship with the teams and that Cadillac’s arrival is not a factor.

“I would just say that in my early days here, I have had the chance to meet some of the teams, at least over the past month,” said Chang. “I don’t think the relationship between Formula 1 and the teams has ever been stronger.”

“I have heard a lot of positive statements about what Liberty has done since we acquired F1, and I think people are genuinely excited about the future and about increasing the overall pie in terms of the sport’s economic potential.”

“As for the Concorde Agreements and our divisions with the teams, Stefano has already noted that he hopes the agreements will be finalized soon. At this stage, the arrival of an 11th team has not really impacted this discussion in itself, and if you think about it, it does not affect the distribution between us and the team.”

“It is certainly an 11th team in terms of allocations between the teams themselves, but again, I think with the entry of a group like GM, the hope and belief here is that we continue to grow the overall pie for Formula 1 and its ecosystem.”

F1 CEO Stefano Domenicali explains how they will be structured: “I think it is worth saying that the fundamental principles are quite similar to the current structure, without revealing anything we are not yet able to disclose. This is certainly the way we are working and how we are making progress in this area.”

The last time the Concorde Agreements were negotiated, F1 was facing the Covid-19 pandemic, and teams were fighting for survival. Domenicali acknowledges the progress made over the past five years: “Regarding the teams’ dynamics, I would say everyone recognizes the enormous growth across the entire business.”

“I mean, it’s not just about the fact that there is a lot of interest in buying things because people see their potential value. It is reflected in the numbers and in the quality of the partners associated with each team. This means everyone acknowledges the tremendous work we are doing together.”

“And the dynamic is very constructive. It is part of the game that everyone tries to push or maximize what they can bring home. That is part of the game. But I would say the credibility we have built together has allowed us to find the right balance.”

“So we are happy to move forward with this kind of relationship because it is the key to a very stable future and business growth. We see everyone as a stakeholder in the business—FIA, the teams, all their partners, and all our partners.”