Andretti's F1 bid rejected — could it target 2028 instead?
F1
- Last updated: April 11th 2024
Andretti has built a new Silverstone-based F1 facility despite having its bid to enter the series officially rejected by FOM. Here's everything you need to know about the US-based outfit including details on its bid and why it was rejected
A new purpose-built F1 facility in Silverstone hopes to set Andretti on the right course
Even after Andretti Global‘s bid to set up a new F1 team was rejected by F1’s commercial arm, Formula One Management (FOM), after months of stalling and a painstaking application process, the American outfit has remained dogged in its ambition to become a part of the series.
The US-based bid had been approved by racing’s governing body, the FIA, but failed to gain the approval it needed from FOM — usually referred to as F1 — amid opposition from several existing teams.
The Michael Andretti-led team already runs IndyCar, IMSA, Formula E and Extreme E entries, and had made significant progress on an F1 prototype before news of the decision was announced. But just months after its controversial rejection, Andretti has taken what it believes to be the next step in becoming a F1 outfit, by opening a brand new facility based within the Silverstone Park.
F1 fans were cheering Andretti's bold effort to join the grid — and so were insiders. And yet its bid was abruptly rejected this week. Matt Bishop unpicks the reasoning given by Formula 1 and finds himself unconvinced by the "scarcely relevant" logic
By
Matt Bishop
The new 48,000 square foot building will house all the team’s manufacturing facilities, as well as spaces for ADM, electronics and R&D — all of which are critical components in the base of a full-fledged F1 constructor.
“Once everyone understands what we’re really putting together here, it’ll get to a point where they can’t say no,” Michael Andretti told Sky Sports F1. “We’re still working with FOM and we’ll show that we’re bringing a lot to the party.”
“This is where it’s happening in F1,” added Mario, speaking of the new Silverstone-based facility. “The majority of the work and preparation from all the F1 teams is happening right from Silverstone. It’s the heart of [F1] and you have to be part of that.”
To date, Andretti’s F1 project has been split between operations in Silverstone — which perviously housed just 80 employees — Andretti Global’s base in Indiana and the GM Tech Centre in North Carolina. But the construction of the new purpose-built facility just minutes from the home of the British Grand Prix, is set to attract more key personnel who can focus on “long lead-time activities such as aerodynamic design, mechanical design and vehicle dynamics.”
Andretti Global is also planning to enter both F2 and F3 — F1’s junior categories — in order to begin a developmental pathway which will feed its team with American drivers, while also falling in line with the structure of current F1 outfits.
Why was Andretti rejected by FOM?
No space for Andretti on the Formula 1 grid – but is this a case of anti-Americanism?
Grand Prix Photo
A statement from F1 reported that its commercial assessment of Andretti’s entry had concluded “the presence of an 11th team would not, on its own, provide value to the championship.
“The most significant way in which a new entrant would bring value is by being competitive. We do not believe that the applicant would be a competitive participant.”
Andretti’s application came on the back of a surge in American F1 interest, widely attributed to the Netflix Drive to Survive series, but was opposed by teams that considered the $200m (£164m)entry fee too small a price to pay for a series that has been surging in popularity.
The team had hired staff, set up a second office at Silverstone, and begun design work – including testing a wind tunnel model – in the hope that it would be accepted by F1.
We do not believe that the applicant would be a competitive participant.
It targeted entry into the series as early as 2025, and would have run a customer Renault power unit before later switching to a General Motors’ Cadillac-badged unit as part of a partnership with the automotive giant.
That proposal was cited as one of the downfalls of its bid, as the need to take a power unit from Renault – which would have been obliged to supply it under current regulations – “would be damaging to the prestige and standing of the F1 championship” according to FOM.
The series has admitted that it would “look on the application differently” ahead of the 2028 campaign if Andretti entered as a GM works or customer team “designing all allowable components in-house.”
“In this case there would be additional factors to consider in respect of the value that the applicant would bring to the championship,” added FOM. “In particular in respect to bringing a prestigious new OEM to the sport as a PU supplier.”
Coincidentally, a new commercial rights deal would also be in place by 2028, which is expected to hike the cost of entering F1, with a $500m-$600m price widely rumoured.
Teams see this as a fairer fee, given that valuations of F1 teams appear to be in the $1bn region, due to the difficulty of setting up a new team and a profit stream, thanks to the budget cap which limits team spending.
A higher entry fee, combined with typical start-up costs of $500m would prevent owners from entering the series and immediately selling their team for a large profit.
Why was Andretti accepted by the FIA?
Michael Andretti is the most prominent name who wants in on the F1 world
IndyCar
FIA President Mohammed Ben Sulayem said that Andretti was the standout team among all that submitted F1 applications when a call for new teams was made early last year.
With sufficient funding and an established racing pedigree, it could, at the very least, match the likes of other bidders including Hitech and Rodin — which currently race in F3 and F2. In addition, it had started work on its F1 facilities which would have been based across four campuses and also had a technical agreement with General Motors and Cadillac, who it could re-apply with for an F1 grid slot in 2028.
“The formation of this distinctly American team is an important moment of pride for all our employees and fans,” said Michael Andretti in a statement following news of his team’s FIA approval in October last year. “We feel strongly that Andretti Cadillac’s deep racing competencies and the technological advancements that come from racing will benefit our customers while heightening enthusiasm for F1, globally.”
Andretti’s inclusion on the grid could have also given more opportunities for US-based drivers such as Colton Herta or IndyCar star Alex Palou. But with Andretti’s bid now rejected, the majority of US-based talent looking for a future in F1 will have to look elsewhere.
FOM itself gave lukewarm statements when the news of Andretti’s FIA-approved bid was announced – the only one to make it through the process – and so it’s perhaps no surprise that it has now officially rejected the team from entering F1 any time soon.
“The addition of an 11th team would place an operational burden on race promoters,” it stated. “[It] would subject some of them to significant costs, and would reduce the technical, operational and commercial spaces of other competitors.
“On the basis of the application as it stands, we do not believe that [Andretti] has shown that it could add value to the championship.”
Why were people against Andretti entering F1?
Big F1 bosses have been against a new F1 entry since rumours began
Red Bull
Under the current Concorde Agreement — F1’s governing documents — up to 12 teams and 24 cars are permitted to join the grid. Any new teams must pay a one-off $200m (£164m) anti-dilution fee that is split between the existing teams and is meant to go some way to compensating them for having to split the prize fund with one additional team.
Michael Andretti says he would have done things differently given another chance on his approach to an F1 entry, but still feels hopeful of an entry to the world championship
By
James Elson
However, the series’ spike in popularity and interest from big-name sponsors has pushed the current value of leading teams close to $1 billion. With the cost of setting up a new team estimates to be $500m (£411m), team principals are disgruntled at the prospect of a new team getting a ‘cheap’ entry — paying in the region of $700m for an entry worth almost 50% more.
“There is no mature sports league in the world, whether it’s a national football championship, or the Champions League, the NBA, the NFL, the NHL, where such situation is possible,” Wolff told Sky Sports ahead of the British Grand Prix. “Where you say, ‘I’m setting up a team and I’m joining, thank you very much for making me part of the prize fund’
“You have to give to qualify, you have to go through the ranks, you have to showcase the commitment to the championship that we’ve done over the many years.
“I think F1, at the moment, the business is on fire,” added Aston Martin team owner Lawrence Stroll in an interview with Sky. “The sport has never been in a better place. I believe if it isn’t broken, you don’t need to fix it. It’s working really well with 10 teams right now. And I believe that’s the way it should stay.”
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DPPI
But there were some in Andretti’s corner, with its entry freeing up extra seats for drivers as well as creating new opportunities for others aiming to enter an F1 paddock.
“I’ve always felt that there wasn’t enough cars on the grid,” Lewis Hamilton said. “So, whilst there will definitely be people that won’t be happy for me to be so supportive of it, I think it’s great.
“It’s an opportunity for more jobs, another two seats available for a potential female driver to come through. It opens up more possibilities and I think it’ll be exciting for the race.”
AlphaTauri star Liam Lawson, who was unable to secure a full-time seat for 2024 despite a brilliant debut, added: “In my situation, it could definitely help having more cars on the grid for racing. It’s not something I’ve really thought about, but specifically for someone like me it could definitely help making the step to Formula 1.”
What would Andretti’s F1 team have been called?
IndyCar is one of many series in which the Andretti name has found racing success
Getty Images
Andretti’s dreams of entering the grid for 2025 or 2026 have been dashed for now, but there is still some hope of re-applying for entry in 2028 if it can secure GM as an official engine supplier.
Under the banner of Andretti Global — the teams parent company — the F1 arm of the team would likely be called Andretti Cadillac; referencing the brand’s partnership with its GM engine supplier.
Andretti are currently involved in seven categories of racing, each under various different titles: Andretti Altawkilat competing in Extreme E, Avalanche Andretti Porsche competing in Formula E, Wayne Taylor Racing competing in IMSA, Andretti Autosport competing in Indy NXT and IndyCar, Walkinshaw Andretti United competing in Supercars and finally Andretti Jourdain Autosport competing in the Mexican Super Copa series.
Who could have driven for Andretti Cadillac in F1?
IndyCar star Colton Herta could be one of many names in the F1 hat for Andretti to chose from
The demise of Andretti’s F1 bid also spells bad news for the incredible number of US-based drivers who were hoping for an F1 promotion.
Current talent from its other teams were obvious choices such as young IndyCar stars Colton Herta and Kyle Kirkwood — the former having drawn F1 attention in 2022, when a strong campaign landed him in contention for a racing seat at AlphaTauri in 2023. But after the FIA failed to grant Herta a pass on his lack of super-licence points, Red Bull abandoned its pursuit — the American only having 32 out of the required 40 super licence points. Outside of its own umbrella, Andretti could have also considered newly-crowned IndyCar champion Alex Palou.
“I have not the slightest doubt that Alex or Colton are ready for Formula 1,” said Andretti to Speedweek.com before its F1 bid was rejected. “They have high potential. I’d put both of them in a Formula 1 car in a heartbeat. I’m sure they can keep up. Lando [Norris] was once Colton’s team-mate and they were on the same level.
“If you look at Lando in Formula 1 now, you know what Colton could do as well.”
Similarly, former W-Series champion Jamie Chadwick could have also been in contention, having established herself as one of the leading female drivers currently available.
Will Andretti appear on the grid anytime soon?
Andretti has found FOM response less than warm – and it could be left waiting
Grand Prix Photo
Andretti may have fallen at the final hurdle of its F1-entry campaign, but its journey could still be far from over. Although FOM has made clear that the team will not competing in the championship in 2025 or 2026, it has left the door open for a possible entry in 2028.
With another four years of preparation and a more solid partnership with GM could be enough to convince F1’s commercial arm that it could in fact bring value to the championship as a constructor. But then again, with discussions around the $200m anti-dilution entry set to continue — with teams suggesting the figure should be closer to $600m given the series’ rise in value — and with the current Concorde Agreement also set to expire ahead of the 2026 F1 campaign, Andretti may have even more mountains to climb if they try to re-apply ahead of 2028.
It’s a game of patience and while passing the FIA’s strict criteria was a significant step toward the F1 grid, Andretti’s dream to become an F1 constructor could become to a swift end.
