Discussions have begun between groups and F1’s industrial rights holder in regards to the phrases of a brand new Concorde Settlement deal that may outline how the sequence is run from 2026.
The doc contains all the important thing industrial points of F1, together with prize cash and, as Autosport revealed final week, a move to cap Ferrari’s historic extra bonus payment.
Sources have revealed that one different change being checked out is how the dilution fund for brand new groups is applied, which comes towards the backdrop of the Andretti World organisation pushing onerous to safe an entry.
The dilution fund is an additional fee {that a} new entrant should pay to affix the grid, and helps offset any loss that present rivals would face from needing to share their industrial rights revenue with an additional eleventh group somewhat than it being break up between 10 rivals.
Within the earlier Concorde Settlement, it had been agreed that the dilution fund can be a straight $200 million fee that might be shared among the many present outfits.
However this determine had been settled on when F1 was not in such impolite monetary well being and, primarily based on grand prix racing’s present industrial power, it was extensively seen as not being sufficient to offset any losses that groups would face.
That’s the reason a recent format is being checked out for the subsequent Concorde Settlement.
Autosport has realized that as a part of the draft proposals despatched to groups as a place to begin for the Concorde Settlement dialogue, a brand new dilution fund thought has been proposed.
Fairly than it being a set determine, a method has been proposed that may work to compensate the present rivals over a set interval – believed to be 5 years.
It’s understood that the preliminary determine that has been proposed totals the equal of $600 million for a group that desires to affix in 2026, rising to $700 million from 2028.
Included in that is a further stipulation {that a} new group won’t earn the correct to any prize cash for the primary yr it races in F1.
The determine is excessive and, for an bold entrant like Andretti, it might immediate it to rethink whether or not or not it ought to begin with a clear slate or if it ought to have a look at buying one of many present rivals.
Talking on the Monaco Grand Prix, Pink Bull group boss Christian Horner stated he welcomed the concept of Andretti coming to F1, however felt it ought to maybe have a look at taking up someone.
“I feel Andretti has nice racing heritage,” stated Horner. “Mario is a legend of the game. And naturally, Cadillac, an enormous automotive producer from the US.
“Formulation 1 have stated in 2028, in the event that they had been to come back with their very own engine, they’d clearly, I feel, evaluation it. However along with that, if Andretti had been to need to come, somewhat like Audi acquired Sauber, to guard the present franchise and stability that we have now within the sport, then clearly their greatest path to aim is to amass one of many current groups.”