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< PreviousLucrative contract gets another five years DHL signs on again as F ’s freight forõarder F ormula 1 Group has renewed its sponsorship deal with DHL, the German logistics company owned by Deutsche Post AG. DHL transports all Formula One team’s freight to faraway races and handles all the logistics in between. It also transports Formula 1 Group’s own logistics between European races. DHL is the oldest sponsor of Formula 1 Group in a deal originally initiated by Bernie Ecclestone, 20 years ago. 2024 marks the 20th season that DHL is the sport’s ‘Official Logistics Partner’. The deal is substantially non-cash with DHL providing the logistics free in return for the sponsorship which is substantial, trackside. The value is unknown, but has to be in excess of $50 million a year. Formula 1 Group recoups the money by charging the ten teams for freight services, the teams are charged a fix rate per kilogram, amounting to around $4-$5 million a year each. The main thrust of the new deal is sustainability. DHL is working to identify innovative solutions to operate more sustainably to reduce carbon emissions. According to the press release, DHL uses a fleet of 37 trucks to handle Formula 1 Group’s own logistics and it has switched to using Boeing 777 planes that reduce carbon emissions by 17 percent. DHL has also bought itself a new motorhome equipped with solar panels, charging and recycling stations and is transported using a biofuel-powered truck. Jonny Haworth, Director of Commercial Partnerships said: “As our longest-standing partner, DHL have become such a crucial part of the delivery of our events, so we’re delighted to continue that successful collaboration for many more years. Our partnership has seen the sport transform and grow, and DHL have been hugely supportive in our transition to become a more sustainable sport. This will continue to be key as we move towards 2030 and as sustainable logistics continue to develop, I look forward to seeing the positive innovations that come next.” Arjan Sissing, Head of Global Brand Marketing, DHL Group, said: “We are proud to be the sport’s longest-standing Global Partner, marking DHL’s 20th anniversary as the Official Logistics Partner of Formula 1 Group, delivering the race between the races. Both companies share a strong commitment to sustainability goals and as a pioneer in green logistics, we are delighted to maintain our collaboration with Formula 1 Group to achieve these objectives together.” 37 DHL trucks transport Formula One logistics to all races. F1 teams logistics now go by wide body Boeing 777 jets. (Right) Arjan Sissing, Head of Global Brand Marketing for DHL Group is celebrating DHL’s 20th anniversary with Formula 1 Group. (Left) Jonny Haworth, Director of Commercial Partnerships, has signed the new deal. Mateschitz clothing line ignored for new deal Red Bull Racing do the dirt÷ on Alpha Tauri for a second tiëe A fter the Visa Cash App RB team signed with Hugo Boss, Red Bull racing has also done the dirty on its sister company, Alpha Tauri to sign a fashion deal with Pepe Jeans for its F1 Academy team entry. Pepe Jeans has become the title partner. It is another astonishing volte face for Red Bull Racing’s sister company called Alpha Tauri which is also in the fashion business and a competitor of Pepe. Pepe Jeans previously partnered with Red Bull between 2010 and 2016 before the late Dietrich Mateschitz founded the Alpha Tauri brand. Red Bull says its new pact with Pepe Jeans indicates the strength of the F1 Academy where title sponsorships are rare. It follows McLaren’s deal with Cisco to support Bianca Bustamante’s entry this season. The Pepe brand will dominate driver Hamda Al Qubaisi’s car and the collaboration will likely inspire a Red Bull fashion line. Pepe Jeans will also provide travel kits for Red Bull’s Formula One team. Oliver Hughes, chief marketing officer at Red Bull Racing said: “Reuniting with Pepe Jeans for this venture is a testament to our shared values and history. The ready-to-wear collection is about transcending the team’s spirit and passion for racing, as well as style and comfort, both on and off the track. “It’s about creating a lifestyle. I’m also very pleased to welcome the brand as title partner of the newly formed Red Bull Racing Pepe Jeans Academy Programme, a major step in the team’s commitment to the future of women’s motorsport. I can’t wait for our fans to experience this, and to get their hands on the collection.” Oliver Hughes has signed up Pepe Jeans to support the F1 Academy entry. News BusinessF1 10BusinessF1 News Ñercedes HPP confident of haôing doëinant engine in 2026 I nsiders are predicting that the new engine formula for Formula One cars, starting in 2026, will massively favour Mercedes-AMG High Performance Engines Ltd (HPP), just as it did when the engine formula last changed significantly in 2014. The change in 2014 kicked off seven years of Mercedes-AMG domination and seven championships for Lewis Hamilton and Nico Rosberg. HPP Managing Director, Hywel Thomas is all but predicting it, describing the new regulations as “tremendously exciting” and a “fascinating prospect.” He calls it a “paradigm shift in technical regulations.” He said: “We have a 50-50 split between the combustion engine and the electric vehicle side, and that’s a fascinating prospect. It’s a chance to showcase our talent, our innovation, and the possibilities the sport can bring. It’s great, and people walk around with smiles on their faces as they tackle this project. We have been busy doing experiments and getting our teeth stuck into it, knowing that the final product will end up on the racetrack being judged by millions every other weekend.” Thomas revealed that HPP has been working on the 2026 engine for two years already, and more and more of the 857 workforce are moving over to the new engine project every week. 2026 will also see the first year of an engine costs freeze but it appears work done before 2026 is beyond the scope of the freeze. Thomas added: “As more and more of the engineering and operational staff become part of the 2026 project. It is an exciting time. It is excellent to have rules that have attracted new manufacturers and have a clear real world relevance. They are applicable to what is going on at Mercedes-Benz and in our research and development.” Far from fearing the future, Thomas is really pumped up about 2026: “We need to be open to pushing our own boundaries to determine what is our part of the puzzle? What is our part of the problem? There is that saying: ‘If you are not part of the solution, you are part of the problem.’ That is what we are trying to do – to be part of the solution. It means everyone is energised to think that, when the car does get to where we want it to be, they have been part of the journey. Until then, we will take as much learning with every step as everyone else. That is what being part of the team means.” For 2026, two new engine manufacturers will enter Formula One, Ford and Audi to join the current four manufacturers Ferrari, Mercedes-AMG, Honda and Renault. The new power units will have 50/50 combustion and electrical power, achieved by increasing electrical performance and rebalancing the performance of the internal combustion engine, to deliver a maximum output of over 1,000 horsepower. The new engines will run on 100 percent sustainable fuel and will conform to strict sustainability criteria as fuel consumption is reduced. The electrical systems will feature a single 350 kW electric motor, three times more powerful than the current MGU-K with a new high- performance battery system. Thomas is one of the proudest engine developers in the paddock and gushes about the business he is involved in and says: “There is a huge amount of pride in every single power unit we put together, in every installation that we do, in every race weekend that we support. There are a lot of people representing HPP embedded trackside at those teams. We take pride in being able to provide a PU that allows those teams to compete at the sharp end of the sport.” Development of the new generation of power units will take place under cost cap regulations, designed to limit maximum technical spend on the project and consolidate the investment case for power unit supply in the sport. Early warning to rivals over new regulations Hywel Thomas is ahead of the game for 2026, just as Mercedes-AMG was in 2014. 11Brazilian launches suit in London’s High Court Écclestone FÍA and F G deëand Ñassa puts up u ëillion bond F elipe Massa, the former Brazilian Formula One driver, has run into his first obstacle after he issued a writ against Bernie Ecclestone, the Federation Internationale de L’Automobile (FIA) and Formula 1 Group (F1G) over his failed world championship bid in 2008. Massa has been asked to put up a $1 million bond, backed by cash, before he can take the case any further. If Massa does not voluntarily post the bond, then it is likely to be forced upon him by a court order. Defendants are entitled to seek security of costs against foreign domiciled claimants in English courts and there is usually no way around this requirement. If Massa does not post the bond, his action will be struck out. Massa has made a Part 7 Claim, Breach of Contract in London’s High Court and is represented by London law firm Enyo Law. It has been allocated a case number: KB-2024-000753. Massa has hired nine lawyers from seven different law firms, in six cities, from five countries to prosecute his legal case. But the case is being spearheaded by Richard Levett and Daniel Levy of Enyo Law in London who instigated the original threat of litigation. Massa’s barrister is Nick De Marco KC known as the ‘Mr Big’ of English sport. The case revolves around 42-year-old Massa’s 15-year-battle to get the result of the 2008 world championship overturned. He lost by one point to Lewis Hamilton, overturned. He lost the title on the last lap of the final race of the year in Brazil. Massa’s case rests on his belief that the result of the 2008 Singapore Grand Prix was rigged and he would have won the championship otherwise. There is no doubt that Renault number two driver Nelsinho Piquet deliberately crashed his car in the 2008 Singapore Grand Prix which enabled his team mate Fernando Alonso to win the race. The scandal was dubbed ‘Crashgate’ and Piquet's accident contributed to Massa’s botched pit stop which dropped him down the running order. Despite Massa starting the race on pole position, he did not finish in the points, while Lewis Hamilton was placed third. Later, in a dramatic ending to the 2008 Formula One season, Massa thought he had been crowned world champion after taking the chequered flag at Interlagos. But Hamilton overtook Timo Glock's Toyota on the final corner to take fifth place in soddened conditions and snatch the title away from the Brazilian. The Briton collected 98 points to Massa's 97 points but Massa is taking issue with events in Singapore. Massa’s case seems to be hinged on the notion that the then FIA President Mosley knew the race was rigged at the time and declined to take action to reverse the result of the Singapore race, whilst there was time. Massa believes he was the victim of a conspiracy by individuals at the highest level of the FIA and Formula 1 Group, then known as Formula One Management. Pre-action letters sent to Ecclestone, the FIA and F1G by Enyo Law stated: “Simply put, Mr Massa is the rightful 2008 Driver's Champion, and F1G and FIA deliberately ignored the misconduct that cheated him out of that title." Massa has the tacit support of former FIA president, Jean Todt, Todt has spoken to French daily newspaper, L’Equipe and said that the result of the 2008 Singapore Grand Prix should have been cancelled when suspicions of wrongdoing first emerged. Massa is managed by Todt’s son, Nicolas. The central element of Massa’s case is that FIA Race Director, Charlie Whiting knew about the situation ahead of that’s year’s final world championship.” Massa’s lawyers maintain that Bernie Ecclestone admitted the same to Ralf Bach of the F1 Insider website in an interview last year. Todt said: “According to Bernie Ecclestone, Max Mosley, my predecessor, and Charlie Whiting were all in the know from the beginning.” Ecclestone is alleged to have told Bach that the FIA knew Renault had been cheating almost straight away. Ecclestone suggested that Mosley and Charlie Whiting, knew it was pre-meditated. But both men are now dead. Massa says: "I think the first thing when Bernie's comment [came out] I was really, really surprised, for those comments. Because everybody knows what's happened in the race, everything came out in 2009. We hear after that also that Charlie [Whiting] knew and Max [Mosley], so for me it's the injustice for the sport." But Ecclestone has denied discussing this with Ralf Bach. Bach has refused to release the tape recording of the interview. Todt added: “Unfortunately, Charlie and Max have passed away.” Ecclestone has gone on the record with his view of what Bernie Ecclestone, Stefano Domenicali and President Ben Sulayem are being sued by Massa for unspecified damages. Jean Todt and Felipe Massa are very close. Massa is believed to be being supported by Todt in his threatened legal action. News BusinessF1 12 News BusinessF1 happened saying: “Piquet (jnr)’s father Nelson had spoken to his son to ask him what the hell happened? ‘Why could you do such a stupid thing, as you did.’” He added: “I think Piquet explained to his dad that he was told he ought to do this.” Ecclestone has previously absolved Renault team principal, Flavio Briatore from having anything to do with the fake crash although he does admit privately that Briatore unwisely participated in the cover up: “One thing is for sure in my opinion, it was never Flavio because he would have never ever have thought how to do things like this. Max (Mosley) was really, really unhappy. I suppose he would have liked Flavio to confess it was him, it would have made life easier for Max then. However, he didn’t get the confession.” Ecclestone stands by those comments and has said he will come to court to assist the FIA and F1G if necessary. The case faces problems with the elapsed time since the incident complained of and jurisdiction, plus the fact that many of the participants are dead and almost all relevant witnesses work for Formula 1 Group in varying capacities. Massa also has a problem with witnesses; he hasn’t got any that will likely testify. Stefano Domenicali, works for Formula 1 Group and Flavio Briatore and Pat Symonds are ambassadors for F1G. They would not testify against their employer unless under subpoena when Massa could call them as ‘hostile’ witnesses. No other witnesses would likely want to go against the FIA. A reversal of the 2008 world championship and financial compensation would also create a huge legal precedent in global sport and all sorts of cases could be brought to reverse historical sporting championships. Fred Vasseur, the current team principal of Scuderia Ferrari has also come out against Massa. He said: “I am not a big fan of changing the result 15 minutes after the flag, let alone after 15 years.” Jonathan McEvoy of the London Daily Mail who personally witnessed events in 2008 called Massa’s claim a “pack of assumptions,” and blamed Massa’s poor performances at the 2008 Monaco and British Grands Prix as the real reason Massa lost the championship. Red Bull Racing braced for enormous upheaval Horner õill sacrifice ëost ôaluable huëan assets to ëoôe teaë forõard I nsiders at Red Bull Racing are reporting that Christian Horner, the team principal, is prepared to sacrifice Max Verstappen, Adrian Newey and Helmut Marko, the team’s most valuable human assets, in order to move forward and put the sex scandal that has engulfed the team behind it. The three men have respect for Horner’s former PA, Fiona Hewitson, who has been suspended from working at Red Bull Racing and they feel they can no longer can work with Horner. (See BusinessF1 March 2024 Vol 8 No 3 ‘A scandal too far’ ). All three have individual contracts with various entities of the Red Bull empire and all three have clauses in their contracts that will enable them to walk away from the team at the end of 2024 without serving a notice period, or suffering a financial penalty. A person with knowledge of the situation said: “Its uncanny but it’s as if they foresaw trouble and that this time would come.” The picture is complicated by the fact that Christian Horner has not actually seen Max Verstappen’s contract, which was negotiated by Helmut Marko and Dietrich Mateschitz before Mateschitz died and is kept in Marko’s safe in Graz. Adrian Newey’s contract is also not directly with Red Bull Racing, or Red Bull Technology and Horner may not be aware of special clauses contained within that contract that gives Newey the right to walk away. Marko’s own contract is directly with Red Bull GmbH which is expected to release him immediately on his request. Marko and Max Verstappen almost walked out during the Saudi Arabian Grand Prix last month but wiser heads prevailed. Horner attempted to sack Marko and was prevented from doing so after Verstappen threatened to walk. Horner attempted to get Marko fired on the basis that he was leaking confidential information to the media. Horner is believed to be completely reconciled to losing the three men and believes the team is much bigger than any individual, or group of individuals. He believes both Newey and Verstappen can be replaced. Christian Horner has privately told people that the team can win world championships without Max Verstappen. Horner believes he is the architect of all Red Bull Racing’s success and is the most important element in the team. Chalerm Yoovidhya, the majority shareholder of Red Bull GmbH, owner of the team, also has this view and has endorsed the departure of Marko, Verstappen and Newey, should it become necessary. It has even been discussed that the team should offer all three men the opportunity to leave immediately with no compensation. Verstappen has publicly spoken in favour of Helmut Marko and made his position very clear: “If such an important pillar falls away, it is not good for my situation and I have told the team that. He is an important part in my decision-making for the future.” He added: “Helmut has to stay. I have a lot of respect for him, and what we have achieved together. It goes very far. He built this team with Dietrich Mateschitz.” Marko said cryptically: "Dietrich Mateschitz was a profound connoisseur of motorsport. We spoke together on a completely different level.” The Red Bull Racing dream team of Max Verstappen, Adrian Newey, Helmut Marko and Christian Horner, and is about break up. 13Formula One went wrong in obsessing over dirty air Îaëes Allison sa÷s Braõn õasted six ÷ears taéing Forëula Óne up õrong path J ames Allison, Mercedes- AMG F1 technical director, has accused Ross Brawn, the former managing director of Formula 1 Group before he retired in 2022, of taking the sport up a complete blind alley of car development in a failed attempt to increase overtaking and making the cars more exciting to watch. In a recent interview Allison said that Brawn and his deputy, Pat Symonds, made a mistake in “obsessing” over trying to control the wake of cars with the ground-effect regulations in 2022. Allison has said what that other people have been afraid to say, that Brawn got it completely wrong introducing ground effect cars back to the sport; “I don't think it's sensible to have cars that hug the ground in the way that these cars hug it.” Allison then said what many people believe is the real problem, that Brawn and Symonds did not give any attention to other critical aspects like “tyre behaviour.” Allison believes that tyres are the route to go in increasing exciting racing: “The idea that you get good racing by controlling wakes, while ignoring tyres…The whole idea of controlling wakes, being something of a tilting-at- windmills type of challenge, that side of things has been tested to destruction fairly evidently.” This all came to a head at the 2023 Las Vegas Grand Prix which produced the most exciting race of the year because of a low grip new tarmac surface and low grip tyres because of the low temperatures late at night. In the January issue of GP Racing magazine Stuart Codling was told by Mario Isola that slippery tyres are available from Pirelli. He virtually admitted that tyres with less grip make for great racing and lots of overtaking, as was proved in Las Vegas. It emerges that Pirelli has had the answer to closer and more exciting racing in Formula One all along. A former Formula One team principal: “This is what all sensible people are thinking. It’s in Pirelli’s hands. Ross Brawn changed the aerodynamics, DRS, when the solution lay in tyre construction. Pirelli can make tyres that allow cars to slide around and every race can be as exciting as Las Vegas was.” Insiders such as Allison believe that Brawn and Symonds did not understand the potential benefits of having a control Formula One tyre and what could have been done with the tyres. The ramifications of Brawn and Symonds work is now coming home to roost in 2024 as the single team dominance of Red Bull Racing is beginning to have a detrimental effect on the sport. Johnny Noble, one of Formula One’s most influential journalists, has openly questioned whether the rules revamp that was effected from 2022 has ultimately failed. If Noble is right, it is a disaster for the sport and means that Formula 1 Group wasted at east $50 million between 2017 ad 2022 indulging Brawn who set up a technical department at F1G and even built a whole prototype Formula One car at the cost of tens of millions of dollars. An insider, who works at Biggin Hill, said: “This was a financial catastrophe and as well the disaster it has turned out to be for the sport.” A former Formula One team principal said: “This is so predictable, Ross didn’t get it.” Noble said: “The bold changes aimed at making the racing more exciting and closing the field up have not delivered all that had been hoped, with Red Bull remaining out front and overtaking getting more and more difficult.” Allison has also tempered his own criticism by saying he also thinks that the Red Bull element is not a fault of the rules, as it is up to other teams to do a better job. But he told Noble that he does believe there are, "important areas which could have been addressed better to James Allison suggested that the entire thinking of making racing more exciting has been wrong. Pirelli’s Mario Isola has admitted that Pirelli can make tyres that enable cars to slide on track. ĐÍ don t thiné it s sensible to haôe cars that hug the ground in the õa÷ that these cars hug itđ > News BusinessF1 14Your monthly sample subscription has run out! TO KEEP READING, PLEASE SUBSCRIBE ON OUR WEBSITE TO BECOME A MEMBER •12 MONTHLY ISSUES •DIGITAL ACCESS •A FREE BOOK SUBSCRIBE NOW AND RECEIVE TOM RUBYTHONNext >