Silverstone chief warns European Grands Prix are in peril.
Discussion
Patrick Allen on the future of F1 in Europe.
http://www.independent.co.uk/sport/motor-racing/si...
also from The Independent.
http://www.independent.co.uk/sport/motor-racing/on...
http://www.independent.co.uk/sport/motor-racing/si...
also from The Independent.
http://www.independent.co.uk/sport/motor-racing/on...
Have to disagree with him. Governments shouldn't be helping to pay for a F1 race; and with the money going to CVC/ Bernie.
It's time circuits woke up, refused to pay the ridiculous fees to simply hold a F1 race. It's a poor business plan; and circuits don't tend to make much from it.
How about these circuits concentrated on other series, and make money; instead of almost bankrupting themselves purely for F1?
It had got out of hand.
It's time circuits woke up, refused to pay the ridiculous fees to simply hold a F1 race. It's a poor business plan; and circuits don't tend to make much from it.
How about these circuits concentrated on other series, and make money; instead of almost bankrupting themselves purely for F1?
It had got out of hand.
I have long held the view that the Formula 1 calendar should revolve around the classic races - Monza, Spa, Suzuka and Silverstone (because it's the only airfield circuit left for Formula 1, and airfield circuits were important in the growth of motor sport post-war. And because the area around Silverstone is the global epicentre for motor sport engineering).
If any jumped-up dictatorship or nouveau-riche country wants to show off and host a Formula 1 race, the race fees should be used to subsidise the proper circuits in countries which actually have a motor sport heritage.
If any jumped-up dictatorship or nouveau-riche country wants to show off and host a Formula 1 race, the race fees should be used to subsidise the proper circuits in countries which actually have a motor sport heritage.
Edited by Dermot O'Logical on Thursday 26th March 11:53
Its time to get rid of F1 as we know it, its a disgusting business model that holds the circuits to ransom and they get nothing back due to the over priced model from the chancers that run/ruin the sport to fill their coffers.
You could also argue that fans are now held to ransom (pay per view) or pay the extortionate circuit entry fees which the circuits have no choice or make a huge loss.
Its a shame the 2009 FOTA proposed breakaway lost its ground after Ecclestone effectively bribed the top teams to stay (with an increased share of the payments). Seems like a long time ago now:
http://www.telegraph.co.uk/sport/motorsport/formul...
You could also argue that fans are now held to ransom (pay per view) or pay the extortionate circuit entry fees which the circuits have no choice or make a huge loss.
Its a shame the 2009 FOTA proposed breakaway lost its ground after Ecclestone effectively bribed the top teams to stay (with an increased share of the payments). Seems like a long time ago now:
http://www.telegraph.co.uk/sport/motorsport/formul...
The UK has subsidised F1 in the past.
There was major competition for the funds to improve roads around the UK by way of bypasses and such and yet Silverstone won it the year that Ecclestone threated to cancel the GP due to lack of infrastructure. There are other, more subtle ways the race is subsidised.
I'm not against such subsidies as the GP brings in a fair bit of money to the immediate area, but let's admit that we should not throw money at it.
There are many, many jobs that are supported by F1 and most seen to be within spitting distance of the circuit. However, from reports it would appear that CVC might well be in need of money to pay off their loans. I don't think that is the function of the circuits.
From memory, the GP ran at a loss last year and although there is a certain benefit from running the race there, I'm not sure running races at a loss is the way to go.
There was major competition for the funds to improve roads around the UK by way of bypasses and such and yet Silverstone won it the year that Ecclestone threated to cancel the GP due to lack of infrastructure. There are other, more subtle ways the race is subsidised.
I'm not against such subsidies as the GP brings in a fair bit of money to the immediate area, but let's admit that we should not throw money at it.
There are many, many jobs that are supported by F1 and most seen to be within spitting distance of the circuit. However, from reports it would appear that CVC might well be in need of money to pay off their loans. I don't think that is the function of the circuits.
From memory, the GP ran at a loss last year and although there is a certain benefit from running the race there, I'm not sure running races at a loss is the way to go.
Sadly the circuit owners are to blame as they will not work together. Bernie and CVC rent the circuit clean and pay just enough to keep the operators happy....in Europe and S America. Asian circuits are not run in the same manner and governments are happy to run a bedroom tax as in Singapore to cover any losses.
If one had the money the best idea would be to 'buy' the circuits and stop F1 from having anywhere to race or to get he local organisers to push up their fee and force Bernie to pay way more. F1 isn't the be all and end all of motorsport and the sooner the fans realise this the better it will be for all of the circuits, national and international.
If one had the money the best idea would be to 'buy' the circuits and stop F1 from having anywhere to race or to get he local organisers to push up their fee and force Bernie to pay way more. F1 isn't the be all and end all of motorsport and the sooner the fans realise this the better it will be for all of the circuits, national and international.
Here’s a view from a slightly different angle
F1 GPs are (in the main) scheduled at a time to catch the European TV Audience
Bernie (Grand Cayman) Ltd/CVC chase the money so hard that they drop most if not all European GPs, to replace them with events in cash rich countries who want a GP with empty stands.
Europe (and maybe the UK) is the training ground for tomorrows F1 stars (aka marketing opportunities). How long will it be before the European fans totally lose interest and look elsewhere and starve the “sport” (business?) of its life blood?
Short-termism in the extreme? Or am I being naive?
F1 GPs are (in the main) scheduled at a time to catch the European TV Audience
Bernie (Grand Cayman) Ltd/CVC chase the money so hard that they drop most if not all European GPs, to replace them with events in cash rich countries who want a GP with empty stands.
Europe (and maybe the UK) is the training ground for tomorrows F1 stars (aka marketing opportunities). How long will it be before the European fans totally lose interest and look elsewhere and starve the “sport” (business?) of its life blood?
Short-termism in the extreme? Or am I being naive?
All european circuits should follow Nurburgrings example. Try organising a race and get circuit owner to pay-it wont happen!
If Bernie wants all his races run on tilke designed, totally boring circuits, thats fine, he'll then be moaning about television ratings taking a huge tumble.
Leave the classic circuits alone (Silverstone being a classic example of being wrecked because of Bernies desires) and if they all worked together, set up thier own domestic series for F1 and the like.
If Bernie wants all his races run on tilke designed, totally boring circuits, thats fine, he'll then be moaning about television ratings taking a huge tumble.
Leave the classic circuits alone (Silverstone being a classic example of being wrecked because of Bernies desires) and if they all worked together, set up thier own domestic series for F1 and the like.
the more i think about it, the more CVC have been the biggest disaster for F1 every.
Have creamed billions of the sport, and invested nothing. Unless i am missing something? Have they funded new teams? Have they supported current teams (ok advanced payments, but not really supporting them) Subbed ticket prices for children to get the next generation into the sport? Created a viable structure going forward? supported the next gen of drivers?
Nope they really have just cared about bottom line, and if germany can't pay bernie £20m for a race, and we can have 20,000 watch in Bahrain, Bahrain it is then!
The move the pay TV, has killed sponsors paying big £££. When Mclaren are struggling to attract money something has gone very wrong.
Bernie built this sport up and up, you have to give him that, he was years ahead on many fronts, digital TV, promotion of championship etc, but he now is lagging badly behind and missing the bigger picture.
As European races drop out, so does F1 natural fan base, which isn't a good idea
Have creamed billions of the sport, and invested nothing. Unless i am missing something? Have they funded new teams? Have they supported current teams (ok advanced payments, but not really supporting them) Subbed ticket prices for children to get the next generation into the sport? Created a viable structure going forward? supported the next gen of drivers?
Nope they really have just cared about bottom line, and if germany can't pay bernie £20m for a race, and we can have 20,000 watch in Bahrain, Bahrain it is then!
The move the pay TV, has killed sponsors paying big £££. When Mclaren are struggling to attract money something has gone very wrong.
Bernie built this sport up and up, you have to give him that, he was years ahead on many fronts, digital TV, promotion of championship etc, but he now is lagging badly behind and missing the bigger picture.
As European races drop out, so does F1 natural fan base, which isn't a good idea
Alex Langheck said:
Maybe some of these circuits need to work harder with the other series to promote and put on a better value for money product. Some of these other series put on great racing. Motorsport has become far too much about just F1.
I do agree but it is going to be a massive uphill struggle to get the casual 3 or 4 F1 races a year viewer to look beyond the myopia of F1.There is a feast of great racing and cars out there that I for one find much more appealing than F1. Ask the people at Autosport though about what happens to sales if there isn't a picture of an F1 car on the front cover (even come LM time, although this is slightly blunted by the additional LM sales).
F1 must be pretty unique as a sport in being owned by a private equity firm, rather than a governing body or the participant teams.
The sad,cold reality is that any PE firm will behave as CVC has done - (1)leverage the asset being acquired to its maximum to pay the purchase price for that asset, (2) invest the bare minimum in it whilst looking to (3) cream off as much surplus cash as possible and (4) groom it for exit. It's their business model.
F1 is stuck with (1). Its best hope lies in (4) - the current course of the sport results in it losing value (an example being the aborted IPO), requiring remedial action (reversing to an extent (2) and (3)) so that CVC can find an exit and return capital to its own investors.
Or (5), the teams accept that CVC is a PE firm so the teams' collective slice of the financial cake is unlikely to get bigger, so they need to look at how they share that slice out amongst themselves and others involved in the sport such as the circuits.
Much as I dislike football (overpaid, underperforming brats who fall over if you look at their hairstyle wrong, ganging up on referees...), I do think F1 could learn from the Premier League in terms of revenue distribution.
Or (6), invent time travel and go back and stop the FIA entering into an utterly short sighted, criminally undervalued sale of the rights for a ridiculously long period of time.
The sad,cold reality is that any PE firm will behave as CVC has done - (1)leverage the asset being acquired to its maximum to pay the purchase price for that asset, (2) invest the bare minimum in it whilst looking to (3) cream off as much surplus cash as possible and (4) groom it for exit. It's their business model.
F1 is stuck with (1). Its best hope lies in (4) - the current course of the sport results in it losing value (an example being the aborted IPO), requiring remedial action (reversing to an extent (2) and (3)) so that CVC can find an exit and return capital to its own investors.
Or (5), the teams accept that CVC is a PE firm so the teams' collective slice of the financial cake is unlikely to get bigger, so they need to look at how they share that slice out amongst themselves and others involved in the sport such as the circuits.
Much as I dislike football (overpaid, underperforming brats who fall over if you look at their hairstyle wrong, ganging up on referees...), I do think F1 could learn from the Premier League in terms of revenue distribution.
Or (6), invent time travel and go back and stop the FIA entering into an utterly short sighted, criminally undervalued sale of the rights for a ridiculously long period of time.
Gassing Station | Formula 1 | Top of Page | What's New | My Stuff