RE: Motorsport On Monday: 27/10/14
RE: Motorsport On Monday: 27/10/14
Monday 27th October 2014

Motorsport On Monday: 27/10/14

Money talks in F1; how to ensure its voice doesn't drown out the rest of the conversation?



The situation at Caterham looks bleak. The bit that builds the cars - Caterham Sports Limited - went into administration a little over a week ago, with the tit-for-tat slanging match over ownership rights raging despite the sizeable debt on the table and no resolution in sight.

Now it's up for sale and set to miss the US Grand Prix, with Bernie waving his magic wand and granting the Leafield squad permission to dip out of Austin and Sao Paolo to get itself straight. Marussia, too, has encountered dosh issues this past week. Rumour has it the team is also set to file for administration - although a few hundred million outstanding pales into insignificance when lead driver Jules Bianchi is still in hospital.

Life at the back of the grid has always been hard
Life at the back of the grid has always been hard
Cash flow problems
This got me thinking. Money trouble has been endemic at the back of the Formula 1 grid for years, and it's a vicious circle of decline once that particular virus latches onto the immune system of a team. Poor performance means not much airtime, not much airtime means sponsors pull the plug or it's difficult to schmooze new ones. So its no surprise to see the two tail-end teams in financial strife.

Minardi, Arrows, Super Aguri and Spyker are just a few names from the modern era that spring to mind where money - or lack of it - had a bearing on the team's performance and subsequent health, with all making like Origami and folding (or being sold beforehand).

Can cost-capping work?
Cost-caps have been mooted for F1 many times in the past and indirectly implemented to greater or lesser degrees. Stricter rules governing engine and gearbox reliability have forced teams into using fewer engines per year, meaning the days of turning the wick up on a quali motor made of unobtanium for massive power went out with the cassette tape.

Williams suffered with loss of manufacturer support
Williams suffered with loss of manufacturer support
Judge the success of the Pirelli control tyre yourself, but the V8 era brought in an engine freeze and therefore a limit to how much development could be done/cash spent in the pursuit of lap time. Control ECUs with bans on traction control and heinously expensive electronic architecture meant the performance of a car was no longer dependent on a team of people who could read The Matrix.

It sort of worked. The 2.4s were all within a gnat's chaff of each other for power compared to turbo engines first time round and the 3.5-litre units that followed them; the V10s that preceded the V8 screamers and the newly introduced blown sixes. Only it meant all the money and resources the cash-rich teams possessed were diverted elsewhere. Aero, mainly, and to the salaries of the most innovative minds out there to exploit double diffuser and F-duct shaped loopholes in the rules.

So yet again the wealthiest teams won, the second-string minnows restricted by a lack of investment - observe the changing fortunes and performance of Red Bull as the Austrian energy drink pumped money into the team, and Williams, as the departure of BMW took with it a good chunk of funding.

So is Audi going to sweep in and join F1?
So is Audi going to sweep in and join F1?
In my opinion, cost-capping wouldn't work, mainly because it'd be difficult to police. First of all, how do you define a fair limit and then set a way of accurately measuring spend? Resources? Teams would just find a way to fudge what they buy for what purpose. Salaries? I'm sure the grid would soon favour share options and lucrative bonus schemes as a method of remunerating employees instead. Staff numbers, limiting teams to a core group? We'd see an increase in job adverts for 'cleaners' being paid seven-figure sums along the M4 corridor if so.

In my opinion, three-car teams are also not the answer. That'd just be papering over the cracks, letting those with money spend even more, further squeezing the smaller teams. I think the current measures to level the playing field in a roundabout way work as well as they can and that F1 needs to either go back to the good old days when the rules and racing were pure, or look at being more sustainable.

That's a horrible buzzword uttered in 'thought showers' in Apprentice-style boardrooms each day, but the sport needs to be more relevant.Smaller engines and electric assistance is probably helping, but when you still burn up to 100kg of fuel in an hour and a half, is that really seen by the masses as efficient?

Not while it can trade on tech transfer to road cars
Not while it can trade on tech transfer to road cars
Audi to F1?
It was therefore interesting to last week see Audi - a manufacturer that has heavily linked its motorsport endeavours over the last 15 years to its road car business - chuck the notion of it quitting sportscars and DTM to go to F1 out of the window.

A short post on Audi Sport's Facebook page vaporised forum gossip everywhere:

"Audi in Formula 1? These rumours keep appearing with regularity since years. It's pure speculation again this time and without any foundation. We are committed to the FIA WEC, DTM and GT racing. In 2015 we will add the Audi Sport TT Cup to our program."

This is good news, because Audi's motorsport programme is sustainable - by that I mean easy to explain to the accountants.

Its RS5 DTM car might use a spec carbonfibre monocoque and a bespoke V8, but it looks like the road car. It's like Honda's BTCC Civic Tourer - a standard caravan dragger on growth hormone but similar in looks at least to one people can actually buy.

And endurance racing - Audi developed direct injection and pioneered fast diesels at Le Mans - is now doing that with hybrid technology that I'm sure we'll see on an A6 or an R8 soon. It's related to its core trade and therefore sustainable. Whatever you sell, it has to be about race on Sunday, sell on Monday. It's still a business.

F1 photos: LAT Photo

 

 

Author
Discussion

MrGeoff

Original Poster:

780 posts

202 months

Monday 27th October 2014
quotequote all
F1 will be on it's knees until Bernie goes.

Monkey boy 1

2,066 posts

261 months

Monday 27th October 2014
quotequote all
First Caterham, now Marussia. Both teams in administration. Who's next ?

I suspect Burnt Ecclescake will come out of this with a big wad of cash in his back pocket, as he always does.

Dr Interceptor

8,183 posts

226 months

Monday 27th October 2014
quotequote all
Monkey boy 1 said:
I suspect Burnt Ecclescake will come out of this with a big wad of cash in his back pocket, as he always does.
He needs to, his pockets are empty after bribing his way out of bribery charges.

In all seriousness, I wouldn't want the headache of owning a mid-table Formula 1 team. All those massive costs to bear, and constantly having to ask Sponsors to dig a little deeper.

British Beef

2,572 posts

195 months

Monday 27th October 2014
quotequote all

Simplify the rules and the cars.

F1 is about a spectacle to watch and listen too. No one gives a flying sh!t what relevance it has or will have to road cars in the future!!

If I was Bernie for a year, my new rules: Manual gearbox, no ABS or TC, 1000hp and 8 cylinder limit, 700kg minimum race weight and 100kg maximum downforce at 100mph.


FasterFASTEST

1 posts

144 months

Monday 27th October 2014
quotequote all
Ditto that British Beef , plus each time a driver wins he gets a 10 kg weight penalty that stays for the season , eg 100kg for 10 wins ! That would make the final rounds much more exciting !

suffolk009

7,942 posts

195 months

Monday 27th October 2014
quotequote all
There is a dedicated Formula 1 section of the PH forums. This is being discussed extensively over there.

oldtimer2

729 posts

163 months

Monday 27th October 2014
quotequote all
It should be no surprise that the also rans run out of cash. F1 is no different from any other business in that respect. Let them die a death and let someone else with cash take over the dead carcass to breath life into it or start afresh building a new team.

We are told that F1 is a development formula. That does not square well with restrictions on the this, that and the other that you list. The restrictions in force this season on changes to the power unit has meant that Mercedes has had a relatively clear run given its initial head start. I am not convinced that this has been beneficial to the spectacle and the racing. Changes seem mostly to be related to the aerodynamics which require a microscope to be observed. So what else, exactly, has been developed this season?

Alex Langheck

835 posts

159 months

Monday 27th October 2014
quotequote all
Ah, another F1 on Monday; 2 World Titles (WRC, WTCC) were won over the weekend. Is it too much to expect some discussion on them?

As for Audi to F1 – I’ll believe it when I see it. Dr Ullrich constantly tells us Audi is all about road relevance & innovation. F1 doesn’t allow innovation. Saying that; one F1 race probably gives as much exposure as a full WEC season.

Hoonfest

141 posts

242 months

Monday 27th October 2014
quotequote all
I read this morning that the smaller teams like Caterham were enticed into F1 with the idea that there would be a £40m cap, then a few years later this all went out of the window leaving these teams up a creek as it were. Tough.

ctallchris

1,266 posts

209 months

Monday 27th October 2014
quotequote all
British Beef said:
Simplify the rules and the cars.

F1 is about a spectacle to watch and listen too. No one gives a flying sh!t what relevance it has or will have to road cars in the future!!

If I was Bernie for a year, my new rules: Manual gearbox, no ABS or TC, 1000hp and 8 cylinder limit, 700kg minimum race weight and 100kg maximum downforce at 100mph.
I'm fairly sure by the first race of the season most of the cars would be running at 700kg at 101mph.

If you go down this route with the rules you would end up with something like nascar where everyone pushes to the limit of out of date technology and you end up with vehicles which look more and more out of date.

Having iron engine blocks and not allowing any electronics except the ignition system in formula 1 would certainly make cars more even. Part of formula one has to still be pushing the technology past it's limits.

F1 should be about serious skill and pace but its a tricky balancing act

canucklehead

416 posts

176 months

Monday 27th October 2014
quotequote all
if you want to make F1 unpredictable and exciting, try banning computer analysis (FEA, CFD, etc). wind tunnel testing, etc. eliminate anything resembling an aerodynamic appendage. and, for preference, return to a mechanical manual gearchange.

luddite? maybe. but F1's unpredictability and excitement in the past largely arose from driver error and mechanical failure, allied to an excess of power over grip.

even so, many many F1 seasons dating right back to the dawn of the World Championship (and even earlier) were in fact pretty much a cakewalk for one (sometimes two) team(s) over the rest. e.g....

30s: MB + Auto Union
50s: Alfa, then Ferrari, then Merc
60s: Ferrari (in 61), Lotus (63,65)
70s: maybe least predictable era ever owing to arrival of the garagistes and consequently a lot of seat-of-the-pants design but even here there were a bunch of runaway seasons, with 78 Lotus being the most obvious. Ferrari 79 was pretty one-sided too.
80s: McLaren and Williams at different times
90s: Williams, McLaren
2000s: Ferrari then Red Bull

obviously not ever year was lopsided, but there have been whole bunch all the way through the history of F1. So not sure anything would really change things.

DreadUK

206 posts

162 months

Monday 27th October 2014
quotequote all
canucklehead said:
if you want to make F1 unpredictable and exciting, try banning computer analysis (FEA, CFD, etc). wind tunnel testing, etc. eliminate anything resembling an aerodynamic appendage. and, for preference, return to a mechanical manual gearchange.

luddite? maybe. but F1's unpredictability and excitement in the past largely arose from driver error and mechanical failure, allied to an excess of power over grip.

even so, many many F1 seasons dating right back to the dawn of the World Championship (and even earlier) were in fact pretty much a cakewalk for one (sometimes two) team(s) over the rest. e.g....

30s: MB + Auto Union
50s: Alfa, then Ferrari, then Merc
60s: Ferrari (in 61), Lotus (63,65)
70s: maybe least predictable era ever owing to arrival of the garagistes and consequently a lot of seat-of-the-pants design but even here there were a bunch of runaway seasons, with 78 Lotus being the most obvious. Ferrari 79 was pretty one-sided too.
80s: McLaren and Williams at different times
90s: Williams, McLaren
2000s: Ferrari then Red Bull

obviously not ever year was lopsided, but there have been whole bunch all the way through the history of F1. So not sure anything would really change things.
Agree with most of what you say but I would add that banning artificially induced 'downforce' would save teams a fortune. It would also allow following through a corner and proper slipstreaming without daft DRS. I wouldn't be inclined to go back to manual changes, they would only throw in a sequential box which is only marginally more difficult that paddles. More emphasis on mechanical grip and different engine configurations, without downforce turbo motors would have problems putting the power down. They need to get away from Tilke tracks to ones with crests that make cars go light and fast corners instead of the constant stop/go hairpin tracks designed to be viewed from a grandstand and televised with the minimum of equipment. Enforce minimum sized cockpits so people other than jockeys can compete and make up the weight difference with ballast, or allow extra BHP for a fat bloke!

None of it will ever happen though because the big teams call the shots and whatever suits them has to suit everyone else.

garypotter

2,072 posts

180 months

Monday 27th October 2014
quotequote all
A great shame about Marussia, always the underdog, finally scored points, 1 driver in hospital, but always felt they would survive. Must be worrying for Sauber as they have no points this year and £££reward for next season. Catering is turning into a farce as to who owns it and who does not.

Regard to Audi into F1, is it not Audi who keep putting these rumours out there for all the free publicity!!! No they do not need F1 as they have le mans gtm etc that they race, support and do very well at. F1 needs them more
IMHO

ayseven

130 posts

176 months

Tuesday 28th October 2014
quotequote all
Bernie deserves to be paid for his marketing efforts for F1. Bernie does not deserve as much as he is getting. The teams would waste all the money anyways, should they receive their due share, and the big teams would still have more than the small teams. Then, the costs would just get even more insane than they are, since they would all have so much more to play with. Bit of a problem.