“We protect the business,” Stefano Domenicali hints at a dramatic hike in the entry fees for new teams in 2026
Multiple teams are expected to enter the sport come 2026 along with new engine suppliers.
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Stefano Domenicali, Image via F1
The year 2026 is anticipated to prove significant for the sport, with the potential entry of new teams. F1 hasn’t witnessed an excess of 10 teams taking the grid since 2016, which had 11. The likes of Andretti Autosports and Audi are a few that have vocalized their desire to participate. However, the entry fee could prove to be a potential obstacle with the possibility of a huge increase, to ensure anti-dilution.
F1 CEO Stefano Domenicali has always insisted that the entry of a new team must bring some value to F1. At the moment, the entry cost is $200 Million, which is an anti-dilution cost divided among the existing teams. Domenicali hinted that this cost could increase in the future. However, the current teams have been pushing for a new number, with figures as high as $600 Million proposed.
Domenicali stated, “The so-called anti-dilution payment was done at $200 million, just a couple of years ago. Because at that time no one would have expected that the value of this business would rise up so much. Today the situation is totally different, for sure. And it’s our duty to make sure that we protect the business the best way that we can, and have a bigger picture.” He invoked the past situation of Manor Racing that went into administration as an example of how the world has changed.
Andretti Autosports F1 admission may be impeded by new figure
The likes of Audi and Andretti Autosports have been vocal in their interest in joining F1. However, the likes of Andretti may be forced to reconsider this, with the entrance cost potentially tripled beyond the existing rate. This new number could be an obstacle for Andretti, who is planning to enter with Cadillac, built around the current $200 Million figure.
Andretti also has the option of purchasing an existing F1 team but has been turned down. Red Bull has considered putting Alpha Tauri on the market, which could be a potential prospect for Andretti in that regard. While he is willing to spend the current number, it is unclear how his investors may react should it change in the future.
Regardless of whether the number is increased and if Andretti can afford it, this again reaffirms the importance of financial status in the sport and how it is largely money-centric. The anti-dilution fee will only become relevant if the team passes all the tests and satisfies pre-requisites, and is provisionally accepted by the FIA. Should that occur, it could potentially emerge as a major point of debate.
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Justin P Joy
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