US Congress labels Andretti-Cadillac bid rejection as ‘anti-competitive action’ by F1
Andretti-Cadillac was rejected by Formula 1 for not adding enough value to the sport to justify its entry as an eleventh team.
![US Congress labels Andretti-Cadillac bid rejection as ‘anti-competitive action’ by F1](https://firstsportz.com/wp-content/uploads/2023/11/Michael-Andretti.jpg)
Michael Andretti (via IMAGO)
Michael Andretti‘s dream F1 bid was rejected by Formula One Management (FOM) for the 2026 season. The American icon had the backing of US carmaker General Motors with the Cadillac brand. However, FOM claimed that the proposed team would not have added value to the sport. Now, members of the US Congress have sent a letter to Liberty Media CEO Greg Maffei, expressing their discontent.
The letter addressed to Greg Maffei states that the US Congress was concerned with the rejection of Andretti-Cadillac’s bid. The members claim that this was an apparent ‘anti-competitive action’ made that prevented two American companies, Andretti Global and General Motors from competing in Formula 1.
[Congress members] write to express our concerns with apparent anti-competitive actions that could prevent two American companies, Andretti Global and General Motors (GM), from producing and competing in Formula 1.The letter addressed to Greg Maffei stated, as reported by Motorsport.com
![YouTube video](https://i.ytimg.com/vi/jN2wCtWCWaU/hqdefault.jpg)
Moreover, the US Congress highlights that F1’s decision might’ve been influenced by its current European manufacturers who compete against American companies globally. As such, the letter labeled this rejection as an unfair and wrong attempt to block Andretti-Cadillac. It was also mentioned that this could’ve breached US’s anti-trust laws. It must be noted that Formula 1 is listed on the US stock market.
It is unfair and wrong to attempt to block American companies from joining Formula 1, which could also violate American antitrust laws.US Congress wrote
The letter further stated that the approval for any F1 team must be based solely on merit and not simply to protect the existing grid. The Congress even mentioned the sport’s expansion in the US with three races on the calendar.
US Congress demands answers from F1 over Andretti-Cadillac rejection
12 members of the US Congress have asked for a response from Liberty Media over three questions. The first question tries to understand the rationale behind FOM’s decision to reject Andretti-Cadillac despite knowing that it could’ve been the first American-owned and American-built F1 team. The Haas F1 team is American owned, however, it relies heavily on Italy’s Ferrari and Dallara.
Under what authority does FOM proceed to reject admission of Andretti Global? What is the rationale for FOM's rejection?The first question listed in the letter addressed to Greg Maffei
![Stefano Domenicali](https://firstsportz.com/wp-content/uploads/2023/12/Stefano-Domenicali.jpg)
The Congress mentioned that the Sherman Antitrust Act of 1890 prohibited unreasonable restrictions on competition. The members asked how does the Andretti-Cadillac rejection fare with this law. It was mentioned that the denial of Andretti’s bid would inevitably benefit current European F1 manufacturers.
How does FOM's denial of Andretti Global and GM, American-owned companies, square with Sherman Act requirements?The second question listed in the letter addressed to Greg Maffei
The last question highlighted GM’s efforts of reintroducing Cadillac in Europe. As such, the Congress questioned if this played a role in FOM’s decision. Formula 1 has not explicitly replied to this letter as of yet.
How much did GM's and Andretti's entrance into racing competition taking a portion of the racing market share and GM's entry into the European market taking market share each play into the decision to deny admission to the Andretti Global team?The third question in the letter addressed to Greg Maffei
Andretti-Cadillac’s rejection has grabbed the attention of the US Congress. The American government is not happy with FOM’s decision to prevent an American team on the grid. However, Michael Andretti is trying to renegotiate and enter the sport by 2026. It remains to be seen how things pan out in this tussle between the American bid and the pinnacle of motorsport.
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Armaan Agarwal
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