Liberty planning F1 budget cap

While we're at it, those 4 black round things on each corner are a bit retro, let's get rid of those too

 

I think the issue is the profit motive of everyone in F-1. All these teams are Making Money, vs just in it to race. so when a team has to turn a profit - a return on investment that is where the problems come up. Its one thing that if you own the team like Colin Chapman or Enzo Ferrari - you spend what you like - and in the end make some for your self... only you then determine how much you put back in or take out. but when you have hedge funds like Geni or others in the biz, its about making money... that is where the problem is.

It does cost a lot to compete, but if you were really running the team to win vs. churn money things would be different.

Ferrari - Mercedes, McLaren, Renault etc... are all places where you go to earn $$$$ up until the early 1990's working in F-1 was Ok, but engineers did not take home 6 figures - unless you were the top guy. today, designers etc. all are making huge money. that is where the cost goes up and up. F-1 has pushed the costs to the stratosphere and now are reaching into the vacuum of space... so they have to step back. Why do they need a full office and hospitality center at each track? why do you need 300 people at each race? its crazy.

Conversly if you put in a cap, the smart ones will figure out how to have a fast car and make things cheaper... so there is a bit of a positive spin from a budget cap. if there is a will, they will find the way.

 

Logically, yes. Practically, no.

 

The shape could be free, but it has to be an extruded unwarped shape.

Long Term engine rule stability is important to a budget as well, the V6 Turbo's, while they may not be popular, need to finish their prescribed run without a ninja change requiring an entire redo.

 

It's an interesting proposition that's for sure, the customer cars.

Whilst F1 isn't socialism and shouldn't be socialist, costs have soared way out of control in the last few years primarily because of the rules dreamed up by the FIA. They said costs would go down with these engines but it more than doubled! And interest in the sport having gone down because of these rules...well whose fault really is it?

When the EU got all upset and banned tobacco sponsorship (primary source of sponsorship for teams at the time), something should've been done.

I also don't agree with giving a maximum budget, hence my ideas on basically easing development. Another part where they can reduce cost significantly is by having the tubs weigh a certain amount. Now still they attempt to make the tubs as light as possible, costing millions...have them weigh a minimum amount so less money is spent saving every little ounce.

Don't force them to spend 50 million (or whatever the proposal is), but give them less options what to spend their money on. Simple.

Alternatively, (poor) teams could option a chassis/tub from Dallara with an engine of their choosing. Design their own suspension and body. IMO a season for the poor teams could cost fairly little:

Chassis: 500K
Engine: 200K/unit (assuming dumbed down engine, 4l V10), 7 engines per season (assuming one blows, one for testing)
Suspension: 1m (including design/parts, influenced by choice of gearbox/engine manufacturer)
body: Fairly limited anyways with a standard Dallara chassis, up to a 1m including development
Gearbox: 50K/unit, 8 per season
Tires: 200K/ season
=£4M per car.

Logistics: 5m
Team salaries: 25m
Driver salaries: NA, likely pay drivers for poor teams
Factory/services/others: 5m

Of course it's dumbed down this, but the numbers are educated and realistic as a possibility.

Of course if they do reasonably well, get some points or whatever, or land a decent sponsor, they could go ahead and design their own chassis and whatnot. It needn't be needlessly expensive, that's for sure.

 

The way things are going the EU will be broken within 5 years

 

I hope so. Then we can have tobacco sponsorship back, and drop those green engines.

 

Should've been a lot sooner. A doomed project from the start. Germany & the Netherlands should get out ASAP and get back to Deutsche mark and guilder.

Hmm wouldn't be so sure on that. Whilst we where governed by the idiots in Brussels, each government has enough do-gooders around to stop the advertising of tobacco happening.

 

True, but how much of the car would be sold to poor teams and for how much? It makes no sense that if Ferrari spends 200 million developing the car yet sells it for 30 (poor teams can't afford much more than that). Currently the revised rule state that it must be easier for someone to get an engine from a manufacturer (after the Red Bull/STR saga). What if someone gets a Ferrari chassis with a Mercedes engine, and starts beating the factory team? The embarassment is huge, I can see why big teams don't want to sell customer cars.

If we simply reduce what money could actually be spend on, the cost gap would be smaller and cars more competitive relative to each other.

 

Nope, not F1 motivated.

Yes smoking is harmful. Everyone knows that. Look at the pictures they put up on cigarette boxes. If someone chooses to smoke with all the information out there, it's their own choice. Not once when I've looked at an old F1 car or races, did I think ''you know what, I'll need a cigarette''. If someone does want to start smoking because they see an advert, despite knowing what it does to you, let them. Free world and all that. You can't smoke in pubs anymore, so who do you really harm?

 

Yes, but it still depends on how much they can buy a car for. It's a good deal for the buyers at 40 million, bad deal for the seller. Vice versa at 100m.

 

Yes. And all by choice. Many years ago when people didn't know better, sure, that sucks for them. Now everyone knows the dangers. Either quit, or don't start in the first place. People are free to make their own choice. If their choice is to smoke cigarettes, let them. They know it's bad. And if they're lying on their death bed, crying and pointing their finger at evil tobacco companies and the evil government allowing them to exist, well then they're ****ing stupid, aren't they?

I drink lots of alcohol. I know it's bad for me. I know it'll damage my liver, kidneys and brain. I still do it. Because I enjoy it.

Very true. I'm not against it btw. In fact I'm mostly for it.

 

So William, are you concerned that if Marlboro starts advertising on F1 cars, you might be influenced to ditch your lifestyle?

 

Huh.

Initial thought: Marchionne might like it, since he is already pooping his panties over the cost of racing.

LOL @ changing F1 culture. There's a reason no one trusts each other - it's racing, and more specifically F1 racing.

Not sure this is the first place I would focus. As Bas points out though, it would not be a bad idea to offer some alternatives in terms of parts (big and small) at a capped cost.

 

The NFL is a bad example of the point you are trying to prove. The cost cap, revenue sharing, and draft system have resulted in massive growth and success. There are also still dynasties as well like the Patriots and Steelers.