F1 - Regulations, Business And Politics

[Sakae 0]

...track limits

There is of course another solution, namely, don't worry about it. I think to let drivers used a track with all its natural features. My rationale is, that sooner or later all cars will figure out the best racing line, and situation will normalize itself to a level playing field. Use white line merely as a topographical reference feature, so drivers will know where they are, but let them drive anyway they want. It is clear to me that too much off track site seeing will degrade tires, and slow you down, thus drivers will in one or two places gain, elsewhere they lose. They will figure it out, and fall in line.

[Sakae 0]

It's all about money, and money only.

Strength in keeping Ecclestone in his job? Hmm, OK. From figures quoted in the article I think Tier 2 group was talking to wrong people, when they were trying to address their grievances.

[Sakae 0]

Well, that didn't take long.

There is an old joke about FOM. Do you know how to make a million in F1? Easy; you start with a billion, and go from there, as Haas just now discovered.

[Emmcee 0]

Now "Mr Bigshot" has realised he mouthed of just a tad to much before he knew what he was getting into. He didn't know it all after all did he?

[Sakae 0]

I might be a lonely voice here, but I give him credit for having guts to try something different.

[Emmcee 0]

I do to don't get me wrong, but he should've kept his mouth shut atleast. The way he spoke about himself and the steam came across IMO of have total disregard and respect for the sport. That's what I meant.

[Sakae 0]

AMuS: sold?

Sounds like F1 was transformed into a money bag.

[Massa 0]

I suspect that if F1 really is sold to Liberty Media, people will be doing a bit of "don't know what you have until it's gone."  Ecclestone is unethical.  He's focused too much on his short-term gains than on the sport's long-term health.  He's done irreversible damage, and he's said really stupid things, too.

But this won't be greener grass.  The only thing worse than big American media companies is that one big British-based, American-owned, headed by a former-Australian media company.

[Sakae 0]

What I expect is better management. With respect to BE, I would say history is full of irreplaceable people who are now gone, while life goes on.

[Ruslan 0]

Well, it is possible that a change in ownership is worse than the current situation (recall Tony George in Indy Cars)....but.....at this stage, I think Ecclestone and CVC have done enough damage that I will be glad to see them both go. Look forward to "Liberty Media" and give them the benefit of the doubt for now. They do already own one sports team, the Atlanta Braves (baseball) and so far their approach has been very hands-off. So, we shall see. I am guessing they will appoint a new overall manager, but would not be surprised if Ecclestone remains around for a transition period.

I noted the attempted interview by Will Buxton of Ecclestone....he did not seem to want it and was kind of curt. My suspicion is that he is on the way out (although he still apparently owns 15% of F1).

 

 

[Ruslan 0]

The next, not as old geezer (only 75) in charge of F1:https://en.wikipedia.org/wiki/John_C._Malone

Highlights:

1. Age 75

2. Has wife and two kids.

3. Net worth 6.5 billion (less than Donald Trump?)

4. EE and economics degrees from Yale, Phi Beta Kappa, National Merit scholar, MS in Industrial Management, MS in EE, PhD in Operations Research (this is actually pretty damn impressive).

5. Apparently shuns the limelight and a glamorous lifestyle.

6. Nicknamed "Darth Vader"

We shall see. So far, this looks like a simple business deal (which may or may not be a good thing).

 

[Emmcee 0]

Maybe Bernie is actually embarrassed now.

[Ruslan 0]

This actually appears to be meaningful: https://www.yahoo.com/tv/why-john-malone-wants-buy-formula-one-140905487.html

I just don't know enough about the business side of this to know what it means.

 

 

[Ruslan 0]

5 minutes ago, Emmcee said:

Maybe Bernie is actually embarrassed now.

Well, his ex-wife used to comment in public about his size......so, won't be the first time.

[Massa 0]

The only problem with deals in the billions is that the person paying expects to get that back.

Which isn't easy.

F1's problems, in my view, can all be traced to two things: the lack of distribution of TV revenue (that is, the payments for the rights to air F1) and the high sanctioning fees to host a race.

Once you've dumped more than a billion into acquiring the sport, the last thing you're going to do is say, "Okay, now reduce the revenue I take in by redistributing TV money better and lowering sanctioning fees."  Even though both actions would improve the long-term health of the sport, there will always be that humongous hole of making back what you put in.

So, F1's problems will not be solved, and therefore, I just don't care who owns it.

[Sakae 0]

Ecclestone for another 3 years with new owners? (Alledgedly under consideration).

[Caesar 0]

What can we expect from new owners? Will rules change in future ?

[Sakae 0]

Expectations - more of the same, at least in their first year. 

What is however expected in media rumor mill, is promotion of the F1 in digital platforms. Other than that, until 2020 and new CA, I would not hold my breath.

I went the other way, and have actually launched path to decreasing of my personal dependency on digital life. Got rid of TV, got rid of iPad, my wrist watch is old classic Swiss analog style, instead Apple watch, and now Phablet-phone (as my PDA, replacing Palm and HP) and MacPro 15" does it all. Old Clairfontaine notebook and a pen are back in favor. No facebook, no tweeter, or anything similar sounding weird words and technology. Life is much simpler. I can actually watch whole race on my notebook. It is enough.

[Emmcee 0]

Probably feel and think a lot clearer to as your head is no longer getting force fed brainwashing propaganda that you find on TV,radio and Internet. I never watch TV, it's only to watch Motorsport basically. Me and my partner always have DVDs on anyway, I just wish more people would go without these things for a while and they will realise what they hear see and read is a lot more farther away from reality than they thought. Anyone ever seen the series "OZ"? Brilliant series to get into and shows you the real way people behave and can behave.

[Sakae 0]

Seems complicated.  Press release.

 

[Sakae 0]

 

On 6 September 2016 at 10:59 PM, Massa said:

The only problem with deals in the billions is that the person paying expects to get that back.

Which isn't easy.

F1's problems, in my view, can all be traced to two things: the lack of distribution of TV revenue (that is, the payments for the rights to air F1) and the high sanctioning fees to host a race.

Once you've dumped more than a billion into acquiring the sport, the last thing you're going to do is say, "Okay, now reduce the revenue I take in by redistributing TV money better and lowering sanctioning fees."  Even though both actions would improve the long-term health of the sport, there will always be that humongous hole of making back what you put in.

So, F1's problems will not be solved, and therefore, I just don't care who owns it.

There you go. Commercial lease is in the process of transfer in an ultra complicated world of credit, and consumers may look forward to this change in a hope for better tomorrow, instead living in nostalgia. But it's also up to stakeholders in this business, and I use this word quite deliberately, to sell this product - racing - to convince people that they want it. It's not going to be easy, but not impossible. Money distribution stays, at least for a while. New boss already said, you want more money, get more customers. It is going to be interesting future.

[Sakae 0]

Is it a formality, or coud be a deal breaker? Any "news" that a deal is done is really rather premature.

FiA

Quote

Having a 1% stake in F1 means consent for any deals must be sought from motorsport’s governing body before they can go ahead, and although the FIA have not yet been given full details of what the takeover entails they are believed to approve of the arrangement.

“The Federation awaits further information regarding the proposed terms of the transaction and welcomes the opportunity to discuss with all parties the possible consequences of this agreement on the promotion of the FIA’s flagship championship.”

 

[Ruslan 0]

So Bernie remains...for now.

"Meet the new boss.....same as the old boss...."

[Sakae 0]

Nothing is settled yet. FiA and EU commission must approve the lease transfer. Ecclestone, as already mentioned in earlier narrative, will be sharing his position with a second, commercially oriented person. Ecclestone will be responsible, in a reduced role, for matters concerning FiA and teams.

Ecclestone is yet to respond, but in one of his (numerous) off-cut remarks he played a big man - if I don't like it, I leave - sort of thing. I am not sure there is oozing reassuring confidence from some of those pronouncements. Until 2021 and new CA, I do not expect many substantive changes on regulatory side.

[Emmcee 0]

Massive setup, that's why he got rid of mosely, as max would've spilled the beans on his stand over regime that was about to be implemented in the sport.