STRAIGHT TALK
FINALLY MOVING IN THE RIGHT DIRECTION
Mark Gallagher on the positive signs F1 is on the right track
It is worth pausing to reflect on the healthy state in which Formula 1 finds itself. Covidinduced calendar chaos aside, things are good.
We have two key protagonists, Red Bull and Mercedes, giving us the Hamilton versus Verstappen duel we’ve been looking forward to since forever – a Schumacher/häkkinen battle with more closely matched cars; Senna and Prost without the nasty civil war.
Behind we find a resurgent Ferrari, its engine embarrassment sliding into obscurity, while the Scuderia’s old rival in Woking is in danger of causing an upset or two. Even over at midfield sports notables Alpine and Aston Martin, their world champion drivers are giving us plenty to speculate about. Meanwhile, in Grove, Williams awakens from its long slumber.
The teams are running to a cost cap and the prize money is more equally distributed. The regulations have mixed things up a bit and 2022 promises a hard reset, which everyone is looking forward to. At least until the unintended consequences set in…
The TV audiences are looking good too. F1’s social media numbers continue to rise and the Drive to Survive documentary series is engaging audiences in a way Formula 1 has not known or seen before. Everyone I speak to seems to mention it, particularly in America. God Bless Netflix.
Enter Ariel Kelman, Chief Marketing Officer of technology giant Oracle, recently announced as a new partner for Red Bull. “I think this Netflix series has had a massive impact on getting Americans excited about the sport,” he told Reuters, adding, “and then of course for the American corporations to get involved.”
Co-founded by Larry Ellison, Oracle is the kind of partner every team principal dreams of. Its 2020 revenues amounted to USD$39 billion. Ellison likes sport, and Formula 1 offers the perfect showcase for his company’s technologies. In this case the machine learning and data analytics capabilities of Oracle Cloud Infrastructure.
Before you drift off, it’s worth nothing that Oracle is just part of an influx of new sponsors and suppliers, the information technology sector leading the charge. Of the 240 companies now supporting Formula 1’s teams, one in six is either a hardware, software or IT services business.
They range from cyber security and antivirus company Kaspersky, which has been with Ferrari for over a decade, to Cognizant, Aston Martin’s title sponsor. It promises to bring its expertise in artificial intelligence, the Internet of Things, cloud computing and digital engineering.
The descriptions may be long, but their pockets are deep, and the fact Formula 1 is triggering such interest is only positive. Considering we are still in the grip of a global pandemic, the raft of new deals is encouraging. Liberty Media’s corporate governance has played its part, along with increased transparency and a collaborative relationship with the teams and the FIA.
If deals won races, Mclaren would lead the world championship, Zak Brown having presided over the commercial rebirth of a team that appeared bereft of sponsors a mere four years ago. The long-term deals which were the hallmark of the Ron Dennis era were gone – TAG Heuer and Exxonmobil to Red Bull, Hugo Boss to Formula E.
Mclaren now has over 40 partners, including companies such as BAT, Coca-cola and Dell. The day of the big title sponsor might be over, but such a wide portfolio of backers avoids the pitfalls of having all the eggs in one basket.
Formula 1 has not looked this healthy for quite some time.