Inside The Negotiations That Put Cadillac On The Formula One Grid

Reversing $25 million annual operating losses

Ben Sulayem reveals the FIA was hemorrhaging $25 million yearly and eating reserves before the latest Concorde Agreement, emphasizing that unlike teams or promoters who come and go, the FIA is the permanent governing body that reinvests all revenue into safety, steward training, and grassroots motorsport.

Prioritizing fairness over popularity

The FIA's mission is to govern fairly rather than court fans, acknowledging that penalizing favorite drivers makes them unpopular but ensures sporting integrity independent of commercial pressures from Liberty Media or team interests.

Cost cap unexpectedly doubled team valuations

Originally designed to improve competition, the cost cap caused team share prices to skyrocket and transformed F1 teams into profitable enterprises, while the new agreement ensures only the FIA—not third parties—can police financial and sporting penalties.

2026 regulations required 18 months of consultation

New car rules were developed collaboratively with power unit manufacturers and teams since August 2022, with Ben Sulayem noting that complaints about competitiveness come only from teams who failed to adapt, not from leading manufacturers.

Adding Cadillac faced 'severe aggression' and legal battles

Ben Sulayem endured three years of attacks from existing teams, severe British media criticism, and court challenges for proposing an 11th team, but persisted because a US manufacturer presence is essential to sustain business growth with three American races on the calendar.

12th team only if it adds clear value

While the FIA could expand to 12 teams, Ben Sulayem stresses any new entry must enhance the overall business rather than simply dilute revenue shares, noting that on-track success remains the team's responsibility, not the FIA's.

Safety and security trump commercial hosting fees

The FIA maintains veto power over track homologation, rejecting circuits that fail safety specifications regardless of financial incentives, while working closely with FOM to ensure new venues like Istanbul meet competitive standards.

US entertainment model boosts global race value

The commercial success of American races has elevated spectator numbers and ticket sales at traditional European events, demonstrating that entertainment value and sporting competition must coexist for sustainable growth.