In a dramatic turn of events, Liberty Media, the powerhouse behind Formula 1, has found itself under the scrutiny of the U.S. Department of Justice (DOJ). The investigation centers around Liberty Media’s handling of the Andretti entry case, a decision that has sent shockwaves through the motorsport community and raised significant legal questions.
For the past few years, the American racing outfit Andretti has been attempting to break into Formula 1. With a solid foundation in Formula E and IndyCar, and a substantial global presence, Andretti ramped up their F1 ambitions in 2024 by unveiling a cutting-edge factory in Silverstone and aggressively recruiting top talent. Their proposal to join the F1 grid in 2026 gained the approval of the FIA, the sport’s governing body. However, in a controversial move, Formula One Management (FOM) voted against allowing the American team to enter the elite motorsport series.
This decision has been widely criticized, with many questioning the motives behind the rejection. The backlash has been so intense that it has now drawn the attention of the DOJ, which is investigating whether Liberty Media’s actions violated U.S. antitrust laws.
In a recent earnings call, Liberty Media’s CEO and President, Greg Maffei, addressed the situation, reassuring investors of the company’s cooperation with the investigation. “We intend to fully cooperate with that investigation, including any related request for information,” Maffei stated. He emphasized that the decision regarding Andretti’s entry was made in compliance with all applicable U.S. antitrust laws and that the rationale behind it had been communicated clearly in prior statements. “We are certainly not against the idea that any expansion is wrong,” Maffei added, highlighting that both the FIA and FOM have a strict methodology for approving new entrants, and that any expansion must meet their stringent criteria.
The possibility of legal action against Liberty Media is not entirely surprising. Earlier this year, racing legend Mario Andretti made a high-profile visit to Capitol Hill, garnering support from U.S. Congress for his team’s F1 bid. His efforts did not go unnoticed, with several Senators backing his cause.
As the path for Andretti to enter F1 as the 11th team becomes increasingly murky, the team has been advised to consider alternative strategies, such as purchasing an existing team. FIA President Mohammed Ben Sulayem, who initially supported Andretti’s bid, has since shifted his stance. “I would advise them to go and buy another team, not to come as the 11th team,” he remarked, suggesting that the focus should be on maintaining a strong and competitive grid, whether it consists of 10 or 11 teams.
The unfolding investigation by the DOJ adds another layer of complexity to an already contentious issue, and the outcome could have far-reaching implications for the future of Formula 1 and the expansion of its grid. As the motorsport world watches closely, the stakes have never been higher for Liberty Media and the future of Andretti’s F1 dreams.
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