Formula 1 under judicial investigation after Andretti’s rejection
Formula 1 is at the center of a U.S. judicial investigation for non-compliance with antitrust laws after repeatedly rejecting Andretti's bid. This situation could jeopardize the future of the sport in the United States, as the courts examine the criteria for these rejections.
Formula 1, owned by Liberty Media, has acknowledged being at the center of a legal investigation after repeatedly rejecting Andretti’s application. The US Department of Justice has flagged the series for violating antitrust laws. This situation could well compromise the future of the sport in the United States.
Several refus that led to court.
Andretti Global, a team involved in various motorsports, has been trying to join Formula 1 for several years now. Always rejected because it does not meet the entry criteria, it had met with several American politicians to discuss its situation. After reporting the matter to Congress and senators, the American justice system has decided to open an investigation. A decision that could lead to serious problems for the premier racing discipline in the United States.
The announcement was made by Greg Maffei, head of Liberty Media, who himself is the subject of these accusations. During a conference with Formula 1 shareholders, the CEO confirmed that he would actively participate in the investigation, even though he does not believe he is guilty. “There is an investigation by the Department of Justice, and we intend to fully cooperate with this investigation, including responding to any related information requests,” he said. “We believe that our decision, the decision of F1, was in line with all applicable US antitrust laws, and we have explained the reasons for this decision, regarding Andretti, in previous statements.”
Despite numerous rejections, Greg Maffei asserts that the sport is not closed to the arrival of new teams. This information could be justified by Audi’s arrival, but in reality, it does not increase the number of teams on the grid. “We are certainly not opposed to the idea that all expansion is bad,” he said. “There is a method of expansion that requires the approval of the FIA and F1, and both groups must assess that the criteria are met. We are certainly open to new candidates submitting applications and potentially being approved if these requirements are met.”
The controversial rejections of Andretti.
The starting point of this investigation is Andretti’s candidacy, which, in partnership with Cadillac, wishes to join Formula 1. Despite the initial support from the FIA, Formula 1 has firmly opposed this entry. The main reason given is the negative financial impact it will have on the ten teams already on the grid. Liberty Media, led by Greg Maffei, has also argued that, in sporting terms, the Andretti team would have little chance of long-term success. Therefore, its entry into the discipline would not contribute to the added value of the series.
However, this justification did not convince the officials of the Andretti project. It does not seem to have won over the American Congress either, as it has decided to take action. The American justice system notably wondered how a team with so much experience could not meet the entry requirements.
This time, it is possible that it will not be Formula 1 that has the final say. The investigation that has just been launched could take several months or even several years to conclude. It is highly likely that the final decision will not only have an impact on the relationship between the two parties, but also on the future of the championship in the United States. The sport, which is trying to expand into the country, may have to start over if it encounters legal troubles.