Formula 1 rejects Andretti’s 2025 entry application

The Formula 1 rights holder has rejected Andretti’s application to join the grid from 2025 but outlined the conditions it would need to meet for a future entry.

Last October, the FIA announced that after studying several prospective new Formula 1 entrants, Andretti had demonstrated sufficient technical capability to lodge a formal entry. The racing outfit, led by former racer Michael Andretti, was determined to join the grid in 2025, with a tie-up with US car giant General Motors that would see its Cadillac brand used.

However, under the Concorde Agreement, only the approval of F1’s commercial rights holder, Liberty Media, is required for a new team to enter the championship. From the start, Liberty Media had shown a cool attitude towards Andretti’s application. F1 president and CEO Stefano Domenicali said at the time: “As we always said, we need to make sure we take the right decisions for the business. I think it’s an obligation that the FIA and ourselves have together.”

According to a statement issued by F1 on Wednesday, Andretti’s application was rejected for three main reasons.

Competitiveness

Firstly, the Andretti team was deemed unlikely to be competitive.

With new technical regulations coming into force in 2026, Andretti’s target of joining the grid in 2025 would require the development of two different cars under separate rule sets – a significant challenge for existing outfits, let alone a newcomer. Mercedes’ ‘golden era’ started with the introduction of hybrid power units in 2014, but the German manufacturer took four years to lay solid foundations.

In its statement, F1 concluded: “Our assessment found that the addition of a 11th team would not, of itself, bring sufficient value to the Championship. The most important way that a new entrant can bring value is by being competitive. We do not believe that the applicant would be a competitive entrant.”

“We do not consider there to be a credible basis for admitting any new applicant in 2025, as this would involve a new entrant manufacturing two completely different cars in its first two years. The fact that the applicant proposes to do so gives us reason to doubt their understanding of the challenges they would face. While this issue would not arise in 2026, this is a unique technological challenge for manufacturers in motorsport’s pinnacle series, which the applicant has not faced in any other formula or series in which it has participated.”

“Furthermore, the applicant proposes to rely on a forced power unit supply for these initial years. On this basis, we do not consider the applicant to be a credible competitor.”

Photo by: Alexander Trienitz / Motorsport Images

Michael Andretti on the grid

Power unit supply issue

While Andretti struck a strategic partnership with General Motors to join F1, the American automotive giant is understood not to be ready with its own power unit until 2028. As such, Andretti would have needed to source engines from another manufacturer for an interim period. Talks with Renault for an engine deal were positive but ultimately collapsed last year, and there has been no progress since.

While the FIA has a mechanism to force a manufacturer to supply a team without an engine deal, F1 believes that, given Andretti’s relationship with GM, such a scenario would not be in the best interest of the manufacturer concerned, especially regarding intellectual property protection.

“The applicant’s proposal to attempt to enter relying on a forced supply from a competing power unit manufacturer would inevitably be unattractive to a competing power unit manufacturer in circumstances where the applicant is simultaneously pursuing a long-term partnership with General Motors as a power unit supplier, and a forced power unit supplier would view this as a risk to its intellectual property and proprietary technology,” F1 said.

Additional commercial value

With most of the current 10 teams expressing reservations about a new entrant that would not significantly enhance the championship’s revenue, there were concerns that a new team would dilute the existing teams’ share of the pie.

Guenther Steiner, the founder of the only US-led outfit currently on the grid, Haas F1 Team, wrote in his book last year, “In my opinion, if someone can prove that they could help our sport’s revenues increase by at least five per cent, then why not? But if someone just wants to come in because we’re doing well, then no, f**k off. You have to contribute, not just your presence. F1 obviously understands this, which is probably why recent applications haven’t been successful.”

In its rejection statement, F1 said: “Any new team requiring a forced power unit supply for a number of seasons would harm the reputation and status of the Championship.” While F1 acknowledged that the Andretti name carries weight in motorsport, “the value would be added to the Andretti brand by Formula 1, rather than vice versa”.

Additionally, on sustainability grounds, F1 believed that adding another team would put unnecessary financial pressure on existing Grand Prix hosts and reduce “other competitors’ room for maneuver in terms of technology, operations, and commerce”. Therefore, F1 could not “ascertain any material positive expectation on the CRH financial performance, which is a key indicator of the Championship’s pure commercial value.”

Photo by: Steven Tee / Motorsport Images

TV Presenter Karun Chandhok talks with Zak Brown, Executive Director, McLaren Racing, and Michael Andretti.

Notably, Andretti’s approach during its efforts to join the championship had irked some existing teams. In June 2022, Michael Andretti claimed there was a “cartel” within F1 that made the sport look like a “European club”. In January last year, after receiving a lukewarm reception, the American described F1’s stance as “greedy”.

Steiner also commented on this in his book: “In my experience, if you want to invest in a successful organization, while telling the top brass what you can bring to the table, you should try to build relationships with everyone. That seems like the most sensible way to go about it. If your investment isn’t immediately accepted, the next best thing is to understand why it hasn’t been accepted yet and come back with a better offer. When Michael started talking [about joining], Formula 1 was doing well, and now it’s even better. In other words, it’s a sellers’ market.”

Future possibilities

From F1’s statement, its position is clear: unless Andretti can secure a manufacturer engine deal and demonstrate competitiveness, its doors will remain closed.

Last year, Andretti had already begun assembling its team, including appointing former Renault F1 technical director Nick Chester to head up its technical department and recruiting staff. Following F1’s public announcement, Andretti Autosport and Cadillac issued a joint statement expressing “strong disagreement” with the decision.

“Andretti Cadillac has reviewed the information shared by Formula 1 Management Limited and strongly disagrees with its contents,” the joint statement began. “Andretti and Cadillac are two successful global racing organizations committed to fielding a genuine American team in Formula 1 to compete at the highest level alongside the world’s top teams. We are very proud of the significant progress we’ve made in developing a highly competitive racecar and power unit with our experienced team, and our work continues on schedule. Andretti Cadillac also wants to thank the fans for their support.”

1978 F1 World Champion Mario Andretti, Michael’s father, also expressed his “sadness” on social media.