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F1 is in a mess - John Watson

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F1 is in a mess - John Watson Empty F1 is in a mess - John Watson

Post by dyrewolfe Fri 27 Mar 2015 - 14:30

Interesting article in the Guardian by former driver John Watson. Echoes a lot of my feelings about the current state of the sport.

F1 has a major problem but is putting its head in the sand


“Formula One has a major problem but the sport is putting its head in the sand,” he said. “Two thirds of the grid are struggling, and barely able to make it to the race. Right now F1 needs to have a good look at itself and decide what it is trying to achieve. The product is in need of a massive kickstart.

“What’s going on? Bernie Ecclestone has done a phenomenal job for [owners] CVC but somebody needs to step in because of the dire state the middle and bottom of the grid is in. You can’t have a race with just four big teams. I’m unhappy with the governance from the FIA.”



Watson says F1’s efforts to cut costs have created problems of their own. “The regulations do not allow you to produce an entirely new engine this year, so the teams have to make the most of their development token. But that means that Mercedes, who have got everything spot on, are now enjoying complete domination. Another problem has been the reduction in testing time, again to cut costs. And this season teams have only four engines instead of five. So no one wants to do mileage because of the meagre engine allowance. Yet these hybrid engines are so complicated that everybody needs track time. Half the problem is bloody procedures. It’s nuts, total nuts.”

Watson, like many people in Formula One, wants CVC to readdress the amount of money it is taking out of a sport with an annual turnover of £1.5bn, while the majority of the teams struggle for survival. “That’s an area that must be revisited to keep the sport worthy of the money people are paying to watch it, either at the track or on TV.”


Another article from F1 Fanatic in which Bob Fernley (Force India deputy team principal) says he believes the financial struggles experienced by many teams are a result of the collapse of the Formula One Teams Association (FOTA), triggered when Red Bull negotiated their own deal with Bernie Ecclestone.

Red Bull to blame for F1's financial crisis?

This claim is disputed by Christian Horner, who says Ferrari were the first to cut their own deal and that McLaren were busy doing the same thing around the time of FOTA's demise.


Formula One’s cost crisis has its roots in the collapse of the Formula One Teams’ Association which was caused by Red Bull, according to Force India’s deputy team principal Bob Fernley.

FOTA was negotiating with Bernie Ecclestone and F1 owners CVC Capital Partners in 2011 for all teams to receive a larger share of F1’s prize money. However according to Fernley it was Red Bull who derailed their efforts by agreeing their own deal separately with Ecclestone.

Fernley said Red Bull’s deal with Ecclestone and departure from FOTA was “where I think the problems started” for F1. Since then two teams have disappeared and a third, Manor, came close to dropping out of F1 over the winter.

“I think that a few years ago we had FOTA operating in a very good way,” said Fernley in a press conference today. “It was a consolidated approach, it was well stewarded by (then McLaren team principal) Martin Whitmarsh, we were in joint negotiations with CVC at the time to obviously renegotiate those contracts and everything else”.

“Unfortunately, and I say that because obviously Christian is here, Red Bull felt the need to take the forty pieces of silver. And that was the downside, I think, for Formula One, and I don’t think we’ve recovered from that particular action.”

Red Bull team principal Christian Horner denied Fernlet’s claim, saying it was “a little harsh of Bob to suggest that the plight of the smaller teams is all Red Bull’s fault”.

Horner said FOTA was “pretty dysfunctional” at the time and “focusing on the wrong aspect” – and that it was Ferrari who undermined its dealings with Ecclestone.

“Ferrari went and cut their own deal,” he said. “Red Bull weren’t the first team to sign an agreement with Bernie.”

“At the same time McLaren were also in dual discussions and cut their own deal. So that’s the way of the world. We all represent out own entities and guarantees had to be given by the companies in order to be eligible for that funding.

I think this just confirms what many of us already suspected about the mentality within the teams and the need for:


1) A restructuring of the finances so that the top 5 teams aren't quite so well rewarded at the expense of the smaller teams

2) A person or body to conduct negotiations on behalf all the teams, in a way that ensures fairer basic payments (before performance-related prize money or other payments are brought into the equation.


You could also argue that FOTA should be resurrected, with rules against individual teams entering into private negotiations, but I have a feeling trying to enforce democracy would just result in stagnation, with nothing of note ever being agreed on...hence the need for an impartial third party.
dyrewolfe
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Post by bogbrush Sun 29 Mar 2015 - 9:57

2) is exactly what Bernie Eccleston was at the start.

The "divide and rule" is again what BE has been doing for decades.
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