Ferrari appears to have taken lessons from Red Bull, threatening to leave Formula One at the end of the 2020 season because the proposed engine changes for the 2021 season. Ferrari signed an agreement to stay in Formula One until the end of 2020, in exchange for a large bonus each season.
The threat comes because of the 2021 engines plans that were proposed earlier this week. The main issue is that restrictions will be put in place to prevent engines from being unique, essentially taking a step towards stock power units. President Sergio Marchionne discussed an exit from Formula One during the company’s end of quarter conference call with investment analysts.
Other reasons for the exit threat were hinted upon, but never explained in further detail. Marchionne also explained that he understood that Liberty Media’s intentions are to reduce costs, but still feels that there are a couple of issues that need to be addressed:
“I understand that Liberty may have taken these into account in coming up with their views, but I think it needs to be absolutely clear that unless we find a set of circumstances, the results of which are beneficial to the maintenance of the brand, and the marketplace, and to the strengthening of the unique position for Ferrari, Ferrari will not play.”
Marchionne went on further to say:
“If we change the sandbox to the point where it becomes an unrecognisable sandbox, I don’t want to play any more. I don’t want to play NASCAR globally, I just don’t.”
Many have dismissed the empty threats, saying that the team will never leave, which is most likely the case. Red Bull also threatened to quit a few years ago, which many just interpreted as a temper tantrum from a team whose domination had been replaced by Mercedes’ domination. Threats to quit by big players like Ferrari and Red Bull are unlikely to materialize.
However, Mercedes and Renault have also complained about the 2021 engine regulations, citing similar issues. The next Strategy Group meeting set for next week will be very important in determining what other changes are in the works and will provide more discussion on the new engine regulations.
