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Formula 1

The main F1 engine rule row as Porsche/Audi rumours intensify

by Scott Mitchell-Malm
6 min read

Formula 1’s bid to attract Porsche and Audi has yet to clear a major hurdle as there is still disagreement with the incumbent engine manufacturers over concessions for new entrants.

The Volkswagen Group is weighing up whether to commit Porsche, Audi or both brands to an engine programme for F1’s new technical rules that will come into force in 2026.

Convincing a new manufacturer to join is a key target for F1 and the FIA and the stakeholders are going to significant lengths to achieve that, including shaping the next-generation engine regulations to appeal to the VW Group’s needs.

Part of that is removing the MGU-H from the power unit to drop one of F1’s most complex technical components and help make the engines simpler and cheaper, a target that will be helped by the eventual agreement of an engine development cost cap.

Mercedes, Ferrari and Renault have made it clear they are willing to do this, despite the investment that has gone into mastering the technology, because they understand the importance of attracting a new manufacturer.

What they are objecting to is the effort to allow prospective new manufacturers concessions, such as increased dyno time and extra budget allowance, to help them develop their first engines.

The incumbent manufacturers feel they are already making a significant compromise because dropping the MGU-H will require the development of very different power units as it is such a vital component, plus the new regulations intend to massively increase the electrical output from the MGU-K.

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There is also a belief that manufacturers like Porsche and Audi do not need such support, for various reasons.

The new regulations will hopefully be signed off by the World Motor Sport Council next month which means four full years of preparation and plenty of time for a new engine programme to be put together.

This is all a new entrant would have to focus on whereas Ferrari, Mercedes and Renault are developing brand new 2022 power units that will then be frozen for four seasons but will need to be maintained, assembled and potentially updated for reliability reasons during that time.

In addition, Porsche and Audi have extensive knowledge of hybrid technology from their recent LMP1 programmes in the World Endurance Championship and at the Le Mans 24 Hours.

Motor Racing Fia World Endurance Championship Wec Round 1 Silverstone, England

“If you are newcomers, you need to start from scratch no doubt,” admitted Ferrari boss Mattia Binotto when asked by The Race about the possible concessions.

“You need to invest in building your own dynos. And I think that certainly capital expenditure for investments on dynos is necessary. On other resources, like dyno hours or operation expenses, I’m not too sure.

“The reason why, first you’ve got 2022, it’s what we call the Wild West – everyone is free to do whatever they wish. And I’m pretty sure that the newcomer will start to develop being fully focused on that one.

“If you are a newcomer, you’ve got an advantage in the fact that you are only focused on the new development, while we as current manufacturers need to split our effort into the current running operations and what will be the new one.

“Removing the MGU-H, which has been agreed, implies that it’s a brand new project for everybody. So it’s starting from scratch for everybody and I don’t feel that they’ve got a disadvantage.

“I think they’ve got skills on fuel, renewable fuels, they’ve got skills on electrical.

“I’m not sure they are lacking the competencies to challenge the current manufacturers.”

Motor Racing Formula One World Championship Mexican Grand Prix Race Day Mexico City, Mexico

Another area of concern is that the VW Group’s interest appears predicated on striking a deal with Red Bull to partner with its new Powertrains division, massively reducing the expense of an F1 programme and allowing the technological expertise to be shared as well.

Red Bull Powertrains has been set up to take over the running of Honda’s engines, which Red Bull has agreed a deal to continue using, but more importantly to build the first ever Red Bull F1 engine for the new rules.

A new facility is being built and furnished in Milton Keynes including top-of-the-line engine dynos from Austrian specialist AVL.

There is a question over how this would fit with proposed spending restrictions if multiple companies are funding the same programme.

Mercedes boss Toto Wolff said interest from “strong OEMs” is “great” for F1 and that he understands “none of these major car companies wants to come in and face a situation that they are highly uncompetitive”.

“Therefore, we need to have systems in place that mitigate that very big risk,” he said.

“On the other side, Formula 1 is the Champions League, and nobody can expect to enter the Champions League for the first time and be straight into the final and go home with the big trophy.

“We’ve been there for a long time, we’ve invested lots of money and sweat and blood and terrible results in order to get us where we are.

Formula 1 Grand Prix, Belgium, Sunday Race

“Look at Mercedes’ history in the first three years of this as being a works team, look at the tough Honda years that they faced. And everybody had to fight his way up to eventually win races and championships.

“So it’s a fine balance that we need to get right to attract newcomers as power unit manufacturers, and on the other side I think everybody recognises that you can’t just come and conquer but you need to give it time.

“That is what in the past, many OEMs have just misunderstood. When you look at Toyota, Honda and BMW as recent past experiences, all the money, all the resources are irrelevant if you don’t give the project enough time.

Formula 1 Grand Prix, Monaco, Sunday Race

“Everybody who joins Formula 1 as a team or a power unit manufacturer needs to understand this needs time. And that makes the sport so attractive, that it is just not easy to win.”

If the VW Group does commit to F1 the suggestion is Porsche or Audi (or both) could then take on branding partnerships with existing teams.

Red Bull is at the front of the queue but the likes of McLaren and Williams are also mentioned as options.

Auto Motor und Sport has even reported that Audi has explored the possibility of investing in McLaren or buying the team outright.

McLaren team principal Andreas Seidl is well connected to the VW Group having spearheaded Porsche’s ultra-successful WEC and Le Mans programmes with its 919 Hybrid.

Motor Racing Le Mans 24 Hour Le Mans, France

Interestingly, Seidl has said he is personally not in favour of concessions for new manufacturers.

When asked by The Race for his view, Seidl drew on his history with Porsche and said: “From my point of view, my approach is always that even as a newcomer my experience for example when we entered Le Mans: I don’t want any concessions.

“Because I want to compete with competitors on a level playing field.

“And I guess you have to accept also when you come into a sport that it might also take time to build up this competitiveness.

“At the same time, I have no doubt with the timeline also that is in place, when the new regulations come in, whoever would enter F1 there’s enough time and I guess also enough knowledge around, and knowhow, with these manufacturers that they can be in a reasonably competitive position from the first year.”

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