KTM's MotoGP project continues to exist in a state of apparent uncertainty - both short- and long-term - even despite the future of the marque being secured for now.
An Austrian credit union has suggested that a MotoGP withdrawal - over a so-far unspecified timeframe - has been put forward as a proposed measure as part KTM's insolvency proceedings.
In the meantime, the manufacturer has insisted in a statement supplied to The Race that it will be on the grid in 2025.
The Ried hearing
It emerged last month that KTM, which accounts for 18% of the current MotoGP grid and also has a huge presence in grand prix racing's lower classes, was insolvent and in debt amounting to multiple billion Euros.
A December 20 hearing at the Ried im Innkreis regional court in KTM's native Austria has greenlit the manufacturer's continuation under its restructuring plan as part of the self-administration it had applied to enter.
It was reported by creditor representative KSV1870 that the plan in question is not one that KTM can fulfil using its existing resources, but one that should be viable with outside investment. Austrian national broadcaster ORF quoted a potential investment sum of €70million - and quoted Gottfried Neumeister, the co-CEO of KTM AG and its parent company Pierer Mobility Group, as saying KTM partner Bajaj (an Indian automotive manufacturer) was among the prospective investors.
KSV also reported a number of KTM cost-saving measures that included the highly publicised staff reductions (lesser than originally anticipated, according to ORF), a production stop as the company seeks to sell off already-existing stock - and the sale of MV Agusta.
KTM had in recent years first bought into the legendary Italian bikes brand and then become a majority shareholder - and KSV said this "did not deliver the expected synergies" with KTM's other brands (which also include the likes of Husqvarna and Gas Gas).
But while the outcome of the hearing appears to be good news for the beleaguered Austrian manufacturer, its MotoGP programme - which KTM has consistently insisted is a separate matter to the KTM AG insolvency - has suddenly come up as potential collateral damage.
Another creditor representative Alpenländischer Kreditorenverband - AKV for short - has claimed that the 'already commenced' measures for cutting costs and raising the required funds include a "planned" exit from "MotoGP/Moto2/Moto3".
This came on the same day that KTM issued a public press release reaffirming its commitment to racing - albeit without naming any specific series or class - with the slogan 'here to stay'.
KTM's statement
"Today marks an important day for KTM with the confirmation of our restructuring proceedings," said the statement offered by KTM when contacted by The Race about the insolvency proceedings and the future of its MotoGP programme.
"This milestone secures our plan moving forward, and we are proud to confirm that motorsport remains an integral part of this restructuring plan.
"KTM stands firmly committed to motorsport. We repeat our statement for 2025: we will continue to race in MotoGP!
"We are re-energised with today's positive outcome and thank you for your support."
So what now?
KTM is under an existing contract with MotoGP promoter Dorna running to the end of the current regulations cycle in 2026.
A contract of the same nature did not prevent Suzuki from withdrawing from the championship earlier this decade - but Suzuki was not in financial strife, and KTM's current state may well mean that, even if the preference was to shutter the programme (as suggested by AKV), it is more tenable to continue in some form instead of withdrawing and paying whatever penalties exist in the deal.
KTM's 2025 bikes have already been assembled. Its participation in the next ruleset, kicking in in 2027, has long seemed to be the much bigger question, given it has not yet signed a contract committing itself to the next era of MotoGP and may now be unable to either afford or justify it.
KTM's statements - both its end-of-year proclamation and the specific address in regards to the insolvency proceedings - emphasise a commitment to motorsport. Unsurprisingly, though, a specific MotoGP 2027 commitment is not part of that statement - but, given no contract is signed anyway, it should not be taken as confirmation by omission.
But if AKV is correct and KTM has indeed outlined a plan for a MotoGP withdrawal, a gradual exit would presumably clash with the desires of all four of its factory-contracted MotoGP riders - including rising star Pedro Acosta. This is because development budget would likely be slashed, and any aspirations of finally making KTM a consistent winner in the premier-class would surely go unrealised.
The alternative option, if KTM has indeed decided it has to give up MotoGP, would be the takeover of the programme by another party.
