Formula 1 has carved out its future path with a key announcement: all 11 teams committed to racing in the 2026 World Championship and beyond have signed the pivotal new Concorde Agreement.
This crucial commercial pact ties the teams and Liberty Media, the holder of F1’s commercial rights, into a five-year agreement, as reported by motorsport website RACER. This move underscores a strong dedication to the thriving world of Grand Prix racing.
Under the leadership of Stefano Domenicali, whose role as CEO has recently been extended, this new agreement—also signed by newcomer Cadillac F1—heralds a period of economic stability and shared goals.
According to an F1 statement, “Formula 1 can confirm that all teams have signed the 2026 Concorde Commercial Agreement, which secures the long-term economic strength of the sport. Formula 1 has never been in a stronger position, with all stakeholders witnessing positive benefits and significant growth. We thank all the teams for their involvement during this process to achieve the best outcome for the sport. The 2026 Concorde Governance Agreement will be finalized in due course.”
While the commercial terms are sealed, the governance section of the 2026 Concorde Agreement is still under development, with finalization on the horizon.
### Challenges on the Horizon
The timing of this comes at a crucial juncture. With FIA president Mohammed Ben Sulayem facing a general election later this year, the completed commercial deal removes a major negotiating tool from his arsenal.
The previous Concorde Agreement, crafted in 2021 under Jean Todt, offered a framework that Ben Sulayem had hoped to reevaluate to favor the FIA.
Now, with the teams and F1 showing unity, the FIA must find new pathways to exert influence over governance discussions. The inclusion of Cadillac, supported by both F1 and the FIA, adds another layer of complexity to the situation.
Despite F1 enjoying a surge in popularity, this agreement sets a growth foundation. Yet, the quest for control is far from settled.
All eyes in the paddock are now on the governance talks, where the power dynamics of the sport will be rigorously tested.
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