Wolff: Income could drop with new model

Mercedes boss Toto Wolff believes that Liberty Media will find it more and more difficult to keep the level of income as high as it was, under the new model.

Next year’s planned grand prix in Miami will be run under a different model, with F1 taking a share of gate and hospitality income, instead of the old system, where a promoter paid a fee which then escalated as years went on.

“Sanction fees were one of the three key revenue generators in the old Bernie  F1 business model,” Wolff said.

“And he was exceptional at these deals.

“I’m not sure it is sustainable,

“It is clear when there is a change of regime that people and promoters will try to negotiate and restructure the business model.”

News of this new model and reduced race fees has led to concern about less money in the sport, but Wolff is confident that Liberty will be able to increase revenue in other areas, adding: 

“I have confidence in the current manager's team that they will take the right decisions and find the right agreements with promoters,

“It is also clear one pillar is going to be difficult to maintain on the levels we have seen before,

“We have to grow in other areas, to grow broadcast deals and digital revenue, and monetise alternative revenue streams.”