After recent reassurances that their entry into Formula One (via purchase of the Sauber F1 Team) was on-track, most expected that things were going smoothly with Audi. They now own 50% of Sauber and have people in both Germany and Switzerland actively working on the program. Everything was falling into place for a grand entry to the F1 grid in 2026.
Right?
Really this time…
Well, maybe not so fast.
Word is that one of the main backers of Audi’s F1 project might be on his way out. This would place the whole effort at risk since the VW Group may opt to cancel it before it’s official entry. According to Motorsport, Audi CDO Oliver Hoffman may join former CEO Markus Duesmann in the unemployment line:
Hoffmann is also blamed for the fact that Audi is struggling with sluggish sales figures, and that the models planned under his direction have either not been as successful as hoped or had been repeatedly postponed.
It is understood that the Audi Supervisory Board is due to discuss the Hoffmann issue on Thursday, after which the Volkswagen Group’s Supervisory Board could have the final say at the beginning of March.
https://us.motorsport.com/f1/news/audis-f1-project-under-fresh-uncertainty-as-senior-figure-faces-exit/10578565/
So it looks like Audi’s much-heralded entry might not happen after all. This isn’t necessarily a new story since there were rumors going around last year that Audi might not go through with their entry. However, they continued to increase their ownership stake in Sauber and allocate people to the project; which demonstrated intent. But now, it looks like once again Audi might change their mind. It’s a bit confusing but it also demonstrates the inherent risks with manufacturers entering Formula One.
It normally comes down to two things; people and money. Normally an expensive undertaking like joining a racing series has to be approved at the highest level at a company like Volkswagen Group. There are meetings, proposals, studies, and a myriad of other activities that take place before deciding to enter. This takes time and is normally championed by key people within the organization. People like Hoffman and Duesmann were the main drivers for the F1 entry with Audi.
Also, even if an automaker decides to enter Formula One and allocate the resources to do so; things can change. Witness how many manufacturers were in F1 in 2001 and how many were left in 2009. Even massive companies like Honda, Toyota, and BMW decided that the costs could not be justified; especially in the aftermath of the 2008 Global Financial Crisis. So the funding was cut, people were reassigned or fired, and teams either went away or found alternate arrangements. This has happened before with manufacturers, but the impact is larger now given the size and budgets of contemporary racing teams.
The danger with manufacturer-backed or owned teams is that corporate boards can pull the plug with little to no warning, leaving teams in the lurch. Car companies exist to sell automobiles to the masses and use racing as a means of increasing brand awareness, building prestige, and engineering challenge. Racing, especially at the pinnacle of motorsport, can achieve a lot of these and related objectives. But if the cost of this exceeds the perceived value obtained via participation, the racing program will be at-risk. Audi’s disappointing sales figures could make any planned F1 entry untenable, hence the ongoing rumors.
Several commentators have discussed this and the implications it may have on the sport. I’ve seen Lawrence’s take on this as well as Aidan Millward’s, still have to watch Tommo’s but this has been news amongst many commentators over the past few days. We’ll find out more soon but the changes of Audi joining Formula One in 2026 may be growing slimmer.
Enjoy this picture of an Auto Union (precursor to Audi) Type C/D.
Credit: Rechlin
