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Brown's FIA letter weaponizes sponsor concerns and institutional capital into governance leverage ahead of 2026 Concorde negotiations.
$30 million to $80 million
annually for naming rights
$4.4 billion
acquisition in 2017
McLaren Racing CEO Zak Brown sent a formal letter to FIA President Mohammed Ben Sulayem requesting rule changes that would prohibit common ownership structures across Formula 1 teams. The letter, filed recently, targets the regulatory gap that currently allows a single entity to control more than one grid entry.
Brown's move follows years of quiet friction over Red Bull's dual-team model—Red Bull Racing and RB (formerly AlphaTauri)—which operates under shared ownership by Red Bull GmbH. While the Concorde Agreement and sporting regulations impose some technical and personnel firewalls, no explicit ownership prohibition exists. Brown's letter argues the current framework creates competitive ambiguity and sponsor conflicts that undermine the sport's credibility with commercial partners paying $30 million to $80 million annually for naming rights.
The timing matters. Formula 1's enterprise value has tripled since Liberty Media's $4.4 billion acquisition in 2017, pulling serious institutional capital into the paddock. Audi enters in 2026 with Sauber. Ford returns via Red Bull powertrain partnership. MSP Sports Capital, Arctos Partners, and Otro Capital have taken minority stakes in McLaren, Alpine, and Williams respectively. Family offices sizing franchise acquisitions want clear governance: one check, one team, no structural arbitrage. Brown's letter gives them a policy anchor.
McLaren's sponsor roster—Google, Dell, Cisco—includes companies with strict brand-safety provisions. If RB functions as a de facto junior squad feeding Red Bull Racing data or strategy, those companies face optics risk. Brown knows this. He also knows the FIA is three months from finalizing 2026 technical regulations, when Audi's board will want ironclad competitive parity language before final capital approval. The letter is procedural judo: attach the ownership question to a regulatory cycle already in motion.
Red Bull has operated two teams since purchasing Minardi in 2005, rebranding it Toro Rosso. The structure survived multiple Concorde renewals because it predated the current commercial era and because Christian Horner's Red Bull Racing won four consecutive titles (2010–2013), proving the senior team didn't need systemic help. But Helmut Marko's recent comments about RB serving as a "training ground" revived the debate. When Yuki Tsunoda or Daniel Ricciardo moves between teams mid-season, sponsors and rival principals notice.
Brown's letter doesn't name Red Bull explicitly—smart lawyering—but instead frames the issue as future-proofing against "potential conflicts of interest." That language invites the FIA to act preemptively, avoiding the uglier scenario of post-infraction enforcement. It also insulates McLaren from accusations of targeting a specific competitor, keeping Lando Norris and Oscar Piastri clear of grid politics while Brown handles the adults-only correspondence.
The FIA has three paths: ignore the letter, issue nonbinding guidance, or attach ownership restrictions to the 2026 Concorde Amendment currently under negotiation. The third option has teeth. Concorde renewals require unanimity among the ten teams, and Brown just put a governance wedge on the table that Toto Wolff (Mercedes), Fred Vasseur (Ferrari), and Mike Krack (Aston Martin) can pick up if convenient. Red Bull's Horner will need to spend political capital defending a structure most newer stakeholders find indefensible.
Meanwhile, Andretti Global's blocked entry bid—officially rejected in January 2024—looms over this conversation. If the FIA tightens ownership rules, Michael Andretti's revised application could argue his single-team model satisfies the new standard. Brown's letter, intentionally or not, creates cover for Ben Sulayem to revisit expansion criteria without looking like he reversed under American pressure.
The next inflection point is the FIA World Motor Sport Council meeting in June, where 2026 technical and sporting regulations get ratified. If ownership language appears in that draft, Brown's letter worked. If it doesn't, expect McLaren to raise the issue again during Concorde Amendment talks in Q3, when Audi's legal team will be reading every comma.
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