F1 CEO Bernie Ecclestone yesterday "stepped away from his role" as Liberty Media "completed its takeover, appointing Chase Carey" as its new Chair, according to Joshua Robinson of the WALL STREET JOURNAL. The decision came four months after Liberty Media agreed to acquire F1 in a "cash-and-stock deal that valued" it at $4.4B. Carey previously served as F1’s Chair, but yesterday’s announcement "solidified his operational control." Carey in a statement said, "F1 has huge potential with multiple untapped opportunities." Robinson noted Liberty Media Group will now be "renamed the Formula One Group." The transition "marks the end of an era for F1 after 40 years of evolution" based on Ecclestone’s "guidance, instincts and whims." Former Mercedes Team Principal Ross Brawn "returns to the sport" as F1 Managing Dir of Motor Sports, while former ESPN sales exec Sean Bratches becomes Managing Dir of Commercial Operations (WSJ.com, 1/23). MOTORSPORT.com's Charles Bradley noted Brawn has been an "advisor to Liberty during its takeover phase" (MOTORSPORT.com, 1/23).
LET IT BERN: Ecclestone yesterday said, "I was deposed. ... I am simply gone. It's official. I am no longer the leader of the company. My position has been taken by Chase Carey" (MOTORSPORT.com, 1/23). McLaren Technology Group Exec Dir Zak Brown said Ecclestone will be a "very hard act to follow, but he’s created a fantastic springboard from which Chase Carey and his Liberty Media colleagues will be able to take Formula 1 forward and make it even bigger and even better" (MOTORSPORT.com, 1/23). Carey said Ecclestone "deserves tremendous credit for this sport that’s been built over the past decades." Carey: "We certainly do appreciate what he built here. But that being said, I think when you look at the last four or five years the sport has really not grown to its potential. We have an opportunity to really grow this sport in a new and exciting way." Carey said sponsorships is one area where F1 can grow its revenue streams "the fastest." He said, "Realistically today, we have a one-man sponsorship operation. There are many categories we’re not even selling into. ... Putting an organization in place that enables us to execute on that probably is the most immediate impact" (“Squawk Box,” CNBC, 1/24). Carey said that the “modern media landscape was not grasped by Ecclestone.” Carey: "Bernie really ran a one-man show. I don't plan to run a one-man show" (AP, 1/24). Carey said Brawn's "real focus is how do we make the sport on the track everything it can and should be." Asked if he felt Ecclestone would find it hard to adjust to the new structure, Carey said, "I certainly understand that change is going to be difficult for him, and create challenges for him. Hopefully we’ll find a way that will continue to be rewarding for him. I want him to feel good about it" (MOTORSPORT.com, 1/23).
BRING IN THEIR OWN MAN: MOTORSPORT.com's Jonathan Noble notes Liberty Media has "shown it means business as it moved" Ecclestone aside and "slotted its own management team in place." Perhaps "key to it all is that Liberty offers the one thing that Ecclestone never did: a long-term vision for F1." But Noble notes what we are "unlikely to see is an immediate radical overhaul of things." Noble: "We've had clues about what Liberty wants to do: more races in America, secure the European heartland, make grands prix 'Superbowl' type events, use digital media better, change the prize-money structure, build the fan base, get more revenue from pay TV and utilise Virtual Reality. But none of that is the work of the moment" (MOTORSPORT.com, 1/24).
RACING IN THE STREETS: The AP’s Rob Harris notes "driving growth" in the U.S. is "seen as a priority for Liberty." The U.S. Grand Prix in Austin is the only event currently in the U.S., but "adding a street race is on Liberty’s agenda." Carey: "We would like to add a destination race in the U.S. in a location like New York, L.A., Miami, Las Vegas. We think we can create something that will be a really special event. Obviously the U.S. is all upsides for us. We haven't invested in the way we need to build the U.S. market" (AP, 1/24).
