“$200million puts an intrinsic value or minimum value on any entrant”– Christian Horner doesn’t feel anti-dilution is pointless for new F1 teams

Tanish Chachra | 18/05/2022
"$200million puts an intrinsic value or minimum value on any entrant"– Christian Horner doesn't feel anti-dilution is pointless for new F1 teams

Christian Horner doesn’t think that the $200million dilution fee for the new F1 teams is not pointless, instead it proves the worth.

The Andretti group has been trying hard to add itself in the Formula 1 grid. So far, the proposal by Mario Andretti has not been welcomed with open arms.

For starters, Red Bull boss Christian Horner thinks that it would be unfair for the current F1 teams to pay for the new F1 team. Considering, the F1 annual money division would be between 11 teams and not 10. So, it would affect every current team’s pocket.

But as of now, the anti-dilution fee of $200million fee in the current Concorde agreement has been rendered pointless. Despite the fact that Horner and his counterpart Toto Wolff have made continued calls for a marquee teams to prove its worth.

Horner now claims that the purpose behind the fee was that it adds an intrinsic value to the entrant. He claims that it was only a step to see that the new team has longer goals.

“What that essentially does, it puts an intrinsic value or minimum value on any entrant, you know, from P10 upwards, I think that you’ve got to look longer term,” said Horner.

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Christian Horner claims lower placed teams no longer fight for survival

Horner claims that for the first time, the F1 teams don’t see themselves not being able to carry themselves any longer. He says all the teams including the last placed team is currently financially healthy.

“I think it’s the first time in memory that we’ve got 10, healthy franchises, 10 healthy teams,” Horner added. “There was always a team, you know, the last couple of teams would always be fighting to survive.”

“whereas now they’re in a position where they can actually plan for the future, they can look forward rather than just being in the present,” he said further

“The 200 million is a significant amount of money. But you know, in this business, and when you divide it by the participants, it doesn’t go a long way.

“It’s a one-shot, it’s not 200 million every year. So, you know, at the end of the day, a conversation like this will always come down to economics.”

Also read: F1 fans ask what good 2022 regulations have done when Ferrari & Red Bull are so ahead against rest of the grid

Post Edited By: Tanish Chachra
Christian Horner Red Bull

About the author

Tanish Chachra

Tanish Chachra is the Motorsport editor at The SportsRush. He saw his first race when F1 visited India in 2011, and since then, his romance with the sport has been seasonal until he took up this role in 2020. Reigniting F1's coverage on this site, Tanish has fallen in love with the sport all over again. He loves Kimi Raikkonen and sees a future world champion in Oscar Piastri. Away from us, he loves to snuggle inside his books.

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