With its Cadillac brand, US automotive behemoth General Motors has agreed in theory to join Formula 1 in 2026.
On Monday, GM and its US subsidiary TWG Global promised to name a new team after GM’s luxury Cadillac brand and to develop its own engine “at a later time”.
F1 stated the application procedure would “move forward”.
“With Formula 1’s continuous growth plans in the US, we have always believed that welcoming an outstanding US brand like GM/Cadillac to the grid and GM as a future power unit supplier could bring additional value and interest to the sport,” Greg Maffei, president and chief executive officer of F1 commercial rights holder Liberty Media, said.
“We attribute great progress in general readiness to enter Formula 1 to the leadership of General Motors and their associates.
“We are eager to advance with the application process for the GM/Cadillac team to enter the Championship in 2026.”
“General Motors is a huge global brand and powerhouse in the OEM (original equipment manufacturer) world and is working with impressive partners,” said Mohammed Ben Sulayem, President of F1’s governing body the FIA.
“I wholeheartedly welcome the initiatives taken by the FIA, Formula 1, GM and the team to keep communication and aim towards this outcome of an agreement in principle to progress this application to bring a GM/Cadillac branded team onto the grid for the 2026 FIA Formula One World Championship.
“All parties, including the FIA, will keep collaborating to guarantee a seamless process.”
Senior sources in F1 have informed BBC Sport that GM and TWG would pay a $450 million (£358m anti-dilution charge to guarantee admission.
The current 10 teams will share this 11 ways instead of 10 as pay for their loss of prize money resulting from F1’s profits now being distributed differently.
The teams get in the 63% of F1’s earning range.
Though the contracts between the teams, F1, and the FIA finish after 2025 and are being renegotiated for 2026, this is more than the $200m anti-dilution mandated by the current F1 rules. The new deals should have the cost rising once more.
Not projected to be before 2028, the Cadillac team will have to purchase a customer engine from an existing supplier to close the gap before its own engine is developed.
Though the preferred at the time is Ferrari, talks have not finished. One of their two existing client teams, Sauber, evolving into Audi’s official entry, will provide a spare supply from 2026 for which the German auto maker is developing its own engine.
The new Cadillac is a variation on the Andretti offer F1 turned down in January.
F1 indicated at the time that it did not think the Andretti proposal, which was in cooperation with Cadillac, would benefit the sport.
This updated bid is seen differently since GM will be entering as a team owner.
Together GM and TWG will form the new team, with Mark Walter from TWG and Dan Towriss, owner of US team Andretti Global, as the two major investors.
After leaving Andretti Global in September, Michael Andretti, co-founded the team bearing his name, is no more involved.
Viewed as a divisive person who had rubbed people up the wrong way with what was believed to be his pushy manner to try to get an admission, the former IndyCar and F1 driver was blamed.
The US Department of Justice is looking at F1 over its choice to turn down Andretti’s initial application.
Mario Andretti, the 1978 Formula 1 world champion, Michael’s father will be in an advisory role.
In an X post, the 84-year-old said: “Feel very lucky that I’ve been able to be around for this long and do what I love for so long.
“And the concept that the Cadillac F1 Team wants me around… I’ll help where I can, a non-executive role with the team, not involved in daily operations (since I don’t want a job), but contributing guidance, inspiration, friendliness anyplace I can. I am far from lucky.
