FIA’s president, Mohammed Ben Sulayem, responded to reviews of the Saudi Arabian Prince making an attempt to achieve management over F1 and Liberty Media after providing a whopping $20 billion value.
Sulayem labeled the worth as ‘inflated’ in his tweet and warned that ‘any potential purchaser’ ought to apply sufficient widespread sense earlier than making such a transfer. He referred to the FIA as ‘custodians of motorsport.’
He said that somebody who’s eager about such a deal should give you a transparent and sustainable plan for the game and bringing in some huge cash shouldn’t be the suitable factor to do.
“Because the custodians of motorsport, the FIA, as a non-profit organisation, is cautious about alleged inflated value tags of $20bn being placed on F1. Any potential purchaser is suggested to use widespread sense, think about the better good of the game and include a transparent, sustainable plan – not simply some huge cash.”
A report emerged over the previous week from Bloomberg claiming that the Saudi Arabian Public Funding Fund, additionally known as the PIF, had lodged a $20 billion bid to take over Liberty Media and the rights of F1. PIF works beneath the chairmanship of Saudi Crown Prince Mohammed bin Salman.
How would an inflated value for F1 rights have an effect on the game?
In his tweet, Mohammed Ben Sulayem defined that inflation inside the sport and its value itself can change into disastrous.
He said that it may well have an effect on the promoters within the sport, internet hosting charges, and plenty of different industrial prices that the game is obliged to. This, in flip, will have an effect on the costs that followers pay to witness races all world wide, and it may well result in a lack of fanbase. Ben Sulayem tweeted:
“It’s our responsibility to contemplate what the long run affect shall be for promoters when it comes to elevated internet hosting charges and different industrial prices, and any opposed affect that it might have on followers.”
Ever since Liberty Media purchased rights to F1 in 2017 (after a $4.6 billion deal), there have been outrageous methods during which the game has expanded. With the entry of Netflix’s Drive to Survive, there was an enormous surge of followers in F1. Together with that, races in newer arenas and promotional actions have actually valued the game up, however to not $20 billion, because the FIA president revealed.