Congress Is Stepping In And Asking Antitrust Questions After Andretti F1 Snub
The story of Andretti Global trying to snag a spot on the Formula 1 grid appears far from over despite a formal rejection from F1, and now Congress is getting involved and raising some compelling points.
Yes… our United States Congress.
I know, weird…
A dozen members of Congress sent a bipartisan letter spearheaded by Rep. John James, a Republican from Michigan to Liberty Media CEO Gregory Maffei. Liberty Media's Formula One Management (FOM) is the commercial rights holder for Formula 1. That's who denied Andretti Global's application to join the grid, despite already having approval from the FIA.
READ: MARION ANDRETTI SAYS HE'S 'OFFENDED' BY F1 REJECTION
"We write to express our concerns with apparent anti-competitive actions that could prevent two American companies, Andretti Global and General Motors (GM), from producing and competing in Formula 1," the letter begins.
James' home state of Michigan is home to the US major auto manufacturers including General Motors, whose Cadillac brand was intended to enter F1 as a partner and engine manufacturer for Andretti.
The exclusion of an American automaker is a key part of the letter which was released just days before the Miami Grand Prix, the first US-based race of the 2024 season, something that surely wasn't a coincidence.
"FOM's rejection appears to be driven by the current line-up of European Formula 1 race teams, many of which are affiliated with foreign automobile manufacturers that directly compete with American automotive companies like GM," the letter reads. "It is unfair and wrong to attempt to block American companies from joining Formula 1, which could also violate American antitrust laws."
Now, that's an interesting point.
Lawmakers want answers as to why after the FIA signed off on Andretti Global and Cadillac's bid to join F1, FOM shot it down. (Photo by Beata Zawrzel/NurPhoto via Getty Images)
Lawmakers Have Three Questions They Want Answers To
The letter ends with three questions that lawmakers would like answered by Friday. One is why the Andretti-Cadillac bid was denied if the current Concorde agreement allows for the grid to expand to 12 teams as well as what authority FOM has to deny them when the FIA has already given the go-ahead.
In the second question, they invoke the Sherman Antitrust Act of 1890 and would like to know how not allowing Andretti onto the grid is good for American consumers.
And finally, they asked if GM's plans to re-introduce the Cadillac brand in Europe had on the decision. F1 teams were openly critical of the revenue-sharing implications of adding an 11th team, but lawmakers now want to know if the possible impact on the European auto market was a factor in the decision as well.
It'll be fascinating to see how Liberty and FOM respond to this one and how they explain the decision not to allow one of the world's biggest automakers in partnership with one of the biggest names in American racing onto the grid.