15/08/2024
NEWS STORY
The U.S. Department of Justice has opened an antitrust investigation into Liberty Media over F1's refusal to allow Andretti Global to enter the sport.
Ahead of a conference call with investors, Liberty revealed that it had "received notification from the Department of Justice, Antitrust Division that an investigation has been opened with respect to Formula 1's conduct concerning the application by Andretti Formula Racing to enter the FIA Formula One World Championship".
During the subsequent conference call, Liberty Media's President and CEO, Greg Maffei shed further light on the investigation.
"We intend to fully cooperate with that investigation, including any related request for information," he said. "We believe our determination, or F1's determination, was in compliance with all applicable U.S. antitrust laws.
"We've detailed the rationale for this decision vis-a-vis Andretti in prior statements," he added. "We are certainly not against the idea that any expansion is wrong.
"However, there is a methodology for expansion that requires approval of the FIA and the F1 and both groups have to meet find the criteria met. We're certainly open to new entrants making applications and potentially being approved if those requirements are met."
In May, a number of senators, including Amy Klobuchar, expressed concern that the sport was potentially violating U.S. antitrust law by assisting mainly European rival teams, "including foreign automakers", to block Andretti, which had previously announced its partnership with GM and Cadillac.
While the FIA accepted Andretti's bid, concurring that it had met the "stringent criteria" required, F1 - with the full support of the majority of the existing teams - rejected the American team insisting that it would not be competitive and would not add value to the series.
"We have serious concerns that the rejection of Team Andretti-Cadillac was based on a desire to exclude a rival from the race track, marketing opportunities, and prestige that competing in F1 can lend to a car manufacturer competing to sell cars across the globe," said the senators in May.
Despite the rejection, Andretti has been pressing ahead with its programme, establishing a European hub at Silverstone and taking on numerous personnel, not least F1's own former technical boss, Pat Symonds.