Explaining the key aspects of Porsche and Audi's planned F1 entries

Audi and Porsche have crafted titanic legacies in motorsport. The game-changing Audi Quattro established 40 years ago that surefooted four-wheel drive was fundamental for World Rally Championship success. Porsche has mastered the Le Mans 24 Hours with its record 19 victories. That run was started by the 917, arguably the greatest competition car of all time, which partially provided the template around which the Group C regulations – a hallowed era of sportscar racing that Porsche also dominated thanks to the 956/962 – were devised. 

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But for neither manufacturer did the light shine quite so brightly with their forays into grand prix racing. Bernd Rosemeyer delivered Audi precursor Auto Union, with its Type C designed by Ferdinand Porsche, the European championship spoils in 1936. But it was swiftly toppled by Mercedes and never resumed its top-flight presence after the Second World War.  

Works Porsche pilot Dan Gurney won the French and Solitude GPs in 1962 but the marque pulled out of Formula 1 at the end of the year on the grounds of cost. The 1983-87 glory years as an engine partner to McLaren were privately funded and ran under the TAG moniker, so were not a true factory triumph. The V12 that Porsche then directly provided for Footwork in 1991 was appalling. It hasn’t been seen at the apex of single-seater racing since. 

But Audi and Porsche now appear ready to pick up their respective stories. Both have the belief that they can craft their greatest grand prix successes to date, and that includes putting eight-time constructors’ champion Mercedes in the crosshairs. And both are certain that joining the F1 grid from the 2026 season onwards makes absolute financial sense.  

What’s the official line? 

Herbert Diess is the CEO of the two manufacturers’ parent company, the Volkswagen Group. Earlier this month he addressed questions from residents of Wolfsburg, where the conglomerate is based, in a well-appointed lounge. There, Diess revealed that even though it wasn’t a unanimous agreement among board members, the VW Group top brass had “simply run out of arguments” not to permit Porsche and Audi – its biggest-earning assets – to enter F1 at the start of the next engine rules cycle. 

Diess, who reiterated the relevance of the ‘win on Sunday, sell on Monday’ adage, said: “The premium brands have decided to enter Formula 1 with our support. At Porsche, this is already relatively concrete. At Audi, not so much yet. 

Volkswagen Group CEO Diess as good as confirmed that Porsche will be entering Formula 1 in the coming years

Photo by: Volkswagen

“Everyone has to want a Porsche. For that, Porsche has to be the sportiest car brand in the world. Porsche has to do motorsport. And you come to the conclusion that if Porsche does motorsport, the most efficient thing is to do Formula 1. 

“Audi is a much weaker brand than Porsche… but actually has the better case for Formula 1 because it has much greater potential for the brand. If it succeeds against Daimler [Mercedes], which it can do with its team, then it can profit from such a commitment. 

“Audi also transfers €4-5billion a year to Wolfsburg, and it will transfer more with Formula 1 than without. Then you simply run out of arguments. You can say, ‘But I don’t believe in Formula 1’, but there are good arguments that say Formula 1 will grow, even in the future. Why should you restrict them there if they then transfer more money?” 

This comes from an automotive behemoth that purged so many of its factory motorsport programmes over the past few years to clean up its image in the wake of the 2015 emissions scandal. For two of its strongest marques to now commit to the championship is as great a measure of the current pull of F1 as any statistic relating to the ‘Netflix effect’.  

In secret, former Porsche motorsport boss Fritz Enzinger had put a team of 40 engineers to work. They had been tasked with taking the 919 Hybrid’s two-litre turbocharged V4 engine and exhaust-driven ERS hybrid system and adapting it to the 1600cc V6 specification mandated by F1

When the official confirmation comes from both manufacturers (speculation has the Austrian GP in early July as the best fit – the closest race to Germany plus home of the Red Bull brand, but more on that later…), it will be another landmark for F1, arguably even more symbolic than the announcement of a Las Vegas race on the iconic Strip.  

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How did we get here?  

Porsche has been sniffing around for some time. In September 2017, Lutz Meschke, deputy chairman of the executive board, met with F1 bosses at Monza as the marque evaluated an entry at least as an engine supplier. This was to replace an LMP1 attack, which would die at the end of that year’s World Endurance season in mid-November after a hat-trick of constructors’ titles, and complement a forthcoming Formula E assault. 

But already, and in strict secret, former Porsche motorsport boss Fritz Enzinger had put a team of 40 engineers to work. They had been tasked with taking the 919 Hybrid’s two-litre turbocharged V4 engine and exhaust-driven ERS hybrid system and adapting it to the 1600cc V6 specification mandated by F1.  

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This was in response to VW’s presence when F1 was negotiating a powertrain configuration that would come into effect for 2021. Wolfsburg pushed for simpler, more cost-effective regulations by scrapping the MGU-H (Motor Generator Unit – Heat). But these changes would not be adopted.

Enzinger commissioned a team of engineers to design, build and test an F1 engine

Photo by: HOCH ZWEI

VW came away reporting that existing manufacturers were unwilling to budge, making it unrealistic for a newcomer to be successful. F1 suggested that VW had pushed for wholly new regulations but, even then, would not commit to an entry. 

Either way, the skunkworks engineering team was disbanded. While the axed LMP2000’s V10 lived on in the Carrera GT, the “high-efficiency engine” – as per the unimaginative internal codename for a creation that had progressed to the test bench – was mothballed. 

At this time, the VW Group had to pay over £26bn in federal fines around the world in response to ‘Dieselgate’. Where motorsport was concerned, the repercussions left its subsidiaries to withdraw from the top classes of the WEC, WRC, DTM and World Rallycross most notably.  

The trail, at least in the public domain, went cold until last season’s Austrian GP in July. There, as it had in relation to the 2014 and 2021 rules packages, the VW Group contributed to meetings with F1 and the FIA to formulate new engine regulations that will come into effect from 2026. Audi chairman and overall group R&D head Markus Duesmann plus Porsche CEO Oliver Blume were the attendees. 

The broad framework that resulted finally eliminates the MGU-H as desired, while electrical power from the retained MGU-K (Motor Generator Unit – Kinetic) will rise from 120 to 350kW. These arrive in tandem with F1 moving from its current 10% to fully sustainable fuel plus introducing a power unit cost cap.  

Albeit four years later than planned, it is extremely likely that the VW Group will have its wish granted for less complex, less expensive power units but with the boon of greater environmental credentials. Little wonder Porsche’s recently appointed vice-president of motorsport Thomas Laudenbach (Enzinger’s replacement) said late last year: “It’s not a secret that we are thinking about F1. It’s not a secret we are talking to the FIA and it’s not a secret that we are, let’s say, seriously considering it.  

“A lot of things are going to the right direction concerning Formula 1 – how important is the electrification or the electric part of the powertrain. Yes, many of the factors that I mentioned from what we know, they might be coming true.

“As an OEM, you want to show yourself in motorsport, it needs to be relevant to what happens on the road. From what I know now, the FIA made a huge step towards that direction. That’s going to help.” 

Porsche and Audi bosses have been attending meetings over the next generation of F1 engines, and its key criteria are set to be met

Photo by: Camille Debastiani

Despite the optimism, Audi kept speculation in check and voiced the party line on behalf of Porsche last month. Nothing is guaranteed until the framework for the engine regulations develops into a concrete specification. The manufacturer’s statement read: “We have not yet made a decision as we are currently in the final evaluation phase. At this point, the new regulations for 2026 and subsequent years are not yet available. These will set out far-reaching changes to make the sport more sustainable, which is a prerequisite for Audi’s possible entry.” 

But then Diess, a long-time proponent of an F1 move for the VW Group, sat down on 2 May 2022 and took questions from those Wolfsburg residents. On that Monday night, he all but confirmed that Audi and Porsche are ready to join.  

Why else does F1 appeal? 

The world’s second-largest car company appears satisfied that the financial barriers to establishing an F1 powertrain programme have been lowered. The forthcoming formula better aligns with a sustainable directive that spans all its automotive marques too.

From a competitive standpoint, a shake-up of the regulations disrupts the status quo and should afford Audi and Porsche a greater chance of fighting towards the front. Further, Diess and the board believe that to make Porsche the most desirable it can be to sell as many road cars as possible, it needs to have a foothold in the top flight. They also reckon F1 can raise the profile of Audi to outmuscle premium rivals Mercedes and BMW. The number crunchers are also satisfied that a profit will be made overall. 

"You can decide now to do Formula 1 – or then probably not again for 10 years. And our two premium brands think that’s the right thing to do and are prioritising it" Herbert Diess

Central to those healthy projections is the boom F1 is enjoying in key markets, chiefly America and Asia, plus its swelling audience among 18 to 34-year-olds. Diess said: “Formula 1 is developing extremely positively worldwide. The marketing that is happening there, plus Netflix, has led to Formula 1’s following growing significantly. 

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“[The window when we can get on board] that’s coming now, and it will also come in the direction of 2026, when the engines will be electrified to a much greater extent, including with synthetic fuels. That means you need a new engine development, and you need three or four years to develop a new engine. That means you can decide now to do Formula 1 – or then probably not again for 10 years. And our two premium brands think that’s the right thing to do and are prioritising it.” 

So, even if the popularity of F1 endures to solidify the commercial arguments in favour of entering, the regulatory reset still only provides a finite timeframe in which it makes the most sense for the two marques to commit to F1.  

Increasing appeal of F1 in new markets is set to draw in Porsche for the first time since its disastrous effort at powering Footwork in 1991

Photo by: Ercole Colombo

What would an Audi entry look like? 

Audi had its F1 interest piqued in 2015 when it conducted a study into the viability of an entry. That appraisal was led by Stefano Domenicali no less, now the championship’s CEO. This time around, the four rings looks ready to establish a works set-up by creating its own powertrain plus overseeing the operation of a race team. 

Since Porsche looks increasingly likely to enter negotiations with Red Bull, which already has embarked on its engine project for 2026, Audi will go its own way. But, perhaps perversely, will do so by using Porsche intellectual property. It is set to dust off the 1.6-litre turbo V6 mule, with which the sportscar manufacturer toyed in 2017, to form the basis of its concept. 

Audi’s route to running a race team is much less oven-ready. It is still considering available options. The path of least resistance appears to be a takeover of an existing franchise given the scepticism that the current 10 squads have shown towards Michael Andretti entering a team. The buzzword they’ve used is “dilution” since they fear that an entirely new entry would entail dividing their prize pot. 

Erroneous reports emerged late last year that Audi was on the brink of buying the McLaren Group – the troubled Automotive arm plus Racing division – as its best bet at gaining an F1 berth. A sale would likely have caused the McLaren name to disappear from grand prix racing altogether, but those advanced notifications fell apart. 

McLaren Racing is now much more stable after being put through the financial wringer during the pandemic – it took out loans, completed a sale-leaseback transaction on its Technology Centre, and took on £185million of investment from MSP Sports Capital. Speaking ahead of the inaugural Miami GP earlier this month, boss Zak Brown made it clear that there was no possibility of a sale.

“Our shareholders are very committed to McLaren,” he said. “We did have conversations with Audi, and we’re not for sale. We’re very committed to our future and we’re doing really well on the track.”

Brown did add, though, that team principal Andreas Seidl – the German previously fulfilled the same role for the 919 Hybrid – would lead the decision over which powertrain McLaren will use from 2026 (two years after its current customer contract with Mercedes ends).  

Likewise, Williams appears to be off the table. That’s despite the wealth of ex-VW motorsport figureheads – team principal Jost Capito, technical director Francois-Xavier Demaison and sporting director Sven Smeets all worked on the dominant Polo WRC programme – that are central to its new leadership structure since the Dorilton Capital acquisition in 2020. 

Both Williams and McLaren are off the table for Audi

Photo by: Zak Mauger / Motorsport Images

The private investment firm recognises the current success that F1 is enjoying and wants to maximise that value. It’s why Brown predicts that within five years, a team takeover will nudge $1bn. Similarly, Andretti’s rumoured bid of $300m for Sauber late last year was declined because current conditions allow sellers to almost name their price.  

Despite the eyewatering sums, Audi still reckons F1 represents good value for money. It too could look to Switzerland for a deal to reuse the Sauber windtunnel in which it developed its LMP1 challenger. While the team currently runs under the Alfa Romeo moniker as part of a newly extended “multi-year” agreement, that is a branding exercise only and subject to “yearly assessments”. Should Audi be content with a slightly hands-off approach, Sauber is a workable route. 

As recent history in the WEC and Formula E proves, there is capacity under the VW Group umbrella for Audi and Porsche to compete against one another. When they co-existed in the categories, both were keen to press their individual autonomy

The other leading candidate is Aston Martin. While Mercedes has a 20% stake in the road car company, it is understood that Lawrence Stroll would work around this. It is speculated that quietly, after seeing much less competitive progress than hoped, the Canadian is open to offers for a partial or even full sale. That’s despite the public backing he has shown by funding a new F1 base for the team and previous hints that Aston was considering building its own power unit for 2026.

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As of last month, the official stance was: “You should never say never in F1, and we are actively exploring options with our new strategic partner Aramco.” 

And what about Porsche’s plans?  

The short answer is, Porsche will enter F1 as an engine supplier only – reminiscent of its TAG-fronted 1980s purple patch that bore Niki Lauda his third title and two crowns for Alain Prost. This time, though, it is poised to jump into bed with Red Bull rather than McLaren.  

The picture is muddied somewhat by the 2021 creation of the Red Bull Powertrains division that was initially established to provide the Milton Keynes operation with rebadged units from previous supplier Honda. It is also working towards the 2026 rules refresh and, without input so far from an OEM, is imminently preparing to stick a single-cylinder mule engine on the dyno. It is also in the process of moving to a new facility. 

Already well under way with its development, Red Bull is poised to form a technical collaboration that would allow Porsche to belatedly come onboard and enable both parties to share costs. AlphaTauri would run a Porsche engine also. Adding to the commonality, Red Bull’s lubricants partner ExxonMobil has a project with Porsche in Chile to generate sustainable racing fuel.  

Porsche's involvement is set to be as an engine supplier only, akin to its TAG-branded efforts supporting McLaren in the 1980s

Photo by: David Hutson / Motorsport Images

Red Bull team principal Christian Horner reckoned it would be “very easy” to work with a new partner and, in response to Porsche’s F1 interest, said it would be “logical for us to hold discussions”. 

As recent history in the WEC and Formula E proves, there is capacity under the VW Group umbrella for Audi and Porsche to compete against one another. When they co-existed in the categories, both were keen to press their individual autonomy and denied the overlap many presumed. But still the chief concern from rivals would be how sister companies Audi and Porsche intend to keep information relating to their own engine programmes entirely separate. There’s a worry that they might, intentionally or otherwise, pool resources to gain a competitive edge.  

Since a Red Bull marriage might end up as an elaborate branding deal, it would appear to in part explain why Porsche is pressing on with the development and testing of its twin-turbo V8-powered LMDh prototype. Audi’s sportscar comeback under the same rulesets is officially on ice but, in truth, has been terminated altogether as it directs resources elsewhere. 

While all the talk so far has been of 2026 and beyond, theoretically the Porsche name could return to the grand prix fold before then. As per the precedent set by deals with other automotive manufacturers Infiniti (2013-15) and Aston Martin (2018-20), Red Bull might offer partial naming rights to the Stuttgart firm in swifter fashion.

Red Bull has emerged as a contender to partner with Porsche

Photo by: Red Bull Content Pool