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Palou stays with Ganassi in IndyCar for 2023, Rosenqvist remains at McLaren

Alex Palou has announced he is staying with his current Chip Ganassi Racing IndyCar team for 2023, with Felix Rosenqvist remaining at Arrow McLaren SP.

Alex Palou, Chip Ganassi Racing Honda

Alex Palou, Chip Ganassi Racing Honda

Jake Galstad / Motorsport Images

Palou found himself in the eye of the storm when it was announced in July that he would be leaving Ganassi for McLaren Racing after the 2022 season.

The statement landed shortly after Ganassi had announced it had taken up the 2021 IndyCar champion's option for another year, triggering a legal tug of war between the two sides.

Due to the acrimonious fallout, Palou's future was up in the air for two months but, in a stunning turn of events, Palou announced on Wednesday he is now staying put after all rather than join Arrow McLaren SP.

OPINION: Who will be the winner from the Alex Palou contract saga?

"I’m excited to announce that Chip Ganassi Racing and I have come to an agreement, and I’ll be back in the No. 10 car next season. Looking forward to a BIG 2023!" Palou tweeted.

It was understood that, along with wanting to secure a better contract as an IndyCar champion, Palou's move to McLaren also involved the promise of an involvement in the F1 programme.

While McLaren moved to sign Alpine protege Oscar Piastri to replace Daniel Ricciardo alongside Lando Norris in 2023, Palou's McLaren testing deal will still continue with Ganassi's approval.

"Alex Palou will remain in the No. 10 car with Chip Ganassi Racing for the 2023 IndyCar season," a Ganassi statement read.

"The agreement affords him the opportunity to test cars in separate racing series, provided that it does not directly conflict with his IndyCar commitments."

Palou added that he is "grateful that Chip Ganassi Racing will allow me to pursue F1 testing outside of my IndyCar commitments".

"Thank you, Chip, Mike [Hull, Ganassi's managing director] and the entire team for your willingness to work together and help support both the team and my personal goals throughout this process," he said.

McLaren has since confirmed that both Palou and fellow IndyCar racer Pato O'Ward will test a 2021 MCL35M F1 machine at Barcelona this week.

Palou dominated last weekend's IndyCar season finale at Laguna Seca and, after the race, was seen sharing an embrace with team boss Ganassi, suggesting their frosty relationship over Palou's future had thawed.

As of yet it is not known which, if any, settlement Ganassi and McLaren Racing had to reach to resolve the situation.

Felix Rosenqvist, Arrow McLaren SP Chevrolet

Felix Rosenqvist, Arrow McLaren SP Chevrolet

Photo by: Jake Galstad / Motorsport Images

As a result of Palou staying where he is, Arrow McLaren SP revealed that Rosenqvist will continue on with the team alongside O'Ward and Alexander Rossi, who joins from Andretti Autosport.

Rosenqvist had a contract with the McLaren Racing group for 2023 but, due to Palou's impending arrival, it was suggested the Swede would move back to Formula E to race for McLaren's new outfit in the electric championship.

"There’s no better way to enter the off-season than with this news," Rosenqvist said.

"I love this team, and I’m so happy to continue working with all the incredible people I’ve gotten to know over the past two seasons.

"With everything the team has in the pipeline, the continuing relationship with Pato and the addition of Alex Rossi, we are going to bring our A-game for 2023."

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