GPWC Statement...

[Super Tourer]

Hmmmm...

From:www.pitpass.com

GPWC issues new statement
17-01-2003


The Grand Prix World Championship (GPWC) issued the following statement at 18:00 (GMT) on Friday January 17
The Board of GPWC Holdings B.V. held a regularly scheduled meeting yesterday in Berlin. The Board again confirmed their commitment to stabilize the premiere series in world motor sports in co-operation with the organizers and the teams that currently participate in Formula One.

The Board considered the current situation regarding the ownership of Formula One (SLEC). In light of the fact that three banks formerly affiliated with the Kirch Group now hold control of 58% of the shares of SLEC, the Board has appointed Goldman Sachs to commence discussions with representatives of the SLEC shareholders to determine as soon as possible whether a transaction with SLEC shareholders could achieve GPWC™ﾀ™s objectives.

In parallel the Board formally approved a detailed business plan for the creation of the New Series, to begin not later than 2008. Those plans are designed to protect the long term stability and technical excellence of the world's leading open wheel motor racing series and to provide a substantially higher income for the teams participating in the sport. A fundamental aspect of the operation of the series will be to work with the teams in an inclusive and consensual environment.

GPWC also took the opportunity to discuss the announcement issued by the FIA on Wednesday on the subject of 'cost cutting' in Formula One.

The Manufacturers are in favour of reducing costs, but Formula One needs to keep its fundamental characteristic that it is showcase for the highest level of technology, a place where the most advanced research is applied.

It is also important that any change to the rules be established with sufficient advance notice knowing also that any change whatsoever inevitably increases cost, at least in the short term. Therefore GPWC is dismayed to note that the cost cutting measures already proposed by the teams in December last year and supported by the manufacturers have effectively been partially disregarded by the FIA. These measures were widely agreed to be reasonable and adequate and would without doubt have considerably reduced costs and fully enhanced the spectacle of Formula One. Whilst it does not believe that the content, and manner of implementation of Wednesday's proposed changes are consistent with the contractual framework under which Formula One operates, GPWC is committed to resolving matters in a manner that supports the sport. GPWC will therefore ask the teams affiliated to its members to analyse the appropriate mechanisms available to them, to ensure that changes are not implemented, or precedents set, that will cause problems for Formula One, the teams and the drivers in the future.

Additionally the five manufacturers discussed in a positive way to supply - if needed - engines to more teams to guarantee that there is no shortage of engines in Formula One in future. GPWC is also pleased to confirm that Ferrari Spa has replaced Fiat Spa as shareholder and partner with BMW, DaimlerChrysler, Ford and Renault and has signed together with its partners an Memorandum of Understanding for a close co-operation.

[Inigo Montoya]

Originally posted by Super Tourer

In parallel the Board formally approved a detailed business plan for the creation of the New Series, to begin not later than 2008. Those plans are designed to protect the long term stability and technical excellence of the world's leading open wheel motor racing series and to provide a substantially higher income for the teams participating in the sport.
.
.
.

The Manufacturers are in favour of reducing costs, but Formula One needs to keep its fundamental characteristic that it is showcase for the highest level of technology, a place where the most advanced research is applied.

Thank goodness for this new series... Lets hope it takes off...

[Super Tourer]

It's ironic that this type of reaction comes from car makers who will drop F1 and Motorsport in general whenever it suits them. As I've already said an 'F1' or equivalent pull out from corprate giants, is only a board meeting away.......

[woodbine]

GPWC is dismayed to note that the cost cutting measures already proposed by the teams in December last year and supported by the manufacturers have effectively been partially disregarded by the FIA. These measures were widely agreed to be reasonable and adequate and would without doubt have considerably reduced costs and fully enhanced the spectacle of Formula One

This says it all. If these people think that what was agreed in December was adequate cost-saving measures they must be on another planet.

I just noticed that there are only 5 manufacturers involved in GPWC, so I assume the grid will be 4 Ferraris, 4 Jaguars, 4 BMWs, 4 Mercedes and 4 Renaults. Oh wow I cannot wait zzzzzzz.

[Inigo Montoya]

Originally posted by woodbine
[B]

I just noticed that there are only 5 manufacturers involved in GPWC, so I assume the grid will be 4 Ferraris, 4 Jaguars, 4 BMWs, 4 Mercedes and 4 Renaults. Oh wow I cannot wait zzzzzzz.

Hmmm, but in that new series they wouldn't have to line Bernie's pockets... so maybe, just maybe, with the TV money going to the TEAMS, a few smaller manufacturers might wanna join...

[Asp]

They do have an excellent point though - all the meetings at Heathrow, the big announcement - OK, I agree they weren't enough, but they were a step in the right direction and with full consultation and someform of agreement. Why go through all that fuss just for the FIA to decide "Actually, it wasn't worth it, we'll do this aswell." If they were good ideas they should have been brought up then.

[ss_collins]

4 ferraris maybe One for the german, one for a columbian, then one run by paul stoddart and another run by phoenix.

[RWC]

Sounds alot more co-operative and well organised than the current DICTATORSHIP!!

[Super Tourer]

All this is assuming that there will be masses of TV cash flooding into their series. The goalposts have moved on since the GPWC was formed, when TV contracts come up for renewal the TV companies are offering a fraction of the money they used to.

[KA]

Originally posted by Super Tourer
It's ironic that this type of reaction comes from car makers who will drop F1 and Motorsport in general whenever it suits them. As I've already said an 'F1' or equivalent pull out from corprate giants, is only a board meeting away.......

That's the fatal weakness in the GPWC plan- all it takes is for one or two manufacturer to change their marketing strategy and walk away, and suddenly the grid size is declining faster than F1 has been in recent years.....

I'm convinced that any racing series that is based 100% on manufacturer support is ultimately doomed.....

[paulzinho]

Let them have their ultra superior technology, leave the driving talent to F1. If they want to succeed then they need to appreciate that the overly technical aspect is turning alot of people off of F1.

I appreciate there are many that love the technical side but myself and the majority that I speak to at least want to see the drivertake control, sure there should be technology but IMO its gone way too far and has stifled the racing.

[NiceGuyEddie]

Originally posted by KA
That's the fatal weakness in the GPWC plan- all it takes is for one or two manufacturer to change their marketing strategy and walk away, and suddenly the grid size is declining faster than F1 has been in recent years.....

I'm convinced that any racing series that is based 100% on manufacturer support is ultimately doomed.....

Well, you noticed it yourself, the grids in F1 are rapidly declining as well.

It seems as if factory teams and privateers simply cannot exist in the same series. The privateers keep a serie alive by competing out of love for the sport rather than commercial goals, but the factoryteams who do compete out of commercial neccesity, spend loads and loads of money for the simple fact they commercially cannot afford to be unsuccesfull. As a consequence privateers will always be out of their league in a financial way when they have to co-exist with and thus compete against factoryteams. Yet, as you pointed out correctly, a factoryteam is sooner likely to abandon the series when commercial goals aren't achieved.

If you'd line up a privateerseries next to a factoryseries, the latter one would be weak for lack of true commitment from the teams, and the privateers would loose out on technical level compared to the factoryseries, allthough they may win on spectacle and sheer racing. But then again, all the major drivers would compete in the factoryseries (better cars, more money) so the privateerseries could loose on image to the bigger audience. And who is supplying engines? Brain Hart? Asiatech? Judd? It would be something like Formula 1-Light.

Maybe its best to keep the two together, creating an atmosphere in which factoryteams are happy to compete and an atmosphere in which privateers can do their thing. It would mean that F1 gets split into two championships. One for factories, one for privateers. In that sense, privateers are no longer obliged to compete against the factoryteams directly (or to be more specific, the budgets of those teams), but yet they remain in a environment in which they can go out and beat them.

[Peter Mallett]

All this sounds like the WSC problems in the mid '90s. Manufacturers came in with loads of dosh (MB and Peugeot) pushing the small teams out. The likes of Porsche and Jaguar who were run by racing teams (Joest, TWR etc.) decided that they couldn't get the right coverage because the manufacturer teams blitzed everybody so the championship died to be replaced with GTs.

De ja vu?

[Maxmil]

Originally posted by woodbine
[B] I just noticed that there are only 5 manufacturers involved in GPWC, so I assume the grid will be 4 Ferraris, 4 Jaguars, 4 BMWs, 4 Mercedes and 4 Renaults.

It's a big question for Toyota, Honda and Ford. I think if a GPWC "manufacturers" series goes forward that the two Japanese teams will probably take part. I'm not sure Ford has the resources to compete at that level. There are still some others out there in the weeds also.

[Asp]

Originally posted by Maxmil
It's a big question for Toyota, Honda and Ford. I think if a GPWC "manufacturers" series goes forward that the two Japanese teams will probably take part. I'm not sure Ford has the resources to compete at that level. There are still some others out there in the weeds also.

If one Japanese manufacturer goes, the other will follow - that's why Toyota went into F1.

Also, woodbine said "4 Ferraris, 4 Jaguars" - not necessarily. Fiat and Ford are in the GPWC campaign, so we could and 2 Fiats and 2 Alfa Romeo's; 2 Aston Martins and 2 Volvos!!

[KA]

Originally posted by NiceGuyEddie
Maybe its best to keep the two together, creating an atmosphere in which factoryteams are happy to compete and an atmosphere in which privateers can do their thing. It would mean that F1 gets split into two championships. One for factories, one for privateers. In that sense, privateers are no longer obliged to compete against the factoryteams directly (or to be more specific, the budgets of those teams), but yet they remain in a environment in which they can go out and beat them.

Exactly- and for that to happen, there needs to be some means of driving costs down so that privateer teams at least stand a chance of surviving- Hopefully the rule changes may be a step on the way to achieving that.

[Super Tourer]

The most interesting part is how these fierce rivals, both on and off the track, think how they can unite and agree for long enough to hold a series together.

Lets fast forward to their first race as the GPWC, how long do we give it before the arguments, and rule-bending accusations start flying? - after first practice......

[NiceGuyEddie]

Originally posted by Super Tourer
The most interesting part is how these fierce rivals, both on and off the track, think how they can unite and agree for long enough to hold a series together.

Lets fast forward to their first race as the GPWC, how long do we give it before the arguments, and rule-bending accusations start flying? - after first practice......

I haven't seen anything yet from which you could conclude that they'd fight eachother off the track. Only as commercial competitors on the automobilemarket, but I suppose that is not what you mean. From an organization point of view, GPWC could very well be a succes. When you set out to be the technically most advanced racingseries in the world, you need the factories and you simply don't need teams like Minardi.

When the factories are thinking of a split from F1, there is only one thing you can conclude: the FIA have failed to come up with a format in which the factories are happy to compete. And since competing in F1 gulps up huge budgets, I think the factories (no more and no less than the privateers of course) have a right to question the FIA's behaviour. If they see their interests best protected in a rival series, than I can only applaude that.

Someone earlier made that correct analogy with the Gruppe C of the early 90's. A similar scenario as is unrolling now in F1, killed that series.

Formula 1 is dying and needs to be rescued and I for one am beginning to think the only way is to start from scratch.

[Wrex]

Originally posted by NiceGuyEddie
When you set out to be the technically most advanced racingseries in the world, you need the factories and you simply don't need teams like Minardi.

Can't agree with you there NGE.

If this series is going to be 'the technically most advanced racingseries in the world' it's going to cost an obscene amount of money. And what manufacturer is going to spend that sort of money to come last? Someone has to come last.

Thats what you need Minardi for, to come last.

[Logrence]

Bugger knows where they'll stage this championship - the FIA won't support it - they've already made that clear enough. Whoever lets the GPWC leper into their house will get tarred and feathered with a very black brush indeed.

[golem]

I kind of dislike both organisations attitudes, but GPWC is an almost insane and unrealistic idea... Very quickly it would devolve into F1's current state. And F1 already has already had a lot of limitations on advancements.

Privateers made F1 the motorsport to watch. They built it from the sixties to the 80's and then it exploded with TV revenue and big boys started getting really involved in the early 90's. Buh-bye the colour and diversity. It's the Military like R&D budgets that kill the sport. If you just left it up to teams of 5 people designing and building the cars and racing every other sunday the sport would be so bloody fantastic to watch grid sizes just wouldn't be a problem. Innovations would be a little less clinical. A bit more wild perhaps. Interesting.

GPWC, Premier F1 that Inigo keeps ranting about... they're both the WRONG way to go for fun watching and clever ideas. Me? I'd like to watch the FSAE cars actually turned into a racing series. These uni students design them and then racer's pick which car they want to race for the next year. It'd rock the world I think.

[NiceGuyEddie]

Originally posted by Wrex
Can't agree with you there NGE.

If this series is going to be 'the technically most advanced racingseries in the world' it's going to cost an obscene amount of money. And what manufacturer is going to spend that sort of money to come last? Someone has to come last.

Thats what you need Minardi for, to come last.

Sharp observation! Didn't think of that one.

[NiceGuyEddie]

Originally posted by Logrence
Bugger knows where they'll stage this championship - the FIA won't support it - they've already made that clear enough. Whoever lets the GPWC leper into their house will get tarred and feathered with a very black brush indeed.

I don't think the FIA is all that powerful. Sure, when no one stands up to them, they will seem to be, but when enough unity exist between all involved (circuits, competitors, drivers, organization) it will be fairly easy to do it without the FIA. Of course, FIA won't grand it an official status, but who is the FIA to decide whats official and what not? No wonder the FIA acts like a bunch of dictators and think they can get away with it.

[kdr]

Originally posted by Wrex
Can't agree with you there NGE.


Thats what you need Minardi for, to come last.

thats the fundamental flaw in the gpwc plan.

still i'm sure they'll think of a way round it because multi-national conglomerates are well know for their concern for giving the public good quality motor racing.

[Maxmil]

Originally posted by NiceGuyEddie
Maybe its best to keep the two together, creating an atmosphere in which factory teams are happy to compete and an atmosphere in which privateers can do their thing. It would mean that F1 gets split into two championships. One for factories, one for privateers. In that sense, privateers are no longer obliged to compete against the factoryteams directly (or to be more specific, the budgets of those teams), but yet they remain in a environment in which they can go out and beat them.

Along these lines, what if we revived a Formula 2 or maybe created a Formula 1A for the "privateers". Both classes would race at the same tracks, on the same days. Manufacturers who wished to "sponsor" an "official works team" would race in the F1 group and others in the F2/1A group. Manufacturers would be obliged to supply engines to the F2/1A teams on a reasonable basis, but would be forbidden to provide other forms of technical and/or financial assistance to them.

Formula 1 would continue as it has to date to permit the development and deployment of new automotive technology. Formula 2/1A would still require the teams to develop and build their own chassis, but provide a limited list of "standard" options for all the other componants, including the engines.

There would be two drivers' and two constructors' championships, but combined results would also be calculated and published.

Could we have our cake and eat it too?