BMW pulling out of F1 at end of season
07-29-09, 07:55 AM
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BMW pulling out of F1 at end of season
BMW to pull out Formula One at end of season
By CHRISTOF RUEHRMAIR and NESHA STARCEVIC (AP) – 3 hours ago
MUNICH — BMW is pulling out of Formula One at the end of this season, the second car maker to leave the series within a year.
The German company announced the decision at a news conference Wednesday, saying it wanted to use its significant F1 budget in other areas. It will remain involved in auto racing.
Since entering F1 as a team by taking over the Sauber team ahead of the 2006 season — it had previously acted as an engine supplier — BMW had posted just one race win, at last year's Canadian Grand Prix.
Touted as a championship contender for the 2009 season, BMW lagged well behind the pace of the leading teams.
"Of course, this was a difficult decision for us. But it's a resolute step in view of our company's strategic realignment," BMW chairman Norbert Reithofer said at the news conference.
He said the Munich-based car maker would use the resources previously spent on the F1 team to advance "sustainability and environmental compatibility."
Klaus Draeger, the board member responsible for development, said the team was "unable to meet expectations in the current season."
BMW's withdrawal followed that of Japanese car maker Honda ahead of the 2009 season, illustrating the growing pressure upon car makers to cut costs amid a global economic downturn that had hit new car sales.
Their withdrawal also lent credence to efforts by the FIA to significantly reduce F1 costs in order to retain existing teams and attract new entrants.
FIA, motor racing's world governing body, said it hoped BMW was the last manufacturer to leave the series.
"The FIA regrets the announcement of BMW's intended withdrawal from Formula One, but is not surprised by it," it said in a statement.
"It has been clear for some time that motor sport cannot ignore the world economic crisis. Car manufacturers cannot be expected to continue to pour large sums of money into Formula One when their survival depends on redundancies, plant closures and the support of the taxpayer. This is why the FIA prepared regulations to reduce costs drastically."
BMW's decision to end its involvement on Formula One only came Tuesday and the company was still considering what to do with the staff involved with the team, Draeger said.
"Of course ... would all have liked to continue this ambitious campaign and show that this season was just a hiccup following three successful years," BMW motorsport director Mario Theissen said.
"But I can understand why this decision was made from a corporate perspective. We will now focus sharply on the remaining races and demonstrate our fighting spirit and put in a good result as we bid farewell to Formula One racing."
Mercedes, the other major German car maker involved in Formula One, said it regretted BMW's pullout, "but it will have no influence on our F1 engagement."
The decision by BMW comes at a time when auto makers worldwide are reporting lower sales amid the global economic slowdown. Consumers are reluctant to open their wallets for big-ticket items and companies are trimming costs.
Georg Stuerzer, an automotive analyst with UniCredit in Munich who follows BMW, told AP that he estimated that the company was spending approximately $280 million a year on its Formula One involvement.
Draeger said it was not yet clear if the decision would result in job losses in Munich and Hinwil, Switzerland. The operation counts some 700 workers.
"Since we only made this decision yesterday, we cannot provide any more precise information," he said. "We will develop and assess various scenarios and do our best to find a solution for the employees in Hinwil and the staff members involved in the Formula One project in Munich."
The withdrawal will prompt speculation about the future of drivers Robert Kubica and Nick Heidfeld. Kubica will be in strong demand for next season and will likely remain involved in F1.
The future for Heidfeld is less certain, though his long stint in the sport could make him an attractive option for the new entrant teams next season, who will be looking for an experienced driver.
In its debut season in 2006, BMW Sauber wound up fifth in the constructors' championship. In 2007, the German-Swiss team came in second after McLaren-Mercedes' exclusion from the points standings.
In 2008, the team was in the hunt for the world championship until the end of the season, winding up third. Kubica had the only GP victory in Canada.
So far, the BMW Sauber F1 Team has taken one pole position (Kubica in Bahrain in 2008) and 16 podium finishes. It is eighth in the constructors' standings in the current season.
AP Sports Writer Nesha Starcevic reported from Frankfurt.
Copyright © 2009 The Associated Press. All rights reserved.
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By CHRISTOF RUEHRMAIR and NESHA STARCEVIC (AP) – 3 hours ago
MUNICH — BMW is pulling out of Formula One at the end of this season, the second car maker to leave the series within a year.
The German company announced the decision at a news conference Wednesday, saying it wanted to use its significant F1 budget in other areas. It will remain involved in auto racing.
Since entering F1 as a team by taking over the Sauber team ahead of the 2006 season — it had previously acted as an engine supplier — BMW had posted just one race win, at last year's Canadian Grand Prix.
Touted as a championship contender for the 2009 season, BMW lagged well behind the pace of the leading teams.
"Of course, this was a difficult decision for us. But it's a resolute step in view of our company's strategic realignment," BMW chairman Norbert Reithofer said at the news conference.
He said the Munich-based car maker would use the resources previously spent on the F1 team to advance "sustainability and environmental compatibility."
Klaus Draeger, the board member responsible for development, said the team was "unable to meet expectations in the current season."
BMW's withdrawal followed that of Japanese car maker Honda ahead of the 2009 season, illustrating the growing pressure upon car makers to cut costs amid a global economic downturn that had hit new car sales.
Their withdrawal also lent credence to efforts by the FIA to significantly reduce F1 costs in order to retain existing teams and attract new entrants.
FIA, motor racing's world governing body, said it hoped BMW was the last manufacturer to leave the series.
"The FIA regrets the announcement of BMW's intended withdrawal from Formula One, but is not surprised by it," it said in a statement.
"It has been clear for some time that motor sport cannot ignore the world economic crisis. Car manufacturers cannot be expected to continue to pour large sums of money into Formula One when their survival depends on redundancies, plant closures and the support of the taxpayer. This is why the FIA prepared regulations to reduce costs drastically."
BMW's decision to end its involvement on Formula One only came Tuesday and the company was still considering what to do with the staff involved with the team, Draeger said.
"Of course ... would all have liked to continue this ambitious campaign and show that this season was just a hiccup following three successful years," BMW motorsport director Mario Theissen said.
"But I can understand why this decision was made from a corporate perspective. We will now focus sharply on the remaining races and demonstrate our fighting spirit and put in a good result as we bid farewell to Formula One racing."
Mercedes, the other major German car maker involved in Formula One, said it regretted BMW's pullout, "but it will have no influence on our F1 engagement."
The decision by BMW comes at a time when auto makers worldwide are reporting lower sales amid the global economic slowdown. Consumers are reluctant to open their wallets for big-ticket items and companies are trimming costs.
Georg Stuerzer, an automotive analyst with UniCredit in Munich who follows BMW, told AP that he estimated that the company was spending approximately $280 million a year on its Formula One involvement.
Draeger said it was not yet clear if the decision would result in job losses in Munich and Hinwil, Switzerland. The operation counts some 700 workers.
"Since we only made this decision yesterday, we cannot provide any more precise information," he said. "We will develop and assess various scenarios and do our best to find a solution for the employees in Hinwil and the staff members involved in the Formula One project in Munich."
The withdrawal will prompt speculation about the future of drivers Robert Kubica and Nick Heidfeld. Kubica will be in strong demand for next season and will likely remain involved in F1.
The future for Heidfeld is less certain, though his long stint in the sport could make him an attractive option for the new entrant teams next season, who will be looking for an experienced driver.
In its debut season in 2006, BMW Sauber wound up fifth in the constructors' championship. In 2007, the German-Swiss team came in second after McLaren-Mercedes' exclusion from the points standings.
In 2008, the team was in the hunt for the world championship until the end of the season, winding up third. Kubica had the only GP victory in Canada.
So far, the BMW Sauber F1 Team has taken one pole position (Kubica in Bahrain in 2008) and 16 podium finishes. It is eighth in the constructors' standings in the current season.
AP Sports Writer Nesha Starcevic reported from Frankfurt.
Copyright © 2009 The Associated Press. All rights reserved.
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07-29-09, 12:29 PM
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Well the US GP team is joining, and I think another team as well.
On another bombshell that I didn't see another post for (surprisingly), Schumacher is back in! It was rumored, but official announcement today that he is filling in for Massa!
On another bombshell that I didn't see another post for (surprisingly), Schumacher is back in! It was rumored, but official announcement today that he is filling in for Massa!
07-29-09, 12:47 PM
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07-29-09, 01:31 PM
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Schumacher making a return is *MASSIVE* as shown by the fact that USAToday would even cover an F1 story! Consider the folks complaining about Renault being banned from the Valencia (Spain) race because Alonso is the most famous Spanish driver. Most of that goes away as people will come/tune-in to see Schumacher make his return. I can't wait to see what he can do vs. Kimi. It's always when the cars were not so good that he was at his best.
WRT BMW: As I've said before this was always the problem with manufacturers. When bashing the FIA you had to consider that they needed to bring costs down to bring teams in and the manufacturers, other than Ferrari, really never had any loyalty to the sport coming and going as they saw fit. Well here goes one again and I wouldn't be surprised to see one more drop soon (Renault). I just hope someone buys up the Sauber facility as I think it and the people are top notch.
WRT BMW: As I've said before this was always the problem with manufacturers. When bashing the FIA you had to consider that they needed to bring costs down to bring teams in and the manufacturers, other than Ferrari, really never had any loyalty to the sport coming and going as they saw fit. Well here goes one again and I wouldn't be surprised to see one more drop soon (Renault). I just hope someone buys up the Sauber facility as I think it and the people are top notch.
07-29-09, 01:33 PM
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Quitters. Lets see what BMW fanboys have to say about Toyota motorsport heritage now?
BMW has shown a complete lack of ***** about this, and while I do agree, with all the restrictions, F1 is becoming less relevant towards excellence, but c'mon. One lousy season and they throw in the towel. Now I know they are complete sell outs.
Toyota has been in F1 for 8 years and only has had 3 good seasons (and even then not in championship contention). BMW just took over Sauber for 3 1/2 seasons in ALL and is ready to bail after half a year at the back of the grid.
Losers.
BMW has shown a complete lack of ***** about this, and while I do agree, with all the restrictions, F1 is becoming less relevant towards excellence, but c'mon. One lousy season and they throw in the towel. Now I know they are complete sell outs.
Toyota has been in F1 for 8 years and only has had 3 good seasons (and even then not in championship contention). BMW just took over Sauber for 3 1/2 seasons in ALL and is ready to bail after half a year at the back of the grid.
Losers.
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07-29-09, 01:35 PM
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Schumacher making a return is *MASSIVE* as shown by the fact that USAToday would even cover an F1 story! Consider the folks complaining about Renault being banned from the Valencia (Spain) race because Alonso is the most famous Spanish driver. Most of that goes away as people will come/tune-in to see Schumacher make his return. I can't wait to see what he can do vs. Kimi. It's always when the cars were not so good that he was at his best.
WRT BMW: As I've said before this was always the problem with manufacturers. When bashing the FIA you had to consider that they needed to bring costs down to bring teams in and the manufacturers, other than Ferrari, really never had any loyalty to the sport coming and going as they saw fit. Well here goes one again and I wouldn't be surprised to see one more drop soon (Renault). I just hope someone buys up the Sauber facility as I think it and the people are top notch.
WRT BMW: As I've said before this was always the problem with manufacturers. When bashing the FIA you had to consider that they needed to bring costs down to bring teams in and the manufacturers, other than Ferrari, really never had any loyalty to the sport coming and going as they saw fit. Well here goes one again and I wouldn't be surprised to see one more drop soon (Renault). I just hope someone buys up the Sauber facility as I think it and the people are top notch.
07-29-09, 05:22 PM
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Quitters. Lets see what BMW fanboys have to say about Toyota motorsport heritage now?
BMW has shown a complete lack of ***** about this, and while I do agree, with all the restrictions, F1 is becoming less relevant towards excellence, but c'mon. One lousy season and they throw in the towel. Now I know they are complete sell outs.
Toyota has been in F1 for 8 years and only has had 3 good seasons (and even then not in championship contention). BMW just took over Sauber for 3 1/2 seasons in ALL and is ready to bail after half a year at the back of the grid.
Losers.
BMW has shown a complete lack of ***** about this, and while I do agree, with all the restrictions, F1 is becoming less relevant towards excellence, but c'mon. One lousy season and they throw in the towel. Now I know they are complete sell outs.
Toyota has been in F1 for 8 years and only has had 3 good seasons (and even then not in championship contention). BMW just took over Sauber for 3 1/2 seasons in ALL and is ready to bail after half a year at the back of the grid.
Losers.
Very mature response.
You do know that the automobile industry is suffering in these times of economic turmoil, right? Maybe BMW has other priorities than Formula One, which is a real money swallower in case you don't know.
07-29-09, 05:29 PM
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Like I care what you think. Been following F1 probably a lot longer than you have bud, and I know exactly what the hell I'm talking about. BMW isn't bleeding money, they had no need to buy Sauber, and I just thank GOD that Sir Frank Williams didn't sell out to them, because that would have been the end of Williams today.
07-29-09, 05:36 PM
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Like I care what you think. Been following F1 probably a lot longer than you have bud, and I know exactly what the hell I'm talking about. BMW isn't bleeding money, they had no need to buy Sauber, and I just thank GOD that Sir Frank Williams didn't sell out to them, because that would have been the end of Williams today.
Face it: Formula One is a cash bleeder. In these hard times you want to conserve your cash wisely and I feel that is exactly what BMW is doing. It is unfortunate that they had a bad season and that this has somehow convinced you that BMW is run by a bunch of "sissies" while Toyota is run by men with "*****" because they elected to stay. Seriously, grow up.
07-29-09, 06:33 PM
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F1 is so technical and expensive that i wonder if one day they'll replace the physical race with computer game simulation. the 'tv' broadcast would still look exactly the same. 
and it would cost 1000 times less.
and it would cost 1000 times less.
07-29-09, 07:17 PM
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Another great response. Please tell me what exactly goes on behind the scenes - the stuff we don't hear about in the news. Were you present in the conference room during these meetings with all the top managers of BMW?
Face it: Formula One is a cash bleeder. In these hard times you want to conserve your cash wisely and I feel that is exactly what BMW is doing. It is unfortunate that they had a bad season and that this has somehow convinced you that BMW is run by a bunch of "sissies" while Toyota is run by men with "*****" because they elected to stay. Seriously, grow up.
Face it: Formula One is a cash bleeder. In these hard times you want to conserve your cash wisely and I feel that is exactly what BMW is doing. It is unfortunate that they had a bad season and that this has somehow convinced you that BMW is run by a bunch of "sissies" while Toyota is run by men with "*****" because they elected to stay. Seriously, grow up.
Right after you
07-29-09, 09:07 PM
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i do agree that F1 sport is a bleeder if you cannot produce results
on the other hand, ferrari considers racing as part of their operations so making money through racing and selling franchised items is a very viable business model for them
so it all depends on the agenda of what they want
branding exercise, new technology development, enthusiast fan based loyalty, or just simply bragging rights, are all benefits of being in F1
whether or not BMW think that is worth the money they are paying now is their decision made based on countless meetings internally within BMW and externally with FIA
regardless, it will be a good day for Toyota and the rest of the mid pack teams when BMW leaves
on the other hand, ferrari considers racing as part of their operations so making money through racing and selling franchised items is a very viable business model for them
so it all depends on the agenda of what they want
branding exercise, new technology development, enthusiast fan based loyalty, or just simply bragging rights, are all benefits of being in F1
whether or not BMW think that is worth the money they are paying now is their decision made based on countless meetings internally within BMW and externally with FIA
regardless, it will be a good day for Toyota and the rest of the mid pack teams when BMW leaves
