Formula 1 could be crossing the finish line with a new media rights deal with Apple TV, according to a new report from the Financial Times. The motorsports league is looking to secure its next US rights deal after it was reported that ESPN decided it wasn’t going to renew its current deal when it expires in 2026.
Now, Apple, whose Apple Studios produced the Brad Pitt-led F1 the Movie, is looking to cash in on its success by acquiring the rights to the series’ live races, per sources Financial Times spoke to. The film has made around $300 million at the box office and is expected to arrive on Apple TV+ later this year, which is a win for F1 as a whole. Apple TV already airs live sports, including the MLB’s Friday Night Baseball and MLS Season Pass.
From the Financial Times report:
Formula 1’s US owners, Liberty Media, are hoping the film, along with Netflix’s Drive to Survive documentary series, will have increased the value of the rights for its races by attracting younger, female and American audiences to the sport.
On its current deal, ESPN is paying around $90 million per year for its F1 coverage on the company’s platforms, including ESPN+. It was reported earlier this year that Formula 1 was looking for a rights package of around $150 million to $180 million per year. Research from Ampere Analysis found that an F1’s US rights package would be worth more than $100 million but less than $180 million; however, that was before the release of the F1 the Movie.
Since landing on ESPN in 2018, F1 viewership has doubled on average from a then 554,000 viewers to 1.1 million in 2023. ESPN, which had exclusive negotiation rights that expired last year, isn’t completely out of the running. Sources the Financial Times spoke to who had direct knowledge said that the Disney-owned networks “may yet retain the rights.” Additionally, with the upcoming launch of the ESPN direct-to-consumer app, retaining F1 rights could entice motorsports fans to subscribe.
Other players who have reportedly shown interest in adding the racing series to their catalog include Netflix, Amazon, NBC, and others. Earlier this year, it was reported that those platforms were “lukewarm” in adding F1 at the then-asking price, but the success of the F1 the Movie could change how they value the property.
With F1’s recent theatrical success and the consistent increase in annual viewership over the past seven years, the international race series could prove to be a viable addition for Apple or anyone else, especially as networks continue to launch DTC streaming apps, which are always in need of live content.
F1 fans will have to wait and see who crosses the finish line as the next rights partner. Until then, you can find live F1 races on ESPN+.
Credit: Financial Times