Honda to scrap F1 unless buyer is found

Honda is withdrawing from Formula One unless a buyer can be found for its team in the next three months. The move is part of a desperate attempt by the Japanese carmaker to cut costs.

It is understood that the company informed the 677-strong Honda team last night, and other F1 teams were also told of the move yesterday. The team’s drivers include Jenson Button from the UK.

Honda’s decision to pull out of the sport has highlighted fears that other car manufacturers with teams are facing financial difficulties. There are concerns that the move by Honda will prompt rival Toyota to follow suit.

Honda chief executive Takeo Fukui says that the company has been forced to make “this difficult decision” by the deteriorating financial environment. He adds the company has to protect its core business activities and secure its future.

Fukui has been upfront about his ambitions to win the championship title, and had said he would be prepared to invest a “trillion yen” to secure it.

A number of F1 teams are already understood to be in talks about how to make savings and Max Mosley, the president of governing body the F™d™ratation Internationale de L’Automobile, has already called for caps on team budgets and the introduction of a standard engine. The latter has been opposed by Ferrari and Toyota.

There are hopes that a buyer could be found for the team and talks with its associates and buy-out firms are understood to have begun.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here