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Mercedes Extends F1 Deal Worth $75M Annually

  • Mercedes and Petronas are extending their title and technical deal.
  • The new pact begins in 2026 and pays Mercedes $75 million per year.
Mercedes-Petronas
John David Mercer-USA TODAY Sports

With major changes coming to Formula 1 in 2026, Mercedes is staying the course.

The iconic carmaker extended its title and technical deal with Malaysian oil company Petronas from 2026.

  • The deal is for $75 million per season.
  • The extension continues an arrangement that began with Mercedes’ entry into F1 in 2010.
  • Mercedes has won eight championships in that time, but are in third place this year, behind Red Bull and Ferrari.

Sustained Relationship

Starting in 2026, F1 will switch to 100% sustainable fuels and engines that draw 50% of its their power from electric sources. The change has caused a reckoning for constructors throughout the racing series.

“From 2026, advanced sustainable fuel will be at the heart of F1 performance,” said Mercedes CEO and team principal Toto Wolff.

Audi is joining the series as a power unit constructor in 2026. Porsche had plans to team up with Red Bull that year, but the two sides scrapped negotiations after failing to come to an agreement. Porsche still hopes to join F1.

Racing legend Mario Andretti has sought to bring an 11th team to the series, but F1 CEO Stefano Domenicali has expressed concerns about the grid becoming too crowded with additional teams.

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