MPH: F1 power struggle behind Toto & Susie Wolff 'double agent' probe

F1

"Over-imaginative" claims that Toto and Susie Wolff had shared confidential secrets were quickly rebutted this week. It served as a distraction from the real rift in Formula 1, writes Mark Hughes

Toto and Susie Wolff at premiere of Ferrari film in 2023

Allegations that Toto and Susie Wolff shared confidential information have been dismissed

Belinda Jiao/Getty Images

Mark Hughes

So you may have been following the controversy about Toto and Susie Wolff and the FIA’s concern about their respective roles, with the former as an F1 team principal, the latter working directly for Formula One Management (FOM) boss Stefano Domenicali. The implication was that either Susie or Toto – or both – were potentially double agents. Susie could be leaking FOM information to the teams through Toto. Toto could be leaking team information to FOM through Susie.

It was a plot line seemingly hatched in an over-imaginative journalistic mind. For the function of a double agent to have any meaning, the two sides would need to be in conflict. The report in question alleged that the concern had been voiced by ‘an F1 team principal.’

The relevant point here is that it would be an odd thing for an F1 team principal to be concerned about. Because FOM and the teams are almost perfectly aligned; so close it’s almost impossible to see the joins. Together they are making way more money than F1 has ever made before and on virtually every matter of consequence they sing from the same hymn sheet.

If it’s bubbling ill-feeling you are looking for, it’s to be found between FOM and the FIA. Or more specifically between FOM and the FIA President Mohammed Ben Sulayem. Recall that in February he voiced the opinion that F1 was over-valued, which was not only crucially embarrassing for FOM and potentially financially damaging but also none of his business. The FIA is there to regulate the sport and has leased out the commercial rights, which are currently owned by Liberty Media’s FOM. Liberty Media’s lawyers responded with a stinging letter which was essentially a cease and desist notice.

Stefano Domenicali and Mihammed ben Sulayem on 2023 Abu Dhabi GP grid

FOM CEO Domenicali (left) and FIA president Ben Sulayem (right) haven’t been seeing eye-to-eye

Jakub Porzycki/NurPhoto via Getty

The point the President was making – albeit in a bull-in-a-china-shop way – was in response to rumours that Liberty was in negotiations to sell its commercial rights to Saudi Arabia for a reputed $20billion. His opinion was that any buyer of F1 should come with a sustainable plan for the health of the sport and not just a load of money. Unfortunately, as the President of the FIA, he was one of the few people not in a position to voice such an opinion – 1) because the FIA is not permitted to interfere in the sport’s commercial matters and 2) precisely because the position of FIA Presidency carries so much weight that any negative opinion could be commercially devastating.

When Liberty purchased the F1 commercial rights in 2017, the whole governance structure of how F1 would be run was revised. The FIA lost significant power in that restructure, but gained additional income. Ben Sulayem inherited this structure and is unhappy both with the FIA’s relative lack of power (it can no longer impose technical regulations unilaterally, for example, but simply acts as a regulator and enforcer of regulations decided by FOM) and the fee it takes from Liberty for its role.

Essentially FOM sees the FIA as a contractor providing a service. Ben Sulayem sees the FIA as the owners of F1 – which it is. But the teams are contracted to FOM, not the FIA. If it came to a split, the FIA would still own the licensing rights to F1, but potentially no teams. Liberty could set up its own championship with a different name but all the existing teams and drivers.

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This is all against the backdrop of negotiations for the 2026 Concorde Agreement – which is when such things as governance and fees are enshrined for the next agreed period.

In the meantime, what does Ben Sulayem have at his disposal to inconvenience FOM and remind Liberty that it should not be taken for granted, that it has a hand to play in negotiations? Well, it is able to approve the entry of up to 12 teams and currently there are only 10. So it’s already approved of Andretti as an 11th team. Which is acutely awkward for FOM and the teams and could potentially get very messy legally if FOM does not grant a commercial agreement to Andretti (ie a share of the prize money). He can also just generally exert what power he has to disrupt – such as objecting to more (income-generating) sprint races. Or calling Frederic Vasseur and Toto Wolff to the stewards for swearing in a press conference. He can create some controversy about whether there is adequate compliance within FOM and the teams – by announcing the FIA’s compliance department was looking into the matter reported by one media outlet.

So anyway, the teams showed their solidarity and made it very plain which side they were on by issuing exactly the same statement denying that they had “made any complaint to the FIA regarding the allegation of information of a confidential nature being passed between an F1 team principal and a member of FOM staff.” So on the surface rather deflating Ben Sulayem’s professed concerns.

There was nowhere really for the FIA to go from there and it duly announced that having looked into it, was satisfied that appropriate and robust measures were in place at FOM and so had concluded there was no need for any ‘disciplinary inquiries’ involving any individual.

But this isn’t really what is was ever about. There are sure to be further distracting hand grenades.