Audi likely to align with the Sauber—currently Alfa Romeo—team as it prepares to compete in F1 for the first time.

what's behind audi's decision to compete in formula 1 beginning in 2026
Dan MullanGetty Images

  • Audi, owned by Volkswagen Group, has never before competed in Formula 1.
  • Audi will enter Formula 1 in 2026 as a power unit manufacturer, likely with Sauber—the F1 team currently branded as Alfa Romeo.
  • Also on Friday, Alfa Romeo announced that it would be leaving Formula 1 after the 2023 season.

    Audi has finally confirmed that it will enter Formula 1 in 2026 as a power unit manufacturer, amid expectation that it will eventually purchase a majority stake in Sauber Motorsport.

    The German car giant, owned by Volkswagen Group, has never before competed in Formula 1.

    The news was announced during a press conference at the Belgian Grand Prix on Friday, with senior Audi figures in attendance alongside representatives from Formula 1 and the FIA.

    “Formula 1 is both a global stage for our brand and a highly challenging development laboratory,” said Audi chairman Markus Duesmann. “The combination of high performance and competition is always a driver of innovation and technology transfer in our industry. With the new rules, now is the right time for us to get involved. After all, Formula 1 and Audi both pursue clear sustainability goals.”

    Audi has only announced its involvement as a PU provider so far but it will partner with an existing team, rather than create a new operation from scratch.

    That team will be announced by the end of 2022 and is widely expected to be Sauber Motorsport, which currently competes under the Alfa Romeo banner. Alfa Romeo, meanwhile, announced Friday, after Audi’s news, that it will cease its commercial involvement of Sauber after 2023.

    Formula 1’s 2026 power unit regulations were finally approved by the FIA last week, following a delay by President Mohammed Ben Sulayem, giving the green light for parent company VW to authorize Audi’s Formula 1 project.

    Discussions involving Audi were also smoothed by the presence of Formula 1 CEO Stefano Domenicali, who previously worked for Audi, which included a four-year spell as the CEO of subsidiary Lamborghini.

    Audi, along with sister company Porsche, were involved in the lengthy discussions surrounding Formula 1’s 2026 power unit, as the championship sought to entice them to the grid.

    what's behind audi's decision to compete in formula 1 beginning in 2026

    Audi chairman Markus Duesmann

    KENZO TRIBOUILLARDGetty Images

    The 2026 PU will be based around the current 1.6-liter V6, with the MGU-H dropped, greater output from the MGU-K and ERS, as well as fully sustainable fuels. There will also be a cost cap for PU manufacturers. These elements were all cited as crucial for Audi’s participation from 2026.

    Audi is in the process of enhancing its motorsport facility at Neuburg an der Donau, Germany, where its power units will be constructed. Audi already has test benches for F1 engine testing in Neuberg, Germany, and additional preparations, in terms of personnel, building and infrastructure, will be in place by the end of the year. Audi also announced that Adam Baker, who joined the company in 2021 after three years with the FIA, will oversee its Formula 1 project.

    “Certainly we have to bring them up to F1 standards which takes a long time, that is already ongoing,” said Duesmann. “We have a fantastic team of people there—motorsport-experienced people—but we also have to hire some new people, this takes some time. And as everything will be brand new there is not long, in less than four years from now we will be on the grid and racing in F1 races, so this is not too long.”

    “Certainly we have to bring them up to F1 standards which takes a long time.”

    Sauber meanwhile has state-of-the-art facilities at its headquarters in Hinwil, Switzerland, including a renowned wind tunnel, and where the Formula 1 team is expected to remain following Audi’s anticipated buyout.

    Another VW subsidiary, Porsche Motorsport, is widely anticipated to link up as power unit partner to Red Bull Racing from 2026.

    Porsche is poised to work alongside Red Bull Powertrains in Milton Keynes, England, on the new-for-2026 power unit, but an announcement has not yet been forthcoming.

    However, Duesmann was not exactly subtle when discussing the plans.

    “You know we raced (against) Porsche in Le Mans, with completely separate operations, and in this case we will have completely separate operations, we will have our operations in Germany and if Porsche enters they will have their operations in the UK—completely separate,” said Duesmann.

    “You can imagine that was a huge discussion but we decided—both our brands have a lot of fans, and both our brands have their special character, and that’s why we decided to keep it completely separate and do two operations.”

    Added technical development chief Oliver Hoffmann: “(In order) to meet the timetable, the integration work of the electrified side of the power train, together with the chassis, it costs time to make it in two cars, so it is completely different operations, and the integration work we will do by ourselves.”

    There was a comment of ‘rings are the new stars’ on its social media channel, a pointed remark no doubt aimed at rivals Mercedes, but Audi is wary of the challenge it faces.

    “I feel that’s not realistic,” said Duesmann on the prospect of being competitive initially. “That would be ideal! But we certainly have a plan internally what we want to do. Ideally within the first three years we should be very competitive.”

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