- 33,155
- Hammerhead Garage
I was going to stick this in the 2013 silly season thread, but since it applies to 2014, it's not really appropriate there.
Anyway, I've been doing a bit of detective work of late, and I've uncovered a truly bizarre set of circumstances that I believe are pointing towards Hyundai entering Formula 1 in 2014. Bear in mind that this is all circumstantial and compeltely speculative, but just watch the coincidences stack up nicely, and you'll see what I mean:
All of this started in 2006, when Bernie Ecclestone announced that Formula 1 would travel to South Korea in 2010. This drew a collective what-the-hell-Bernie!? from the fans, but the important thing to note is that it would be four years (almost to the day) between the announcement of the race and the inaugural event. This is very unusual, because most races are given the minimum amount of time needed to construt a circuit. Abu Dhabi and India were both given two years to get ready, while Austin is operating on a two and a half-year schedule (mostly because the race date was moved back from June to November). The only other race that I can find with a four-year schedule is the Russian Grand Prix, and that's mostly because the Russians were smart enough to realise that they had to do something with their Olympic Precinct once the 2014 Winter Olympics are over. But Korea was given four years to get ready (and still only just made it), without any reason or explanation.
The choice of venue also raised eyebrows. The Koreans decided to build their circuit in Yeongam, which is about as far away from anything as it could possibly be, whilst still remaining in South Korea. The nearest city is Mokpo, an industrial hub that is hardly frequented by tourists. The idea behind the circuit was to try and kickstart growth in the region, with grand visions of a gleaming commercial centre springing up around the track. So far, these have failed to come to anything. The circuit itself is also very unusual, because it is really a testing venue. If you look carefully at the circuit, each sector is very distinct to the point of exaggeration. The first sector is all long straights and heavy braking zones. The second sector is made up of high-speed S-bends and hills and is very driver-oriented. And the final sector is very technical.
I believe that all of this was an attempt to lure Hyundai into the sport from 2010. As has been well-documented, the FIA opened up grid entries in 2009, and Hyundai were reported as considering an entry. They are the fastest-growing car manufacturer in the world, and the eighth-largest by size (fourth-largest is you count their subsidiary, Kia). Furthermore, the Hyundai Group is one of the biggest employers in the region, because Mokpo - that industrial city that is at odds with the glamourous image of Formula 1 - is home to Hyundai Samho Heavy Industries, one of the largest shipyards in the world. I'm also willing to bet that they have several other subsidiaries in the area. And with the rather distinct nature of the Yeongam circuit, I think the plan was to have Hyundai set up a Formula 1 team and base at the circuit. With the calendar expanding to the point where flyaway races out-number European events, the European season would effectively be a flyaway leg for the team, while the Asian events (Korea, China and Japan in particular) would serve as a "home" leg, as all the races are in similar time zones.
But then the recession (I refuse to refer to it as the "Global Financial Crisis", except to say that I refuse to refer to it as the "Global Financial Crisis") hit, and Hyundai's 2010 grid entry never materialised. As far as I can tell, they never actually submitted a proposal to the FIA.
However, I think the stars are aligning once more, and the sport is going to try and sweet-talk Hyundai into joining the sport in 2014. For one, the Korean Grand Prix has been suffering massive losses - but Bernie has stepped in and offered them a much better deal, one that reduces the yearly race sanctioning fee, does away with the clause that gives FOM a 10% commission on any profits the event makes, and reduces the infamous 7% multiplier. These are incredibly favourable terms for a circuit, least of all one that has only been on the calendar for two years. And all of this is in spite of the way Bernie went on the record to say that he didn't want to renegotiate because it was "difficult enough to get them to agree the first time around". This makes almost no sense - unless Bernie knows that there is something in the future that will make the race more than worthwhile. Like the entry of a certain South Korean car manufacturer.
Elsewhere, there are a few other projects that are alive and well, despite being very expensive and having no apparent source of income. First of all, when Lola Cars' 2010 entry bid was rejected, they never actually gave up working on the car. Instead, they kept developing it, refining it to accomodate the new rules. As recently as November last year, they said that they want to enter the sport in 2014, provided that a thirteenth grid entry is available and that they can find an engine supplier. And speaking of engines, Craig Pollock and PURE are developing an engine to fit the 2014 engine regulations (and Audi are known to have been a part of the negotiations over the regulatiosn despite not having an entry, which makes the involvement of other manufacturers very possible). This is likely to be even more expensive than Lola's project, and despite admitting that they don't actually have anyone in mind for the engines, they are continuing development. So there is a perfectly-useable car and engine out there, just waiting for someone to buy them and run them.
Furthermore, 2012 will see a brand-new Concorde Agreement being signed. The sport will be floated on the Singapore Exchange later this year, and as a part of the new Agreement, it is believed that Bernie is offering successful - ie, championship-winning - teams a share in the sport, possibly with future successes being rewarded in the same way (it's the only way the deal makes sense to my mind). This would have to make Formula 1 especially appealing to new manufacturers. And, of course, the thirteenth grid space is still open and vacant.
With a total yearly income of nearly US$100 billion, Hyundai could certainly afford an entry. It would not surprise me if they are quietly funding Lola and PURE, to produce a chassis and engine combination that will be ready for 2014, possibly based at the Yeongam circuit (and their presence would likely see the area grow as originally planned). The 2014 season is still eighteen months away, but I think there is a very real chance that they could enter.
Anyway, I've been doing a bit of detective work of late, and I've uncovered a truly bizarre set of circumstances that I believe are pointing towards Hyundai entering Formula 1 in 2014. Bear in mind that this is all circumstantial and compeltely speculative, but just watch the coincidences stack up nicely, and you'll see what I mean:
All of this started in 2006, when Bernie Ecclestone announced that Formula 1 would travel to South Korea in 2010. This drew a collective what-the-hell-Bernie!? from the fans, but the important thing to note is that it would be four years (almost to the day) between the announcement of the race and the inaugural event. This is very unusual, because most races are given the minimum amount of time needed to construt a circuit. Abu Dhabi and India were both given two years to get ready, while Austin is operating on a two and a half-year schedule (mostly because the race date was moved back from June to November). The only other race that I can find with a four-year schedule is the Russian Grand Prix, and that's mostly because the Russians were smart enough to realise that they had to do something with their Olympic Precinct once the 2014 Winter Olympics are over. But Korea was given four years to get ready (and still only just made it), without any reason or explanation.
The choice of venue also raised eyebrows. The Koreans decided to build their circuit in Yeongam, which is about as far away from anything as it could possibly be, whilst still remaining in South Korea. The nearest city is Mokpo, an industrial hub that is hardly frequented by tourists. The idea behind the circuit was to try and kickstart growth in the region, with grand visions of a gleaming commercial centre springing up around the track. So far, these have failed to come to anything. The circuit itself is also very unusual, because it is really a testing venue. If you look carefully at the circuit, each sector is very distinct to the point of exaggeration. The first sector is all long straights and heavy braking zones. The second sector is made up of high-speed S-bends and hills and is very driver-oriented. And the final sector is very technical.
I believe that all of this was an attempt to lure Hyundai into the sport from 2010. As has been well-documented, the FIA opened up grid entries in 2009, and Hyundai were reported as considering an entry. They are the fastest-growing car manufacturer in the world, and the eighth-largest by size (fourth-largest is you count their subsidiary, Kia). Furthermore, the Hyundai Group is one of the biggest employers in the region, because Mokpo - that industrial city that is at odds with the glamourous image of Formula 1 - is home to Hyundai Samho Heavy Industries, one of the largest shipyards in the world. I'm also willing to bet that they have several other subsidiaries in the area. And with the rather distinct nature of the Yeongam circuit, I think the plan was to have Hyundai set up a Formula 1 team and base at the circuit. With the calendar expanding to the point where flyaway races out-number European events, the European season would effectively be a flyaway leg for the team, while the Asian events (Korea, China and Japan in particular) would serve as a "home" leg, as all the races are in similar time zones.
But then the recession (I refuse to refer to it as the "Global Financial Crisis", except to say that I refuse to refer to it as the "Global Financial Crisis") hit, and Hyundai's 2010 grid entry never materialised. As far as I can tell, they never actually submitted a proposal to the FIA.
However, I think the stars are aligning once more, and the sport is going to try and sweet-talk Hyundai into joining the sport in 2014. For one, the Korean Grand Prix has been suffering massive losses - but Bernie has stepped in and offered them a much better deal, one that reduces the yearly race sanctioning fee, does away with the clause that gives FOM a 10% commission on any profits the event makes, and reduces the infamous 7% multiplier. These are incredibly favourable terms for a circuit, least of all one that has only been on the calendar for two years. And all of this is in spite of the way Bernie went on the record to say that he didn't want to renegotiate because it was "difficult enough to get them to agree the first time around". This makes almost no sense - unless Bernie knows that there is something in the future that will make the race more than worthwhile. Like the entry of a certain South Korean car manufacturer.
Elsewhere, there are a few other projects that are alive and well, despite being very expensive and having no apparent source of income. First of all, when Lola Cars' 2010 entry bid was rejected, they never actually gave up working on the car. Instead, they kept developing it, refining it to accomodate the new rules. As recently as November last year, they said that they want to enter the sport in 2014, provided that a thirteenth grid entry is available and that they can find an engine supplier. And speaking of engines, Craig Pollock and PURE are developing an engine to fit the 2014 engine regulations (and Audi are known to have been a part of the negotiations over the regulatiosn despite not having an entry, which makes the involvement of other manufacturers very possible). This is likely to be even more expensive than Lola's project, and despite admitting that they don't actually have anyone in mind for the engines, they are continuing development. So there is a perfectly-useable car and engine out there, just waiting for someone to buy them and run them.
Furthermore, 2012 will see a brand-new Concorde Agreement being signed. The sport will be floated on the Singapore Exchange later this year, and as a part of the new Agreement, it is believed that Bernie is offering successful - ie, championship-winning - teams a share in the sport, possibly with future successes being rewarded in the same way (it's the only way the deal makes sense to my mind). This would have to make Formula 1 especially appealing to new manufacturers. And, of course, the thirteenth grid space is still open and vacant.
With a total yearly income of nearly US$100 billion, Hyundai could certainly afford an entry. It would not surprise me if they are quietly funding Lola and PURE, to produce a chassis and engine combination that will be ready for 2014, possibly based at the Yeongam circuit (and their presence would likely see the area grow as originally planned). The 2014 season is still eighteen months away, but I think there is a very real chance that they could enter.
