Liberty's blurred 'vision' leaves more questions than answers

Liberty Media has presented the blueprint for the future of Formula 1, but with more questions being raised, could F1's owners find themselves locked in a political arm-wrestle with the sport's leading teams before the "vision' is implemented in 2021?

For the past two decades, F1's 'Concorde Agreement' has dictated the commercial agreements between F1's owners and the teams and set out the terms regarding the governance of the F1 championship. The current deal, negotiated during Bernie Ecclestone's tenure, will come to an end in 2020 and Liberty's desire is to start afresh with a more open-ended 'partnership' going forwards.

But there lies the problem.

Each team on the grid has its own agenda and political standpoint, and all the teams barring Ferrari and Mercedes are pressing hard for F1 to reduce costs and introduce a more sustainable business model.

Liberty Media's proposal for 2021 focuses on five key areas: power units, cost control, revenue distribution, sporting and technical rules, and governance.

Hybrid power units are here to stay and future development in this area "must retain road relevance". For fans hoping for a return to the screaming V10s, that period is well and truly over - although Liberty has vowed to make the current engines louder.

No details have been revealed as to the technical specifications of the power units being suggested, but with an estimated cost cap of $150million being introduced, it is expected that some of the current technology will be simplified. This may not sit well with the likes of Ferrari and Mercedes, so we can expect some interesting comments from the likes of Toto Wolff and Sergio Marchionne in the coming days.

An intriguing point on the subject of cost control is the introduction of standardised parts. The smaller teams will welcome this, and Haas are to an extent already doing this by purchasing some items, such as their gearbox and electronics, from Ferrari. Again, the top teams may see too much standardisation as a way of handicapping those with greater resource to design their own parts.

Other changes in the areas of revenue distribution, efforts to increase overtaking, and the governance of the sport have been mentioned, but with no concrete details just yet it's difficult to know exactly what Liberty Media has in mind.

What is clear is that the owners are trying to find a compromise that will keep the likes of Ferrari and Mercedes invested in the sport, while at the same time allowing the independent teams to be competitive at a sustainable level and make F1 more attractive to new entrants in the future.

However, it's difficult to see how they can achieve all three.

Mercedes have won 78 per cent of the races and all four drivers' and constructors' titles since F1 switched to hybrid power in 2014. With the highly complex technology required to compete at the front, and the spiralling budgets necessary to sustain it, F1's current model is no longer sustainable in the long-term.

There have been some suggestions that Ferrari and Mercedes, who for some time have been embroiled in conflict on-track, are working together off-track to make sure they get a deal that best serves their interests.

Last year's suggestions of a simplified power unit were not well received and Ferrari made familiar threats to walk away from F1 completely, but this time that menace may have to be taken more seriously.

Chase Carey said in a statement: "Formula 1 is a sport with a rich history. We want to preserve, protect and enhance that history by unleashing F1's potential, by putting our fans at the heart of a more competitive and more exciting sport."

F1's full potential may not be unleashed until Liberty Media have wrestled back power from the manufacturers, and to do so, the message must be clear: either you're in or you're out.

LIBERTY'S VISION IN FULL

Power Units

• The PU must be cheaper, simpler, louder, have more power and reduce the necessity of grid penalties.
• It must remain road relevant, hybrid and allow manufacturers and build unique and original PU.
• New PU rules must e attractive for new entrants and Customer teams must have access to equivalent performance.

Costs

• We believe how you spend the money must be more decisive and important than how much money you spend.
• While there will be some standardised elements, car differentiation must remain a core value.
• Implement a cost cap that maintains Formula 1 position as the pinnacle of motorsport with a state-f-the-art technology.

Revenues

• The new revenue distribution criteria must be more balanced, based on meritocracy of the current performance and reward success for the teams and the Commercial Rights Holder.
• F1's unique, historical franchise and value must and will still be recognised.
• Revenue support to both cars and engine suppliers.

Sporting and technical rules & regulations

• We must made cars more raceable to increase overtaking opportunities.
• Engineering technology must remain a cornerstone but driver's skill must be the predominant factor in the performance of the car.
• The cars must and will remain different from each other and maintain performance differentiators like aerodynamics, suspensions and PU performance. However, we believe areas not relevant to fans need to be standardised.

Governance

• A simple and streamlined structure between the teams, the FIA and Formula 1.