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Monday, 7 December 2015

All You Need To Know About Formula One (Final Part).



Today sees our final part at all things Formula One. We hope you have enjoyed the detailed look at the world of motor racing and Formula One.


Revenue and profits

In March 2007, F1 Racing published its annual estimates of spending by Formula One teams. The total spending of all eleven teams in 2006 was estimated at $2.9 billion US. This was broken down as follows: Toyota $418.5 million, Ferrari $406.5 m, McLaren $402 m, Honda $380.5 m, BMW Sauber $355 m, Renault $324 m, Red Bull $252 m, Williams $195.5 m, Midland F1/Spyker-MF1 $120 m, Toro Rosso $75 m, and Super Aguri $57 million. 

Costs vary greatly from team to team. Honda, Toyota, McLaren-Mercedes, and Ferrari are estimated to have spent approximately $200 million on engines in 2006, Renault spent approximately $125 million and Cosworth's 2006 V8 was developed for $15 million. In contrast to the 2006 season on which these figures are based, the 2007 sporting regulations ban all performance related engine development.

Formula One teams pay entry fees of $500,000, plus $5,000 per point scored the previous year or $6,000 per point for the winner of the constructors' championship. Formula One drivers pay a Superlicense fee of $10,000 plus $1,000 per point.

There have been controversies with the way profits are shared amongst the teams. The smaller teams have complained that the profits are unevenly shared favoring established top teams. In September 2015, Force India and Sauber officially lodged a complaint with the European Union against Formula One questioning the governance and stating that the system of dividing revenues and determining the rules is unfair and unlawful.

The cost of building a brand new permanent circuit can be up to hundreds of millions of dollars, while the cost of converting a public road, such as Albert Park, into a temporary circuit is much less. Permanent circuits, however, can generate revenue all year round from leasing the track for private races and other races, such as MotoGP. The Shanghai International Circuit cost over $300 million and the Istanbul Park circuit cost $150 million to build.
Formula One drivers earn the highest salary of any drivers in auto racing. The highest paid driver in 2010 was Fernando Alonso, who received $40 million in salary from Ferrari—a record for any driver.

Future

The expense of Formula One has seen the FIA and the Formula One Commission attempt to create new regulations to lower the costs for a team to compete in the sport. Cost-saving proposals have included allowing customer cars, either by teams purchasing a car from another constructor, or the series supplying a basic chassis and engine to some teams at a low cost. Allowing teams to share more car components such as the monocoque and safety components is also under consideration. The FIA also continually researches new ways to increase safety in the sport, which includes introducing new regulations and accident procedures.

In the interest of making the sport truer to its role as a World Championship, Bernie Ecclestone has initiated and organised a number of Grands Prix in new countries. Proposals to hold future races are regularly made by both new locations and countries and circuits that have previously hosted a Formula One Grand Prix. One new race is currently planned for 2016, the Baku European Grand Prix in Azerbaijan.

An enhanced rule package for 2017 is currently being considered by Formula One. The introduction of 1000 bhp engines, achieved by reducing limitations on the current 1.6L turbocharged V6 power units, is currently planned in order to increase the difficulty of driving a Formula One car. It is a massive television event; the cumulative television audience was calculated to be 54 billion for the 2001 season, broadcast to 200 territories.

During the early 2000s, Formula One Group created a number of trademarks, an official logo, and an official website for the sport in an attempt to give it a corporate identity. Ecclestone experimented with a digital television package  which was launched at the 1996 German Grand Prix in cooperation with German digital television service "DF1", 30 years after the first GP colour TV broadcast, the 1967 German Grand Prix. This service offered the viewer several simultaneous feeds  which were produced with cameras, technical equipment and staff different from those used for the conventional coverage. It was introduced in many countries over the years, but was shut down after the 2002 season for financial reasons.

TV stations all take what is known as the "World Feed", either produced by the FOM  or occasionally, the "host broadcaster". The only station that originally differed from this was "Premiere"—a German channel which offers all sessions live and interactive, with features such as the onboard channel. This service was more widely available around Europe until the end of 2002, when the cost of a whole different feed for the digital interactive services was thought too much. This was in large part because of the failure of the "F1 Digital +" Channel launched through Sky in the United Kingdom. Prices were too high for viewers, considering they could watch both the qualifying and the races themselves free on ITV.

However, upon the commencement of its coverage for the 2009 season, the BBC reintroduced complementary features such as the "red button" in-car camera angles, multiple soundtracks  and a rolling highlights package. Different combinations of these features are available across the various digital platforms  prior to, during, and after the race weekend. Not all services are available across all the various platforms due to technical constraints. The BBC also broadcasts a post-race programme called "F1 Forum" on the digital terrestrial platforms' "red button" interactive services.

An announcement made on 12 January 2011, on the official Formula 1 website, announced that F1 would adopt the HD format for the 2011 season offering a world feed at a data rate of 42 Megabits/second . The BBC subsequently announced later that day that their 2011 F1 coverage would be broadcast in HD which has been made immediately possible due to SIS LIVE, the provider of the BBC's F1 outside broadcast coverage, having already upgraded their technical facilities to HD as of the 2010 Belgian Grand Prix.

It was announced on 29 July 2011 that Sky Sports and the BBC would team up to show the races in F1 in 2012. In March 2012, Sky launched a channel dedicated to F1, with an HD counterpart. Sky Sports F1 covered all races live without commercial interruption as well as live practice and qualifying sessions, along with F1 programming, including interviews, archive action and magazine shows. The deal secures Formula 1 on Sky up to 2018. The BBC in 2012 featured live coverage of half of the races in the season: China, Spain, Monaco, Europe, Britain, Belgium, Singapore, Korea, Abu Dhabi, and Brazil. They also showed live coverage of practice and qualifying sessions from those races. For the races that the BBC don't show live, "extended highlights" of the race were available a few hours after it the live broadcast.

Formula One has an extensive web following, with most major TV companies covering it such as the BBC. The official Formula One website  has a live timing Java applet that can be used during the race to keep up with the leaderboard in real time. Recently an official application has been made available in the iTunes App Store that allows iPhone / iPod Touch users to see a real time feed of driver positions, timing and commentary. The same official application has been available for Android phones and tablets since 2011.

To accommodate fans who were unable to video the races on live television, Formula One Management's in-house production team began producing exclusive race edits synchronized to music from some of the world's top artists.
Distinction between Formula One and World Championship races 
Currently the terms "Formula One race" and "World Championship race" are effectively synonymous; since 1984, every Formula One race has counted towards the World Championship, and every World Championship race has been to Formula One regulations. But the two terms are not interchangeable.
the first Formula One race was held in 1947, whereas the World Championship did not start until 1950.

in the 1950s and 1960s there were many Formula One races which did not count for the World Championship . The number of non-championship Formula One events decreased throughout the 1970s and 1980s, to the point where the last non-championship Formula One race was the 1983 Race of Champions.
the World Championship was not always exclusively composed of Formula One events:

The World Championship was originally established as the "World Championship for Drivers", i.e., without the term "Formula One" in the title. It only officially became the Formula One World Championship in 1981.
From 1950 to 1960, the Indianapolis 500 counted towards the World Championship. This race was run to AAA/USAC regulations, rather than to Formula One regulations. Only one of the world championship regulars, Alberto Ascari in 1952, started at Indianapolis during this period.

From 1952 to 1953, all races counting towards the World Championship  were run to Formula Two regulations. Formula One was not "changed to Formula Two" during this period; the Formula One regulations remained the same, and numerous non-Championship Formula One races were staged during this time.

The distinction is most relevant when considering career summaries and "all time lists". For example, in the List of Formula One drivers, Clemente Biondetti is shown with 1 race against his name. Biondetti actually competed in four Formula One races in 1950, but only one of these counted for the World Championship. Similarly, several Indy 500 winners technically won their first world championship race, though most record books choose to ignore this and instead only record regular participants.




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