New Season - Formula 1 Changes

After analysis of current state of Formula 1 we decided to make some changes with suppliers. We really changed prices and qualities drastically and we expect more equal approach to build own engine from teams. Read more in article to understand the reasons and future consequences.

So what we did?

First of all as you already know, from season 35 there will be new engine rules so all teams have to either purchase engine from a supplier or build its own. So it is a good time for changes.
We changed quality of top suppliers engine to almost 95% and also raised the price of that. This engine would be 7th best engine in the field last season right on par with top engines. So thinking of using suppliers engine is relevant for teams.
On the other side the price of the engine went steep up! Assuming the engine would last 6 seasons using this top engine would cost 46.2M. Only 4 teams spent more than that to build current engine.
In case of 7 seasons it will be 53.9M which is little bit more than what one team had to pay to build current engine.
Of course coin flip will decide how many seasons we will use engines, so it might be little bit of gamble from teams to decide which strategy to use.

UPDATE: Price of suppliers engine will be lowered by 35% discount for season 7 and later (production price only)... Therefore while teams with own built engine will pay 3.3M or 4.4M annual maintenance fee for engine department, using top 2 suppliers engines would cost 5.005M or 4.42M.

Second best supplier engine would be just a bit worse and significantly cheaper. Quality of that engine is better than 3 current engines, but on the other hand will be 3rd cheapest.

Other engine suppliers would provide worse engines than what all teams currently have, but the financial savings might be interesting. Using this money on aerodynamics might also result into competitive car.

Don`t expect too much changes in new engine development.

Second change is the quality and price change for suppliers of parts which cannot be built by the team. Worst supplier now will have quality 90%, which means if team forget to sign suppliers and the cheapest one will be purchased, it will not be so dramatic disadvantage and frustration of team managers will not be that big. In addition to that we believe now it makes sense for teams also to think whether it is not better to use cheaper supplier to save money for development of other parts.

We believe building own engine is still the top choice for teams which can do it effectively, it is also better choice in case of 7 seasons engine usage. Especially when the engines are finished. But for some teams it would be better to simply use supplier...

Good luck with your decision!