MMR Blog

Pointy Heads and Pointy Boots or Who’s Nervous Now Nellie?

Posted on September 30, 2010 Comments (0)

The boffins* of F1 race engineering will take their skinny little cars and their trailer loads of fashionably thin entourages to Austin beginning in 2012. Will the rich and clamorous follow them to the land of big hats and big egos?

Austin, TX: Tilke
United States Grand Prix (USGP) Track design

Austin, TX: Tilke United States Grand Prix (USGP) Track design

Bernie’s buddies and the Texas Gov bet they will but Bernie won’t rule out a second location in the US!

In 2007 Tony George explained to Bernie that in the USA the government won’t write checks to support F1 races and that the Speedway was not a charity. He was at least half right and that was the last F1 race held in the USA. F1 outgrew the independent entrepreneur’s ability to organize and fund a race many years ago. From time to time even governments in France, Canada, Belgium and the UK have balked at the financial commitments required to support “their” national F1 race.

As American F1 fans have learned, the stars ALL must be aligned for a successful F1 USGP. The major keys appear to be: a safe smooth track, a large amount of hotel rooms, a huge nearby population and the ability to throw a great party. And, oh yes, the reported $12M upfront cost of a date.

Austin United States Grand Prix (USGP)

Austin United States Grand Prix (USGP)

Now Bernie has an agreement with Tavo Hellmund, whose has family history with Mr. E and his respect and support. They apparently have $200M now and $25M annually from the great State of Texas to pull it off. They have purchased 800 acres and a track designed by the ubiquitous Herman Tilke.

This sounds a little like the Field of Dreams theme of “build it and they will come”. But the ingredients are there: Knowledge of F1, access to Bernie and the Texas treasury, land near the Austin airport that could be developed as a race track and industrial testing facility. Sounds easy and Austin has been told that the glamour of the FIA circus will put their city on a world map and also bring in $25M in cash.

I’m skeptical because I’m not convinced that there are enough people in the “huge nearby population” portion that care enough about F1 to spend the price of a ticket to see this type of racing. I further doubt that F1 fans will spend the money to fly from all over America and the remainder of the world to be seen in a Texas town famous for being the “Live Music Capital of the World”. And as they will learn when they get there, that’s not the only area Texans believe is either the biggest or the best in the world.

The F1 circus will go, because that is their business. I doubt anyone else will, twice. And I don’t think Bernie does either. That is why he has left the option of another race in America open. That would be fabulous for F1 but probably not so fabulous for either event organizer. Should the folks in Austin be nervous? Would you be?

*Boffin is a British term for “nerds”