Berlin: Mercedes team principal Toto Wolf has rejected rumours that the German car manufacturer might quit the Formula 1 circuit after 2020.
"To stay in the game is making sense as Mercedes as a company is highly benefiting from motorsports," the 48-year-old Austrian commented in advance of the 2020 season's first race in Australia on March 15, Xinhua news reports.
According to several media reports, the Stuttgart located company is considering to pull out of the most important race series due to economic turbulence and a significant drop in profits.
The media reported about strict austerity measures with Mercedes reducing its workforce by 15,000.
Currently, Mercedes is investing the assumed sum of around 75 million euros to support its motorsport section of Formula 1.
Wolf said he is optimistic to soon increase the company's benefits as "our goal is to run the team cost-neutral within the next two to three years."
Last Monday, the team, located in Brackley/England, presented a new sponsor partner deal worth 30 million euros per year running over the next five years.
Wolf called the deal a vital step in securing future participation.
The stable race boss mentioned the value of Formula 1 for his company "as Formula 1 is one of the best return-on-investment." The company is gaining billions in marketing equivalent, he is convinced.
The recent years have given proof of the company's high media presence, which seems of more value than counting on Ads having to be placed in international markets.
Ruling Champion and fan darling Lewis Hamilton has won 5 of his 6 titles in a Mercedes.
Wolf said he is optimistic about extending Hamilton's contract soon. "We want the fastest man in our car. And I know Lewis wants to be the fastest," he said.
Rumours spoke about a possible engagement of Mercedes's rival, Ferrari. Ferrari racing chief Louis Camilleri called the stories exaggerated.
Tests with the 2020-season car will start in March while the new bolide will be presented this Friday.
"We have started to implement additional business segments next to formula 1," Wolf underlined.
Joining the advanced sail-boat area and bike-race section delivers the realistic option to gain financial independence. "That is a realistic vision," he emphasized.
Wolf underlined the image enhancement for Mercedes being part of the race scene. "Every brand tries to set up emotions. We do that plausibly and authentically around our key product, the automobile," he added.
He claimed Mercedes has the most efficient Hybrid motors in racing, "That is working for the company like a driving laboratory delivering support, solutions and technical innovations for production vehicles."
He pointed out the contribution regarding the reduction of CO2 emissions that could be further reduced through the engagements in Formula 1.
© Copyright NewsKarnataka 2019 . All Rights Reserved.