A1 Grand Prix - Future

Future

Chairman Tony Teixeira announced that Italian manufacturer Ferrari will design and build the engines until 2014, and that Ferrari will also be involved in the design of the new chassis for both, however it will not be built by Ferrari. Despite suggestions of a partnership, it was revealed that A1GP is a consumer-customer of Ferrari when Ferrari's parent Fiat sued to impound the new cars as A1GP owed it $2 million for them.

The Ferrari involvement was intended to ease some of the concerns regarding A1GP's ongoing financial viability, the continued input of existing backers, and the platform's ability to attract sponsors. CEO Pete da Silva reported a $240 million USD loss for the initial season, and yet RAB Capital paid $200 million to the exiting Dubai founder for his 80% stake; A1GP subsequently failed to make profits or attract significant financing and sponsorship, all as reported in the Wall Street Journal in April 2007. Before the 2008–09 "Powered by Ferrari" season was to begin, RAB Capital announced that its fund invested in A1GP had lost 48% of its value in one year's time, with most of this loss attributed to the A1GP investment that RAB had written down for a third time, this according to Bloomberg. A1 Team Australia boss Alan Jones has since suggested that "it is common knowledge that Mr Teixeira bought RAB Capital out from A1GP" before the current season, yet A1GP prominently displayed RAB Capital branding until A1GP discontinued racing operations in 2009.

The first franchisee of A1GP (A1 Team GBR) was also the first to become insolvent, and an administrator was appointed on 25 March 2009.

A1 Grand Prix Operations Ltd., a subsidiary of A1 Holdings, went into liquidation in June 2009, after cash-flow problems meant the company, which is responsible for the day-to-day operations of the series, was unable to pay its suppliers.

Following doubts that the fifth season would go ahead due to financial constraints and reports that engine suppliers Ferrari would pull out over non-payments, chairman of A1 Grand Prix Tony Teixeira announced that the series had secured its long-term future, following a financial restructuring. As part of the restructuring, administration has been applied for the previously liquidated A1 Grand Prix Operations Ltd.

But with A1GP failing to show up to their season five events, notably dishonouring bookings at Gold Coast (Queensland, Australia), China, and Malaysia, confidence in the A1GP's organisation was lost. A dispute over the ownership of the series' cars was heard on 18 January 2010 at the High Court of Justice in London, with a judicial decision on 21 January 2010 ruling that the Administrator, Tim Bramston, had won the case with A1 Holdings. The assets were awarded to A1 Grand Prix Operations and therefore Bramston became the Administrator of them. Bramston said he was trying to secure the best price in liquidation and would not rule out a sale to an entity controlled by Teixeira.

A1 Team USA Holdings LLC which financed the American entry in A1 has surfaced with a $4.5 million judgement from a US court against Teixeira, Lyndhurst Holdings, and A1 Holdings.

A1 Team Netherlands was officially declared bankrupt by the court in The Hague.

RAB Capital's Special Situations fund, which lost its bet on A1GP, missed out on the market recovery of 2009 and its shareholders forced manager RAB to allow the entire fund to be put up for sale through a Dutch auction.

While the A1GP liquidators were apparently selling all intellectual property rights along with cars, it is unclear if a buyer was also expected to assume franchise agreements and financial obligations, or if the series and its necessary operating entities could be bought free and clear of any and all claims by Teixeira, Lyndhurst, and RAB. The liquidators appointed GoIndustry DoveBid to handle the sale of the assets, and the liquidators are seeking £10 million for the assets.

If a revival plan for the series was not been agreed with interested investment parties by its early May 2010 deadline and the A1 Grand Prix assets were put up for auction.

On 5 July 2010 Autosport magazine published in its "rumors & speculation" blog that the series, in one form or another, is planned to be revived for a new 2011–12 season, citing an unidentified source who claims backing from a group of new investors. Also rumoured is that the season would constitute 18 countries making up the grid and ten race weekends, spread out either side of Christmas 2011, visiting many of the series' previous venues. The series would also run under a new model, similar to the GP2 Series whereby teams are responsible for finding their own funding instead of relying on Teixeira, to avoid the scenario that ultimately led to A1GP's collapse.

In Early 2011, rumours surfaced of A1GP's potential return with a new name. The series was to be called A10 World Series, keeping the A1 from A1GP to signify the continuation of the idea. The series is billed as a Global single seater series with 600BHP V10 engines. A source told Autosport magazine that the A10 World Series will use A1GP's idea of pitting countries against each other and that the series would start in October 2011. However, as of December 2011 there has been no such return or further indications of a return.