Formula One's High-Stakes Negotiation with ESPN for U.S. Rights

Formula One and ESPN are in talks for a new U.S. media rights deal as their current contract nears expiration. Despite the exclusivity period, there's potential for competition if no agreement is reached soon. F1's popularity in the U.S. has surged, fueled by Netflix's 'Drive to Survive.'

Formula One has begun crucial discussions with ESPN regarding the renewal of their U.S. media rights contract, which has one year remaining, as reported by the Financial Times on Thursday.

According to the report, negotiations are proceeding within an exclusivity period that concludes later this year, with sources indicating that even if an agreement isn't finalized by then, Liberty Media's F1 and Disney's ESPN might still secure a deal in the following year. However, this scenario could expose ESPN to competition for the coveted screening rights.

The partnership between F1 and ESPN has been pivotal in reigniting American interest in the sport, especially following the success of Netflix's 'Drive to Survive.' The Las Vegas Grand Prix, happening this weekend, highlights F1's resurgence, boasting an expected record turnout akin to last year's event, which had a $1.5 billion economic impact.

(With inputs from agencies.)