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McLaren Exits Formula E to Focus on Hypercar Project

After three seasons of participation, McLaren has decided to discontinue its Formula E program, redirecting its efforts toward the development of a Hypercar for the World Endurance Championship, set to debut in 2027. This marks a significant shift for the team, which originally entered the series as HWA Racelab during the 2018-19 season, acting as a stand-in for Mercedes before the manufacturer launched its full entry the following year.

When Mercedes opted not to continue with the Gen3 platform—having secured consecutive drivers’ and teams’ championships in 2020-21 and 2021-22—team principal Ian James reached out to CEO Zak Brown. Since taking over in 2017, Brown has sought to broaden McLaren’s motorsport presence, including expansions into IndyCar and Extreme E. Thus, entering Formula E made strategic sense, especially as they took over the most successful team in the championship’s history. McLaren had previously engaged with the series as a battery supplier for Gen2 cars alongside Atieva, but that partnership concluded with the transition to Gen3.

McLaren’s participation in Formula E has been based on a customer model, avoiding the large expenses associated with developing a proprietary motor generator unit. They secured a supply agreement with Nissan; however, the initial Gen3 powertrain from Nissan was less competitive than offerings from Porsche and Jaguar.

Despite these challenges, McLaren celebrated its first victory in the Brazil E-Prix last year, with Sam Bird clinching the win in a dramatic finish against Mitch Evans. The team’s fortunes improved with Nissan’s subsequent validation of a Gen3 powertrain, as their lead driver, Oliver Rowland, currently leads the drivers’ standings, while rookie Taylor Barnard has also secured multiple podiums this season.

While McLaren’s exit from Formula E is a setback for the championship, it does not carry the same weight as Mercedes’ departure, which had been a highly successful team that set a benchmark for manufacturers in the series. Mercedes pulled out not just as a team but also withdrew its powertrain supply, leading to significant repercussions across the competitive landscape.

The exit of McLaren, however, is more manageable as they were operating under a customer model. Formula E’s CEO, Jeff Dodds, acknowledges that the optics of a global brand leaving the series are less than ideal but remains optimistic about attracting new investments to support the team moving forward.

Commercial aspects, particularly linked to funding by the Saudi Arabian Public Investment Fund through the branding of Neom—an initiative to develop a smart city—are believed to have played a role in McLaren’s decision. The impact of this funding remains uncertain, especially with the PIF’s increased involvement in various electric racing initiatives.

Dodds expressed a preference for McLaren to remain in the championship, noting that while their exit is unfortunate, it might create opportunities for other brands to join Formula E. He pointed out that, despite McLaren’s departure, the championship currently features six manufacturers committed to the Gen4 season, including renowned names like Porsche, Jaguar, and Nissan. This foundation should provide a solid platform for future growth.

In terms of attracting new manufacturers, the electric vehicle market is currently in a state of fluctuation. Despite significant market shares held by Chinese brands like BYD and Geely, others, including Tesla, have experienced declines in sales. Nevertheless, interest from emerging brands to participate in Formula E remains a priority for the series as it strives for stability and expansion.

One long-standing challenge for Formula E has been its semi-open technical regulations. While manufacturers can innovate in areas like powertrains and software, the single-spec battery design limits the scope of development—often leading to greater emphasis on non-racing platforms for EV manufacturers to showcase their technology.

For McLaren, which does not specialize in electric vehicles, pursuing a Hypercar aligns more closely with its business model. Dodds indicated that the door remains open for McLaren’s potential return, emphasizing the importance of making the new 600kW Gen4 regulations appealing enough to entice additional brands into the fold. As the Gen3 era approaches its conclusion, these efforts will be critical in ensuring McLaren’s future, whether in Formula E or under a new banner.

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www.autosport.com