The Mercedes Formula 1 team is set to reveal a major multi-year partnership with Microsoft during its 2026 livery launch on January 22. The deal, reportedly worth around $60 million annually, follows recent collaborations and a significant stake sale in the team. Team principal Toto Wolff highlighted the team's profitability amid these developments.
The Mercedes F1 team, based in Brackley, is anticipated to confirm a substantial partnership with Microsoft, as reported by Sky News. This announcement is expected to occur at the team's 2026 F1 livery unveiling on January 22. The partnership's value is estimated at approximately $60 million per year, though this figure remains unconfirmed.
This collaboration marks the latest in a series of deals for Mercedes, coming after a partnership with PepsiCo. It also follows team principal and CEO Toto Wolff's sale of a 15% stake in his holding company—equivalent to 5% of the F1 team—to CrowdStrike CEO George Kurtz. The transaction valued the team at £4.6 billion.
Wolff commented on the sale during an interview with Sky Sports F1 in Las Vegas: “I think it shows a good development because the teams have become sustainable and profitable. It’s not just some valuation that has been taken out of the sky. When you look at our revenues and our cash flows, we are among the five, maybe three most profitable sports teams in the world, and this is where the valuations come from. It has been the work of many years and the sport being in a good place.”
The January 22 launch event will feature Wolff alongside drivers George Russell and Andrea Kimi Antonelli, as well as senior team members. They plan to provide detailed insights into the technical updates for the 2026 regulations, which introduce a power unit with a 50:50 split between internal combustion and electric power, smaller and lighter cars, the removal of DRS, active aerodynamics, and various other changes.
