KTM remains in the MotoGP: Future uncertain after crisis!

KTM remains in the MotoGP: Future uncertain after crisis!

KTM has officially confirmed that the company will start in the MotoGP by the end of 2026. This promise comes at a crucial moment, since the future of the brand in motorsport remains uncertain after Liberty Media's planned entry into the business. According to Vol.at , the further participation of KTM in the MotoGP after 2026 depends on the costs and developments around the new marketer Liberty Media from.

CEO Gottfried Neumeister expressed that the approval of the Liberty Media entry is expected by the EU Commission for June 2025. Despite the challenges, KTM remains optimistic that the situation will stabilize. The Indian parent company Bajaj Auto has already provided 525 million euros to cushion the financial difficulties of KTM AG. With a call option agreement, Bajaj also has the opportunity to take control of Pierer Mobility AG by May 2026.

financial situation and market conditions

The financial results of Pierer Mobility AG for 2024 show a major challenge: sales of 1.879 billion euros, which means a decrease of 29 % compared to the previous year, and an EBITDA of −481 million euros. These losses are primarily due to high restructuring costs and depreciation to intangible assets of around 850 million euros.

A tense market environment is predicted for 2025, and an operational loss is expected, which can, however, be partially compensated for by renovation gains. The locations in Mattighofen and Munderfing in Upper Austria should remain secured in the long term. Back to racing: From 2027, a new technical regulations will come into force in the MotoGP, which provides for a displacement reduction to 850 cubic centimeters. So far, however, no manufacturer has signed a contract for the period 2027 to 2031.

meaning for the MotoGP and team contracts

Carlos Ezpeleta, the sporting director of Dorna, made relief about the end of KTM’s financial crisis and emphasized the importance of the manufacturer for the MotoGP. The engine builder had had to deal with considerable financial difficulties since the end of last year and had to manage himself to avoid bankruptcy. The restructuring plans, which were approved by the creditors in February, set the conditions for repayment of 30 % of the over 2 billion euros in debt by May 23, 2025 report crash.net .

Despite an almost 600 million euro investment by Bajaj, there are rumors about a possible reduction in satellite support for the Tech3 team in the coming season. KTM Motorsport boss Pit Beirer, however, rejected these rumors as "completely wrong" and confirms that the current plans for stabilization and existing contracts with drivers and tech3 continue to exist.

The future competitive landscape could change soon. The EU Commission has initiated a thorough examination of the takeover of Dorna by Liberty Media because there are concerns about a possible market concentration. Such a scenario could ultimately result in higher prices for licenses of broadcasting rights, which would be critical in the interest of fans and European broadcasters, such as Motorsport magazin reported

The decision of the Commission is expected by May 14, 2025 at the latest, which could be of crucial importance for KTM and the entire MotoGP. While Dorna CEO Carmelo Ezpeleta and Liberty Media remain optimistic, the challenges that arise from the financial situation and the regulatory exams are far from solved.