A formal investigation has been launched by the European Union into Liberty Media's proposed acquisition of MotoGP, a deal that could significantly alter the motorsport landscape.
Liberty, which already owns the commercial rights to Formula 1, announced the €4.2 billion MotoGP acquisition in April, with an expectation of finalising the deal by the end of 2024, pending regulatory approval.
Departing Liberty CEO Greg Maffei expressed confidence last month, stating, "We are making progress with the European Commission, which is the only remaining jurisdictional regulatory hurdle."
However, Bloomberg recently revealed that the EU was preparing a full investigation into the matter.
This has now been officially confirmed by the European Commission's new competition commissioner, Teresa Ribera Rodriguez.
"By acquiring Dorna Sports, Liberty Media would have the commercial rights to two of Europe's most popular motorsports - Formula 1 and MotoGP," Ribera said in comments reported by Spanish wire services.
"We need to look in more detail at whether this acquisition could negatively impact broadcasters, for example in terms of increased licence fees, and ultimately consumers and fans through higher prices," she explained.
The central concern is that Liberty's ownership of both F1 and MotoGP could undermine competition, particularly when negotiating broadcasting rights.
Ribera added that the commission is especially worried about the potential impact on broadcasters in smaller national markets. "It seems that F1 and MotoGP closely compete," she noted.
The investigation, which is expected to continue until May 2025, will also evaluate Liberty's claims about the potential benefits of the acquisition.
"We will consider any corroborated statements by the parties on the possible benefits that the acquisition could bring to fans, the industry, and consumers," Ribera stated.
At the heart of the probe is Liberty Media's chairman, John Malone, who is deemed to hold "decisive influence" over both Formula 1 and the proposed MotoGP deal.
