The famous global parter and official race timepiece luxury watch brand is preparing to leave the Circus after 11 seasons. Rolex, according to the latest rumors launched by the specialized blog Coron.et, will leave its place in F1 to an important competitor, LVMH which boasts some of the most famous brands including TAG Heuer, already strongly present due to the partnership with Red Bull.
Formula 1 is preparing to experience another important change. The iconic Rolex watch that kicks off the formation lap and race could permanently disappear at the end of this season. The Swiss brand began its collaboration with Formula 1 thanks to the intervention of three-time world champion Jackie Stewart and the then patron of F1 Bernie Ecclestone. The agreement, worth $50 million per year, allowed Rolex to build a collaboration based on the values of luxury and high performance that F1 represents.
Why will Rolex be replaced by LVMH?
Rolex's exit from Formula 1 comes at a time of major expansion in the competition's audience and markets, with viewership reaching 1,5 billion in 2023. F1's growing popularity, amplified by the Netflix series “Drive to Survive”, attracted the interest of new sponsors eager to exploit this visibility.
Rolex's decision not to renew its partnership may be due to the superior financial resources of LVMH, which was able to present an offer that was difficult to match. However, Rolex will continue to be a prominent name in the world of sports, sponsoring high-profile events such as Wimbledon and other sports. According to what was reported by various sources, LVMH, the French giant led by Bernard Arnault, has presented an offer of 150 million dollars a year to become the new official partner of Formula 1, thus tripling the amount paid by Rolex. The LVMH group, which achieved a turnover of 2023 billion euros in 86,2, has the financial resources to invest heavily in Formula 1. This agreement, which is expected to come into force in 2025, will likely see one of LVMH, like Hublot or TAG Heuer, take on the role of official timekeeper of the F1 Grands Prix.
TAG Heuer, from the partnership with Red Bull to F1?
Among the various brands controlled by Arnault there are Hublot, and TAG Heuer, the latter already present in Formula 1 since 2016. The brand is the official timekeeper and performance partner of Red Bull. Unlike what Rolex does, which does not represent any team or driver on the track, but rather the entire category. Although it is said that the second option, that of TAG Heuer, is more difficult, we must also consider the fact that partnership with Red Bull will expire at the end of 2024. It therefore remains to be seen whether LVMH intends to extend it or focus all its efforts on global Formula 1 sponsorship.
