Audi and Porsche's F1 entry set to be confirmed

Audi and Porsche will soon announce their plans to enter F1 in 2026, according to reports. The two German brands are expected to receive the go-ahead from their parent organization Volkswagen (VW) within weeks.

As reported by Reuters, which quoted two VW insiders, the automotive giant will reportedly decide on the matter in an upcoming board meeting next week.

The two German brands showed interest in entering the sport by 2026, following the introduction of a budget cap last year, along with the announcement of a new formula for the next generation of Power Units. Late last year, both brands had indicated that they were satisfied with the FIA’s progress with the new power unit's technical regulations.

The new PU formula retains the existing Turbo V6 Internal Combustion Engine while increasing the emphasis on hybrid power. Current generation power units (PU) have two discrete components – MGU-K (kinetic energy recovery) and MGU-H (heat energy recovery). While the former is easy to deploy, cost-effective, and has applications outside of F1, the latter is expensive, complex, and has little usage outside of the sport.

The new formula gets rid of the MGU-H while increasing the focus on the MGU-K. The new PUs, therefore, are expected to surpass the existing Power Units in terms of sheer horsepower output.

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Audi reportedly offered McLaren half a billion dollars to acquire its F1 operation

Audi reportedly offered McLaren Racing more than $560 million to acquire its F1 operations, according to Reuters, which quoted a VW insider. The German brand is reportedly eyeing a full "works" entry in 2026, rather than being a mere PU supplier.

Earlier this year, McLaren CEO Zak Brown refuted rumors of the team being acquired by Audi. Brown felt Audi’s entry was not definitive and told RN365:

“I think that’s not been definitively decided, and if they do [enter], we have a contract [with Mercedes] through this term. Naturally we will evaluate where we are and who’s in the sport and take a decision on what to do in 2026 in due course.”

At the same time, Porsche will reportedly establish a “long-term partnership” with Red Bull to either supply its two F1 teams or work with its newly created Red Bull Powertrains. VW reportedly wants to retain Red Bull's brand image and will invest "three-digit" millions over the years.