Mercedes set to earn £15m windfall in timely boost after Lewis Hamilton departure

Mercedes would use Hamilton’s replacement which was 17-year-old Andrea Kimi Antonelli while they might be £15 million richer a year from one of the formula one rivals in a year.

Alpine are set to relinquish the use of their own
power units to become a customer team, with the news confirmed by Renault boss Luca de Meo following months of speculation.

When Renault was creating an engine for 2026, they tested positive in the initial trials, but De Meo thought that he could make an ‘emotional’ decision, to cease F1 engine manufacturing in Viry Chatillon, France.

Alpine are widely expected to switch to Mercedes from 2026 and pay the Silver Arrows directly, rather than spending money to produce their own power unit when the new regulations come into effect.

French outlet L’Equipe claim in an interview with De Meo that Alpine will pay upwards of £15m to use Mercedes’ engine, with the chief executive explaining that one of the reasons for the change was due to a larger staff working on the project under Toto Wolff’s guidance.

“They [Mercedes] have test benches that we don’t have. The transition to the hybrid era required powerful investments that were underestimated at the time. We operate, structurally, with three cylinders when others have eight,” said De Meo.

“When I arrived four years ago, the group wanted to stop F1. If it’s still there, it’s because I saved the thing. But we don’t have the structure to be at the forefront of battery chemistry development, software management, energy recovery.”

It was only last week when Renault announced that their engine production facility at Viry-Chatillon would be metamorphosed into an “engineering hub of excellence” by year end.

“In view of constructive and frankly discussed consultations with the representatives of the employee interests as well as an independent evaluation, the management of Alpine reaffirms its project turning the site into a Centre of Engineering and High Technolog(ies) by late in 2024,” a statement said

All activities of the Formula 1 at Viry except development of new engine will be carried out till 2025 season.

While Alpine still uses two factories, one in France and one in the UK, outsourcing their France-based engine-focused division to Mercedes will help them consolidate and really focus on their F1 operations elsewhere.

Mercedes in the meantime can also lock in a fee starting from £15m to aid in however many uses as Wolff aims to properly replace the seven-time champion with teenage rookie Antonelli and also ensure George Russell stays with the team despite advance interest from Red Bull.