The Dark Underworld of F1 Sponsorships

– [Nalonj Syke] Like everyone else Was I looking forward to the Formula 1 season of 2020, but since that was postponed for whatever reason, I started watching old races and came to a realization. Many of the companies sponsoring these cars do not exist any more. shady money is part of the Formula 1 DNA for a long time and with 490 million viewers there is no doubt why shady companies want their name on the side of a race car. What are these companies doing? Do they exist? Where do they get their money from? In this episode, we're going to take a look at some of the vaguest literally incomprehensible companies Who have their share of Formula 1 Racing, and don't worry, There is a Nigerian prince among them. It's going to be a bumpy ride. Hey guys, one more thing. We have a new sticker pack available for pre-order it's the MOPOWA BABEH sticker pack available at donut.media It is available as a pre-order. 5 Stickers and MOPOWA BABEH in sticker form I'll show you here. These are the stickers, you have MOPOWA BABEH on board. That's my favorite. You know, a white one, a black one This one is pretty cool.

And this one looks more like the Moroso font. which I think is fat. MO POWA sticker package is $12 for 5 stickers. VERY NICE! More fun than you could ever have imagined. the MO POWA sticker pack in the donut store. Go check it out Racing is insanely expensive. Formula 1 teams need hundreds or thousands of millions of dollars to join every season The amount of funding what a team can bring in is connected by how much a team can win. That's how F1 works. This is actually how most sports work. more money, better engines, better drivers, Papa John's Jeff Baseball. Governing body of F1. the FIA ​​or "Federation Internationale d'Automotive". regulates the technology in cars very strictly. to keep the playing field as level as possible on the race track. but historically they haven't done that much to balance out the money interest. Like that the smaller teams in America don't get as big a budget as the big teams in America. Like the Yankees compared to the Orioles or the Lakers compared to the Kings. Formula 1 will have a budget ceiling for the first time starting in 2021.

But historically there has always been a big hole in budgets between the highest earning teams and the lowest. As an example, Mercedes PETRONAS spent the most in 2019 with $484 million dollars. Which is almost 3 times as much what team Williams issued in the same time frame. This was less than their budget from last year of $150 million because Williams lost their title sponsor, Martini and Rossi, a company that makes vermouth. a sweet liqueur made from wine. Small side note: Their products are actually quite cheap. I thought a company sponsored an F1 team would actually have some more luxurious products. But it's $8.50 a bottle. Maarja, Williams still has to compete with Mercedes Despite the fact that they have to work at $350 million less than Mercedes. So it makes sense that when a sponsor stops, it can be difficult for a team or even damn. That is why it sometimes happens that F1 Teams end up with a less reputable sponsor. An example that F1 fans will remember is last year's Rich Energy fiasco.

the only F1 team with an American owner at the moment is Haas and they have fallen victim to the most shady sponsor deal of 2019. Rich Energy, a slick new energy drink with antlers as a logo became the title sponsor of Team Haas. It turned out that another F1 team Force India kicked out Team Rich Energy because they gave little meaning.

Before they teamed up with Canadian Millionaire Lawrence Stroll's money. Williams was about to sign a deal with Rich Energy but she didn't show up. Suspected that RIch Energy's CEO William Storey and porter for Imagine Dragons, had made the deal with Williams but never came to the appointment. After a few days the news comes out that he has signed with Haas and that should have set an alarm bell with Haas but there is actually a 3rd alarm bell the fact that there was no product. At some point in the 2019 season, folks on F1 forums and Reddit realized they had never seen a canje from Rich Energy in real life.

When questioned about the legitimacy of his company Storey Confuses Everyone When He Tells Motorsport.com that when people say that Rich Energy does not exist. that that is the same as quoted: "Humans have never walked on the moon" or that "Elvis is still alive". Man, there are easier ways to tell people that you have a product and that your company is real OK, they are just there. Then someone found out financial documents documenten from the company which showed that their bank account £581 British Pounds or a total of $770 Dollars. Perhaps the weirdest part of this story happens 10 July 2019 When Storey goes wild and puts the following Twitter post online "Today, Rich Energy terminates our contract with Haas F1…" "…for poor performance". I suppose you can't be fired if you resign. This was new not only to Haas but to everyone at Rich Energy.

They tried to kick Storey out of the company and called his actions the result of quote: "Rogue individual", it was quite a thing. Rich Energy never kept their part of the deal Probably because they had $700 in their bank and hare is screwed, namely because they had to end the season with one sponsor less. Rich Energy has been sued over their antler logo When they were forced to pay $30,000 on Whyte bikes which they never paid. William Storey was eventually kicked out of the company and have rebranded brand to Lightning Volt. But this was not the first energy drink debacle In the Forume 1. In the 1999 season a mysterious Nigerian prince and a fake energy drink led to the bankruptcy of an F1 Team.

You can't make this up. The 53rd season of Formula 1 started in 1999. Mika Hakkinen was defending his world title with the McLaren team, Michael Schumacher was recovering from a broken leg and team Arrows was sorting out their finances. Now to Prince Malik Ado Ibrahim. Prince Malik had made Arrows an offer of $125 million to sponsor a team that was hungry for money like arrows. $125 million could turn their luck completely around. So team manager Tom Walkinshaw agreed to bankroll the prince for the 99th season. The car was shared with Repsol So the car was half Repsol orange and the back half painted black with the T-Minus logo, quite a unique look I have to give that to him.

Prince Malik could always be found in the paddock with cameras around him He took all the attention on him and didn't miss a chance to promote its T-Minus brand. what is T-Minus you ask? Well, it was supposed to represent an energy drink. it was supposed to represent an engine brand. it had to represent a lot. but it never worked out. the plan was for the company to debut in Formula 1 and then renamed products such as energy drinks sell motorcycles and bicycles under the T-Minus name. She even wanted to rename Lamborghinis to the T-Minus logo Hey, have you seen my T-Minus Lamborghini? No.

(Laughter) No. T-Minus was actually the third energy drink which Arrow sponsored in four years. the others were Hype energy drink and Power Horse of which we do not own the copy rights. Although T-Minus has produced some energy drinks they didn't make a profit and by the end of the 99th season Prince Malik was nowhere to be seen. When he was summoned to buy the rest of his shares no one could reach him and its shares were eventually bought by the investment company Morgan Grunfeld, who have charged Arrow. the Arrows team has fallen victim of a Nigerian prince scam in real life and unfortunately, the loss of funding led to the end of the team in 2002.

But what happened to Prince Malik? Well, he reappeared a few years later to sponsor a NASCAR driver, but more on that later. Hey if you like this video so far make sure you click the "subscribe" button and that you click the bell so you never miss a video when they come online which is every day of the week, crazy. one of the T-Minus logos, this mirrored one reminded me of a more recent mirrored logo, the Mission Winnow on Ferrari's current cars. I think it looks very greasy. But what is Mission Winnow? Waving (Winnowing) is the process by which the straw is removed of the grain during the milling process. Mission Winnow has nothing to do with grain mills. when you go to their website there is not much information, in any case no useful information.

It's full of vague business terms and it feels like a parody of a corporation. Just listen to this quote: "Innovating and investing in an open dialogue" "Bringing people and companies together" "Creating a mutually beneficial ecosystem". Their twitter sounds like it was a robot programmed to use as many business words as possible to cram in a sentence.

After more research I found that Mission Winnow is actually an empty company for Philip Morris International or PMI. You know. the people who own Marlboro… Cigarettes Philip Morris has been part of Formula 1 for decades So why is it Mission Winnow and not Marlboro? In 2006, the FIA ​​banned tobacco sponsors from Formula 1 but since Mission Winnow is a new initiative which has no tobacco products or rather, no products they are allowed to sponsor a car despite the fact that they are owned by a tobacco company. Technically, the CSR Corporate Social Responsibility in Jip and Janneke language Mission Window includes activities which are intended to improve public opinion of a company by portraying it as a responsible member of society. In fact, it's reputation building. this was not the first time that Philip Morris SSX got tricky. F1 fans may still remember the barcode logo on the Ferrari car from a decade ago. That was Marlboro's attempt to be subversive but groups such as the Advertising Code Commission caught on quickly. It didn't seem to stand still than vertical lines, but at high speed the barcode looked like the Marlboro Chevron.

the Mission Winnow logo is really just a Marlboro Chevron but on its side. Same dimensions, same shapes, everything. It was a way for Marlboro to stay in Formula 1 without actually being a part of it. guys, it's a mesh, a loophole where the World Health Organization (WHO) going to have a good look at it soon. Last year at the Australian Grand Prix Ferrari was forced to remove the Mission Winnow logo of the flattery because of the strict Australian tobacco advertising law. And it wasn't just Australia Scuderia Ferrari was also forced to remove the MIssion Winnow commercials for 11 of the 21 races in 2019. It seems that their advertising strategies have gone awry. (badum tush) This could be a sign of what's to come. Ferrari is not the only team with a tobacco sponsor. McLaren is sponsored by A Better Tomorrow Better which is owned by British American Tobacco. McLaren also had to remove its ad before the start of the Australian Grand Prix. It's messy, but also brilliant what Philip Morris is doing with Mission Winnow. That's Guerilla advertising. It makes people talk.

I mean. how, I'm making a video about it now They won, clearly. Philip Morris place his big intriguing logo on their car which has nothing to do with cigarettes, People figure it out, they stand up for it and Philip Morris gets free advertising. because people are inherently curious. I mean, again. I'm talking about it now It's like when Radiohead released "In Rainbows" and years later when someone finds out it fits with "OK Computer" and that everything was based on zeros and ones.

it's just like that. At the 2018 Australian Grand Prix, Viewers were confused by the Eyetime banners and advertisements. Eyetime was the title sponsor of the event but no one had ever heard of this company. During this conference, CEO Maglena Krumova describes the everything in an eyetime app as world change, social and up to date. because that's what sells me an app, if it's up to date but what is eye time then? Well it's a messaging app just like whatsapp but actually it was more like an MLM or Multi-Level Marketing scheme also known as a pyramid scheme, and they are apparently still active but what they actually do remains a mystery. Krumova actually started even more pyramid schemes under the names Lyoness and My World Which have also sponsored F1 for a while and Lyoness was even banned to do business in Norway.

If you can't do business in Norway, then I don't want to buy your product. Norway that I'm going to buy your stuff. (badum tush) If there is only 1 type of person that will attract Formula 1 then it is an old man with a lot of money. That's probably why one of the sponsors of the 2018 Singapore Grand Prix Sugarbook was a dating app that matched younger sugarbabes with older rich men.

Even though she never sponsored a car Sugarbook was a co-sponsor of a party at a bar hosted by Williams title sponsor Martini. That would be a dirty party if it hadn't been cancelled. Probably because it had become an advocates nightmare nachtmerrie for Martini and probably also for Williams. Look, I'm just a dumbass but now is a good time to raise ethics in F1. For a Billion Dollar Multinational Corporation will Formula 1 get away with much less than perfect behavior. It exists in this weird dichotomy, okay? on the one hand, it is a world class sport second in popularity next to football but on the other hand you have very filthy sponsorship deals and murderous behavior and sometimes a disregard for human rights and unfortunately it has been so for a long, long time. This can be a bit heavy and a bit controversial but when the governing body a sport is sometimes morally bankrupt a shady sponge doesn't seem to be the end of the world and that's probably why Formula 1 attracts so many of them. Every time you have a multi-billion dollar organization something must be wrong if you dig deep enough.

So what happened to Prince Malik after ghosting the Arrows team in 1999. Well, he reappeared in America in 2005 this time to NASCHAR Busch driver Robert Richardson Jr. to sponsor. Prince Malik Reportedly Stole $750,000 From Richardson's Father and despite that he was acquitted for this he was captured in Texas for perjury. These days he is back in Nigeria and nowhere to be seen in the racing scene. Keep hunting man. (laughter) no no.. don't do it, don't steal money.

Look I love Formula 1 I'm still going to follow If it comes back this season, and hopefully it will. I just think that when there's so much money going around in 1 thing and it has the attention of the world then eventually there will be shady sponsors. Hopefully I'm not on a Formula 1 blacklist. Hopefully I can be invited to something soon. Follow Donut on Instagram and Twitter @DonutMedia and follow me @nolanjsykes. Subscribe to Donut Media, we post a new video every day what is really crazy Watch these videos about Formula 1 or Up or Speed You can now watch Up To Speed ​​- Formula 1 Be nice, don't steal money. Until next time. (music) .

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