(Motorsport-Total.com) – Connections with Saudi Arabia in Formula 1 have grown steadily in recent years. In 2020, oil producer Saudi Aramco, currently the second largest company in the world, entered the premier class as a major sponsor.
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Saudi Aramco is both the title sponsor of Formula 1 and the Aston Martin team
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But it shouldn’t stop there: from 2021 there is also a Saudi Arabian Grand Prix, probably the most profitable Formula 1 venue of all time, at least from a financial point of view. No wonder there is also talk of a second run in the Gulf State.
Saudi Arabia is also heavily involved with Aston Martin, both with the Formula 1 team and the sports car manufacturer. While Aramco is a major sponsor of the Formula 1 stable, Saudi Arabia’s sovereign wealth fund has also made a large investment in sports car maker Aston Martin Lagonda, of which Lawrence Stroll is known to be the CEO.
No wonder Formula 1 can make a lot of money out of Saudi Arabia considering Saudi Aramco is behind tech giant Apple it is the second largest company in the world. Size determines the market capitalization, which is calculated by multiplying the number of all shares in a company by the share price.
Aramco breaks the dominance of the United States: the 10 largest companies in the world
1. Apple (US) – $2.066 trillion
2. Saudi Aramco (Saudi Arabia) – $1.887 trillion
3. Microsoft (USA) – $1.787 trillion
4. Alphabet (US) – $1.145 trillion
5. Amazon (US) – $856 billion
6. Berkshire Hathaway (USA) – $681 billion
7. United Health (USA) – $495 billion
8. Johnson & Johnson (USA) – $461 billion
9. Exxon Mobil (USA) – $454 billion
10. Visa (USA) – $439 billion
Saudi Arabia’s money undoubtedly contributes to Formula 1 becoming more profitable than ever, but on the other hand, the criticisms of the country’s efforts are great when one looks at the human rights situation in Saudi Arabia.
Above all, the bomb attack on an Aramco plant during a Formula 1 session last year sparked new discussions about whether to drive in a country like Saudi Arabia.
Saudi Arabia is causing turmoil in other sports as well
But Saudi Arabia is not only leaving its mark in Formula 1, as Saudi Aramco is also a sponsor of other motorsport series such as the Dakar Rally, Formula E or Extreme E.
Despite the bombs on Aramco: the F1 race is on!
Sporting events take a back seat: in Jeddah there was a missile attack on an Aramco plant, which caused riots in the paddock. More Formula 1 videos
In other sports, Saudi Arabia is also booming. Particularly controversial is the new golf league “LIV Golf,” founded in 2022, which has used massive capital from the country’s sovereign wealth fund to nab some of the world’s best golfers who previously played on the PGA Tour or DP World Tour.
The main point of criticism is that players sometimes collect hundreds of millions of dollars, just by simply playing along. The performance is therefore only of limited importance, although for tournament victories there would also be a gigantic prize money.
With the move from superstar Cristiano Ronaldo to Al-Nassr and the takeover of English first division club Newcastle United by Saudi Arabia, football is now also feeling the effects of the financial power of the Gulf state. Ronaldo is said to earn around 200 million euros a year in Saudi Arabiawhich will be the highest salary in football history.
