The all or nothing of F1 in Las Vegas: "This can only work in a city like this"

«It is a risky move. Not only because it is a new financing model, but because of the long deadlines that they intend to face. I have heard many comparisons with the Super Bowl, but given the early morning hours I would rather say that they have tried to reissue the paraphernalia of boxing evenings.. This prediction, reported to this newspaper from one of the urban circuits of the World Cup, is enough to understand that Formula 1's bet on Las Vegas is quite similar to an all or nothing in the casino: “There is too much at stake to allow “The business doesn't work.”

These are not simply historical names, such as Bellagio, Caesar's Palace, Mirage, Flamingo or The Venetian. Nor the dazzle from the 1.2 million LED lights of The Sphere, the pharaonic structure that has illuminated its skyline for six weeks.. The countless attractions of Las Vegas pale before the move of the Great Circus, which has spent some 500 million dollars to organize, over the next 10 years, a grand prix in Sin City. Without trusting an independent promoter, as is usually the case, F1 has decided to become the promoter of the race. “The largest event in the world in 2023,” according to the hyperbolic definition of Steve Hill, CEO of the Las Vegas Convention and Visitors Authority. However, beyond the neon and the fanfare, there is also another reality.

«Many people with money parade around here and some are bragging about their VIP entry. But there are also clients, with fewer resources, who talk about how they can acquire other seats for a much lower price than the initial price,” Sophie reveals to EL MUNDO from the Hilton Hotel.. The mandatory discretion of her work forces the dealer to hide her identity under a false name. However, the cases it describes fit the change in trend.

$100,000 packages

And the forecasts of Liberty Media, which had promised a sold out, have not come to pass. Mainly due to the exorbitant prices, around $2,500 for a stand for three days.. If we talk about tickets with the luxury of hospitality, the expense amounts to $10,000.. To these expenses, of course, we must add the stays in the hotels, which also did not hesitate to hoard large batches of tickets to offer their clients a complete experience in exchange for 100,000 dollars.. According to the estimates of Renee Wilm, CEO of Las Vegas Grand Prix, 315,000 spectators will enjoy it live throughout the weekend. A more than respectable figure, although noticeably lower than the 480,000 people who attended the last British GP.

This mammoth effort, obviously, has been undertaken so that it brings benefits. The sooner the better. «It is a very profitable career for us. Once we get past some of the start-up costs…. Profits will increase even more,” stressed Greg Maffei, CEO of Liberty Media, during a meeting with Morgan Stanley analysts.. According to data from the consulting firm Applied Analysis, reproduced ad nauseam by Formula 1, the economic impact of the race will amount to 1.3 billion dollars, more than double that of the Super Bowl, scheduled for next February 11 at Allegiant Stadium. from Las Vegas.

To try to unravel the tangle of figures, this newspaper has contacted one of the leading companies in circuit design. “The Las Vegas business model is not that of a normal track, because there are many variables, income and agreements that cannot be quantified as direct profits,” begins its founder.. When explaining, in the simplest way possible, the efforts of F1, he resorts to a calculation.

“Two dollars per fan”

«With a potential audience of 500 million viewers and an expense of 280 million dollars to buy the land and build the paddock, we can conclude that they have invested two dollars for each fan. Not only that, since they will continue to have a permanent building and 15 hectares of property that will continue to increase in value,” he analyzes.. “I wouldn't be surprised if it worked in Las Vegas, although I can't say the same about other cities,” concludes the manager, with 22 years of experience in the sector.

Nico Hulkenberg, on Thursday, during his time at The Sphere. AFP

There are numerous examples that illustrate the difficulties in erecting and maintaining a Grand Prix.. From South Korea to India, to name a few recent. Without forgetting, of course, Valencia, where not even the efforts of Hermann Tilke, the great design guru, gave his project a soul.. Today, Madrid is working hard to show the virtues of its plans at IFEMA.

However, unlike the previous ones, Las Vegas has an unmatched magnetism and fits perfectly within the strategic plan of F1, determined to expand throughout the United States.. There, the overwhelming success of Drive to Survive, the Netflix series, coexists with the discreet audiences of the World Cup. Without going any further, in just one year, the television figures for the Miami GP have plummeted by 24%. So this weekend the glamor of David Beckham, Kylie Minogue and Shaquille O'Neal will not be enough. Not even with Daniel Ricciardo's jokes on the Jimmy Kimmel show. It will also take emotion in every corner.

With the title decided five weeks ago, Las Vegas presents itself as another opportunity for Max Verstappen to extend his thunderous record (17 wins out of 20). Although not even he himself seems very into the work. “Standing there I felt like a clown,” he admitted on Wednesday after disobeying F1 orders, skipping a VIP event.. “This weekend is 99% spectacle and 1% sporting event,” he stated.

His lack of enthusiasm for the circuit does not seem, in any case, proportionate. Because Carsten Tilke's design, similar to that of many IndyCar layouts, has had to adjust to the limitations imposed by the streets. And the final result, with a 1.8 km straight where speeds similar to Monza or Spa will be recorded, is on paper as attractive as Baku or Jeddah, the two most refreshing additions of the last decade.. On the contrary, there is some concern around the very delicate exit from the pit-lane and the escape from Turn 1.

Verstappen, during Thursday's free session. AFP

«We know that it is something that Pirelli has exhaustively supervised. But I wouldn't worry about restarting with cold tires, because at that point the tire warmers are still effective.. The real problem will be the handling of the tires during the race,” well-informed sources explain to this newspaper.. Of course, the low temperatures expected for early Sunday morning, in a range between 8ºC and 13ºC, are presented as a challenge for engineers, although they should not in themselves compromise the spectacle.. Fans will still remember the exciting 2020 Turkish GP, on asphalt that was 14ºC and slippery like an ice rink.

Finally, a mention of the gigantic logistical puzzle that Stefano Domenicali, CEO of F1, will have to solve with the local authorities. Because the avenues of the Strip, usually packed with taxis, buses and rental cars, will begin to be closed to traffic from five in the afternoon. «They have blocked our parking lot and we have to park at the Convention Center. Something like half an hour walking,” explains Sophie about the chaos that is coming.. “There are colleagues who still don't know if they will be able to come to work,” he concludes.