Restructuring details shed light on planned MotoGP exit, as well as other choices we could see soon.
Are you good in a crisis?
If you are, then you already know at least two things. One is that there are near-term plans and there are long-term plans. And you have to successfully prioritize both types of things if you're going to make it through the problem. The second thing is, of course, that you have to delay any freakouts until a more convenient time, while you at least get through the things you have to do rightnowrightnowrightnow.
KTM, the beleaguered Austrian motorcycle OEM, is undeniably working its way through a crisis at the end of 2024. From rumors of possible insolvency that it initially denied, to a self-administered restructuring process it's undergoing that's the first of its kind in Austria, to selling shares of its most recent acquisition in MV Agusta, it's been a wild past few weeks.
But what about MotoGP? It might not be as expensive for teams to engage in as, say, Formula One, but that's a little like saying a Bugatti Chiron is cheap compared to a Lamborghini Aventador.
We've noted multiple times where someone high up at KTM has vigorously denied that bad things are happening, only for news to break a short time later that actually, those bad things are really happening. That's why it's been hard to put a lot of faith in the assurances of KTM MotoGP boss Pit Beirer and others about how it's absolutely committed to MotoGP.
Now, it seems there's something concrete to back up that distrust.
Longer-term plans to get KTM back in shape include the KTM Factory officially leaving the MotoGP paddock in 2026. This timing would be for multiple reasons, including fear of a further significant PR disaster if it were to terminate its MotoGP rider contracts early. This exit will likely include MotoGP, as well as Moto2 and Moto3. And it would save the firm around 46 million Euros.
RideApart reached out to AKV, which is handling KTM's debt administration, for comment.
AKV told RideApart, in no uncertain terms, that "in this regard, it is planned not to extend the contract with MotoGP, which runs until 2026. An early withdrawal from the racing series is not currently planned."
AKV went on to say that "The reason for this is the reduction in costs for KTM AG and its subsidiaries."
Honestly, given what
KTM just did with pulling out of the Hard Enduro World Championship completely, the MotoGP move is the next logical one it can make—no matter how much Pit Beirer may protest otherwise. The key thing here appears to have been f
iguring out the timing, and managing things on terms that are as favorable to KTM as they can possibly be.
What this will mean for MotoGP, Moto2, and Moto3 is another matter. In the past couple of seasons, it's seemingly been an arms race between Ducati and KTM, and then there's Aprilia and everyone else. Additionally,
it's not clear what this could mean for the Red Bull Rookies Cup, and the current and future generations of motorcycle racers that are and would potentially be coming up through its ranks.
The one thing we can say for certain right now is that whatever happens, the impact of what KTM is going through will likely be felt throughout both the motorcycle and motorsports worlds for a significant amount of time to come. If you're a racing fan and you're feeling a little sick to your stomach reading this, please believe me when I tell you that you're not alone.
I am, too.
Originally Posted by OreoGaborio
So... as much as I like seeing new champions getting crowned, there is undeniably something special about Marc.
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