2025 F1 Season Sees $1.5 Billion Partnership Begin With Luxury Brand

In 2025, Formula 1 is set to begin a new chapter with a substantial $1.5 billion partnership with TAG Heuer, a luxury watch brand under the LVMH Group, taking over as the official timekeeper.

This change sees the end of a decade-long partnership with Rolex, first established in 2013, and brings TAG Heuer back into the fold after its previous stint as the timekeeper from 1992 to 2003. As Formula 1 celebrates its 75th anniversary, this partnership will celebrate this huge landmark.

Historically, TAG Heuer’s connection to racing is deeply rooted, dating back to the 1960s and 1970s. Known for its innovative timepieces like the Micrograph and Microtimer, and of course, Monaco, the brand was a favorite among racers, contributing to its longstanding legacy in motorsports. Now, with a ten-year contract worth $150 million annually, TAG Heuer’s comeback is a massive moment for the sport.

LVMH’s expanded involvement in Formula 1 through TAG Heuer follows other changes. Moët & Chandon, another LVMH brand, is also set to make a comeback to F1 celebrations in 2025, replacing Ferrari Trento’s prosecco that took center stage in 2022.

Bernard Arnault, the Chairman, and CEO of LVMH, and key figures like Formula 1 CEO Stefano Domenicali, have highlighted the shared values between LVMH and Formula 1.

“At the crossroads of the LVMH Group’s values of creativity and excellence with Formula 1’s innovation and high performance, the partnership will bring together the best of these two worlds and provide unparalleled experiences combining thrilling sport and elegant art-de-vivre, wheel-to-wheel racing and time-tested craftmanship, for enthusiasts, fans and clients,” a statement from the brands says.

“From the birth of Formula 1, in 1950 through to the modern day, LVMH and its Maisons have been a part of the sport. With this new partnership both Formula 1 and LVMH are excited to write new chapters of this incredible story, with each Maison involved bringing its unique expertise, heritage, and energy to heighten the collaboration.”

President and CEO of Liberty Media, Greg Maffei, said the following:

“LVMH and Formula 1 are two global brands that consistently push the boundaries of creativity and innovation, values core to Liberty Media.

“We were thrilled to work with one of the LVMH Maisons during the Las Vegas Grand Prix last year, and to now expand our relationship with the Group as they become a Global Partner.

“The opportunity to scale our commercial arrangements is emblematic of the vision we have for Formula 1 as the business continues to grow its platform. We look forward to working with Bernard and Frédéric Arnault in the years to come.”

TAG Heuer’s new role will not affect its ongoing partnerships with Red Bull Racing and the Monaco Grand Prix.

Rolex’s departure from its timekeeping role marks the conclusion of a strong era in Formula 1 history. During its 12-year partnership, Rolex became synonymous with Formula 1 events worldwide through its sponsorship, branding, and timekeeping. Although it bows out of F1, Rolex continues to have a presence in other major events like Wimbledon.

This development comes at a time when Formula 1’s popularity is surging, partly attributed to the Netflix series ‘Drive to Survive’, which has introduced the sport to a broader and more diverse audience. This broader reach makes Formula 1 an attractive platform for luxury brands like LVMH, eager to connect with new generations of viewers.