Mercedes-AMG Petronas Formula One Team is partnering with software firm SAP to overhaul its financial and operational systems ahead of sweeping regulatory changes coming to the sport in 2026.
Under the new FIA Financial Regulations, the cost cap will rise to $215mn to reflect updated technical rules and newly included expense categories.
Teams face stricter reporting requirements and greater scrutiny over how money is spent.
Mercedes will implement SAP Cloud ERP Private as its digital backbone, giving the team real-time financial visibility, predictive analytics and streamlined processes across its operations.
The system will be used to track and value more than 14,500 car components, reducing manual reporting to the FIA and ensuring accurate part valuations during race weekends.
“SAP’s technology gives us the agility and transparency we need to compete at the highest level while staying within the financial guardrails of the sport,” said Michael Taylor, Director of IT at Mercedes-AMG Petronas F1. “With SAP, we’re not just racing faster – we’re racing smarter.”
Beyond financial controls, the team will apply SAP Business AI to forecast budgets, optimise supply chains and manage inventory with greater precision.
SAP’s tools will also underpin sustainability initiatives, with intelligent data models helping reduce the team’s carbon footprint and improve efficiency.
Mercedes is additionally using SAP Business Technology Platform and SAP Build to create custom applications that digitise workflows and enhance collaboration between departments.
Sebastian Steinhaeuser, SAP chief operating officer, said: “The Mercedes-AMG Petronas F1 Team is setting the standard for digital transformation and AI-driven progress in motorsport. Together, we’re proving that operational excellence and innovation can go hand in hand – even at 300 km/h.”
