The European Commission has opened an investigation into Liberty Media’s €3.5 billion acquisition of Dorna Sports, the parent company of the MotoGP World Championship, citing concerns over the potential impact on competition in the motorsports broadcasting market. Liberty Media, which already owns the commercial rights to Formula One, is seeking to expand its dominance by acquiring MotoGP, raising fears of higher prices for broadcasting rights in both sports.
Concerns Over Competition in Broadcasting Rights
Liberty’s acquisition of Dorna Sports would combine the commercial rights for two of the most popular motorsports in Europe—Formula One and MotoGP. The European Commission is concerned that this merger could harm competition by reducing the number of companies able to license broadcasting rights for motorsports. Specifically, the Commission worries that Liberty Media’s combined control over both sports could result in increased license fees for European broadcasters, ultimately leading to higher costs for fans.
The Deal and Its Impact
Liberty Media announced its intention to acquire Dorna Sports in April 2024, valuing the deal at €4.2 billion. The acquisition would give Liberty Media significant influence in both the Formula One and MotoGP sectors. The Commission’s investigation, launched in November 2024, will assess whether the merger could restrict competition in the market for the licensing of sports broadcasting rights across Europe.
Liberty Media’s Response
Liberty Media has expressed confidence that the deal will benefit both sports, with CEO Greg Maffei stating that the company aims to expand MotoGP’s global audience. Maffei highlighted that the merger offers substantial growth potential, benefiting teams, commercial partners, and shareholders.
What Happens Next?
The European Commission now has 90 days to determine whether Liberty Media’s acquisition complies with EU competition laws. The outcome could have a significant impact on the future of broadcasting rights in motorsports and other sports content in Europe.