Mercedes-AMG PETRONAS F1 Team Partners with SAP to Accelerate Digital Transformation Ahead of 2026 FIA Regulations
SAP SE (NYSE: SAP) has announced a strategic collaboration with the Mercedes-AMG PETRONAS Formula One Team, integrating SAP’s cloud-based intelligent enterprise solutions to enhance operational efficiency, financial compliance, and performance as Formula One prepares for sweeping changes under the 2026 FIA Financial Regulations.
The upcoming cost cap increase to $215 million—reflecting new technical rules and expanded expense categories—poses fresh challenges for Formula One teams. To address this, Mercedes-AMG PETRONAS F1 is deploying SAP Cloud ERP Private Edition as its digital backbone. The system will provide real-time financial insights, predictive analytics, and streamlined operations across the organization, enabling smarter decision-making under tighter financial constraints.
One critical application is inventory management: each F1 car contains more than 14,500 individual components, all of which must be tracked and valued in real time. SAP’s solution automates this process, minimizing manual reporting and ensuring full compliance with FIA regulations. Its cloud-based architecture also guarantees availability and resilience during race weekends, when operational demands are at their peak.
“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 is leveraging SAP Business AI to forecast budget needs, optimize supply chains, manage inventory, and advance sustainability goals. Intelligent data models are being applied to reduce carbon footprint and improve efficiency, while SAP Business Technology Platform and SAP Build are supporting the development of custom applications to digitize workflows and strengthen collaboration.
“The Mercedes-AMG PETRONAS F1 Team is setting the benchmark for digital transformation and AI-driven innovation in motorsport,” said Sebastian Steinhaeuser, Member of the Executive Board and Chief Operating Officer at SAP SE. “Together, we’re proving that operational excellence and innovation can go hand in hand – even at 300 km/h.”
The partnership underscores how advanced digital technologies are becoming central not only to on-track performance but also to regulatory compliance, sustainability, and the long-term competitiveness of Formula One teams.