How MotoGP Makes Money (Revenue Model Explained)
In july 205 Liberty Media bought majority (84%) stake in MotoGP for reported $4.9 billion. Dorna Sports (MotoGP management company) retains 16% stake. It is very similar deal to Liberty's F1 acquisition back in 2017. This deal now give Liberty full control of MotoGP's commercial engine and we breakdown how MotoGP was making money before and how Liberty Media's purchase will affect it moving forward.
The Dorna Business Model (Pre-Takeover)
- Dorna was operating on strictly centralized revenue engine, where they retained majority of the commercial revenue from the sport.
- Dorna sold MotoGP rights worldwide and it resulted in around 45% of total yearly revenue for MotoGP.
- Circuits pay race fee in agreed fixed amount which is different across the world. usually between $5 to $7 million per circuit every year.
- MotoGP do not have F1' style distribution model and teams relied on limited subsidies ($2 to $5m per independent team).
- Ticket sales and hospitality revenue went to race promoters, not Dorna.
Below table shows Dorna's current motoGP yearly revenue from different sources.
| Revenue Source | Annual Value (2024) | Description |
|---|---|---|
| Broadcast & Media Rights | $245 million | TV & Streaming rights sold globally contributes to 45% of the yearly revenue. |
| Race Fees | $175 million | Fixed race fee contracts per circuit ranging between $6 to $10 million per-year. |
| Sponsorship & Licensing | $115 million+ | MotoGP central sponsorship and licensing fee. Branded merchandise proceeds |
| Digital & Hospitality | $23 million | Digial content and VIP Village revenue per year. |
| TOTAL Revenue (Per-year) | $558 million |
Is there any centralized Prize Money Fund in MotoGP ?
Even with massive $558 million revenue generated in 2024,There is no centralised prize money/performance based payouts to teams. Instead a total of around $80 million is used to make subsidies payments to independent teams in MotoGP, Moto2 and Moto3.
How Liberty Media will affect revenue & distribution moving forward?
Liberty is likely to integrate MotoGP under the F1 Group portfolio, potentially bundling TV & streaming rights alongside F1.
They will focus on creating content to grow US fan-base by netflix style content as they have already announced new dedicated MotoGP streaming platform starting from 2026 season.
Liberty Media might move towards formalizing an performance-based revenue share model similar to what is used in Formula 1 however it might take a few years before Liberty can get things going their way.
Now Sports future is in the hands of Liberty Media, who have proven with F1 that they can elevate commercial side of the sport considering how F1 has grown financially since take over in 2017.