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ABP Live F1 Pit Stop | The term "underdog" typically describes team fighting for survival with limited resources or just a new entrant who still hasn't figured it all out yet. However, as the Cadillac Formula 1 Team prepares for its 2026 debut, the numbers suggest an economically heavy investment rather than just a tentative start. Backed by financial might of General Motors (GM) and TWG Global, Cadillac has overcome the typical backmarker phase, deploying a strategy with massive capital and might be designed to shake the existing order from its very first race in Melbourne.

$450 Million Entry Ticket

The barrier to entry for the 11th spot on the grid was historically high, and Cadillac’s "buy-in" metrics represent a new era for economics of F1. Cadillac paid a hefty $450 million anti-dilution fee to join grid in 2026, a sum that was split equally, $45 million each, among the 10 incumbent teams to compensate for the upcoming 11-way prize money divide.

Beyond this entry fee, GM and its partners have committed an initial investment of $1 billion to fund the project through its formative years, ensuring the team operates at the budget cap limit from day one.

The Workforce and Global Infrastructure

Cadillac’s recruitment drive has been one of the most aggressive in modern motorsport history. By February 2026, the team had successfully onboarded over 520 full-time employees, a selection made from an incredible pool of more than 143,000 job applications.

This workforce is distributed across a three different facilities that includes a 400,000-square-foot manufacturing headquarters in Fishers, Indiana, a dedicated Silverstone race base in the UK, and a specialized 204,000-square-foot power unit facility in Concord, North Carolina.

Cadillac also have a wind tunnel at its disposal! To ensure aerodynamic competitiveness, the team has also secured a long-term lease of the world-class Toyota wind tunnel in Cologne, Germany.

Strategic Alliances and 2029 "Works" Milestone

Cadillac adopted a two-phase technical roadmap to ensure they are competitive while maintaining independence in the long run. For the 2026 through 2028 seasons, the team will function using Ferrari power units and gearboxes.

This provides Cadillac with a proven, race-winning engine while they develop their own.

The ultimate goal remains the 2029 season, for which GM Performance Power Units LLC has already received official FIA approval to become a registered Power Unit Manufacturer.

This transition will officially get Cadillac to full "Works" status, placing them in the same elite tier as Mercedes, Ferrari, and Audi.

Veteran Leadership and the Herta Development Plan

Cadillac prioritized stability in their cockpit with the signing of Sergio Perez and Valtteri Bottas. Both are experienced race winners. This pairing brings an experiential data bank of 527 combined Grand Prix starts and 16 race wins to Cadillac.

While the veteran duo leads charge, Cadillac planned a unique development map for American star Colton Herta.

Herta has been placed with Hitech TGR in Formula 2 for the 2026 season, a move designed to help him secure the remaining Super License points required for a potential promotion to a race seat in 2027.

Verdict and Expectations

Cadillac arrives as a heavyweight rather than a traditional startup, trading the "underdog" tag for the stability of a billion-dollar war chest.

By securing Ferrari-powered reliability and the combined experience of 527 Grand Prix starts, they have strategically minimised the risks typically associated with new entrants.

So, expect what the racing spirit demands: speed and reliability. The new entrants are new to F1, but they are not new to manufacturing racing-worthy machines. 

While the climb to the top remains steep, their extensive infrastructure and clear roadmap toward becoming a full 2029 GM Works team suggest they are positioning themselves to be a serious, long-term competitive force.