Is KTM on the Brink of Withdrawal from MotoGP?

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JPSLotus said:
Well KTM whacked 6 executives and kept 2. Not a good sign in my opinion. Their share price is tanking.

We all know once financial difficulties arise, the racing programs are the first to get axed.

I could see Red Bull stepping in and taking over. Well at least I could have seen this when Dietrich Mateschitz was still alive. Not so sure with his son as I don't really know much about him, and whether he shares the same passion for motorsports the way his father did. Then you have the Thai side of Red Bull, and who knows what their thinking is since decisions have to be made with both parties in agreement. Which was what saved Christian Horner from getting sacked; the Thai's wanted him around in that power struggle between he and One-Eyed Jack.

But Red Bull Racing is a different entity these days. Losing Adrian Newey in my opinion was the kiss of death for the Formula One project. Not that there aren't talented people at RBR currently, but they've lost a number of key pieces this season excluding Newey, and I am not convinced at all that without Newey they can remain at the top. Max is unbelievably quick, but McLaren and Ferrari seem to have overhauled them now. And were it not for Max, they'd be a midfield team at best imo since looking at Sergio Perez, there's not much in the way of results to be had. The junior team is still mired in the midfield, though Liam Lawson might be their answer for a number 2 driver. But I don't see any driver's championship for Red Bull next season at the rate Ferrari and McLaren are improving down the home stretch of this season.
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You are way optimistic saying RBR a midfield team. W/O Max they will be just be in the last 2-3 spots aiming to fight with Sauber :p
 
Certainly in the Toronto area where I live the struggles of KTM have been evident for a few years already.

My prediction is that KTM will emerge in a few years either as a shell of it's former self, or be broken up and sold off to someone else. Trying to build bikes to compete against the Asians on a cost basis is pretty much futile now, no wonder many smaller bikes of most brands are built in Asia (including many KTM bikes).

Given the perils that KTM faces I would be reluctant to buy any of their bikes now until the dust settles.
 
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JPSLotus said:
KTM is ...... atm.

Kind of impressed they haven't sold off the GP operation yet.

They should unload before they have no choice and it's selling for pennies on the dollar.
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Perhaps BMW or Suzuki could take advantage of the situation if it comes to that !
 
There is value at KTM and the company has assets. KTM like the rest of the industry saw a bump in sales during and shortly following covid, but they also had a supply problem. So they invested heavily in their supply infrastructure, shifting a lot of their manufacturing to Asia. The problem was that the industry as a whole has slowed down, and they are not going to be able to see a return on those investments as fast as they promised investors.
 
I read somewhere that for 2024 KTM upgraded the engine but kept the 2023 frame. Perhaps that was cost cutting?
 
They have passion for racing clearly. The motoGP operation will be costing them millions of $.
It doesn't appear to make financial sense to keep it going. I hope they do. The price is getting to steep it seems to me.
 

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