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Report: Formula 1 Agrees To Lucrative Media Rights Deal

F1 Grand Prix of Great Britain

NORTHAMPTON, ENGLAND - JULY 18: Max Verstappen of the Netherlands driving the (33) Red Bull Racing RB16B Honda leads Lewis Hamilton of Great Britain driving the (44) Mercedes AMG Petronas F1 Team Mercedes W12 during the F1 Grand Prix of Great Britain at Silverstone on July 18, 2021 in Northampton, England. (Photo by Dan Istitene - Formula 1/Formula 1 via Getty Images)

The rise of Formula One in the United States seems nigh unstoppable right now. And the latest media rights deal indicates that it's only going to get bigger and bigger in the years to come.

According to Adam Stern of the Sports Business Journal, Formula One has renewed its U.S. media rights deal with ESPN through 2025. Per the report, ESPN is agreeing to pay $75-90 million per year for those rights - an exponential raise from the current deal. 

The Worldwide Leader in Sports currently pays just $5 million for the broadcast rights in the United States. They've clearly gotten plenty of bang for their buck.

Last month ESPN released a ratings report on the first few races of the 2022 Formula One Championship season. Through the first five races, ESPN was averaging 1.4 million viewers per race - up from 949,000 viewers in 2021 and more than double the 609,000 average viewers just two years ago.

American sports fans were more widely introduced to Formula One through the Netflix hit series Drive To Survive. The docuseries has been one of Netflix's top shows over the past few years, and its reach has extended to all of the networks that air the races.

Formula One itself is starting to embrace their growing American fanbase. This year they added a second race in the United States to their annual calendar with the Miami Grand Prix, and plan to add a third in Las Vegas in the near future.

It may be years or even decades before Formula One is producing ratings on par with other event-based sports like golf and tennis. But networks are ready to embrace that possibility in a big way.

How big will Formula One become in the United States?