Bloomberg Talks — Ford CEO Jim Farley & Oracle Red Bull Racing CEO: The Carmaker Industry

Date: January 15, 2026
Host: Bloomberg
Guests: Jim Farley (Ford CEO), Laurent Mekies (Oracle Red Bull Racing CEO)
Location: Michigan Central Station, Detroit

Episode Overview

This episode features an in-depth conversation between Ford CEO Jim Farley and Oracle Red Bull Racing CEO Laurent Mekies about the transformative partnership between Ford and Red Bull in building a new Formula 1 engine. The discussion explores the sweeping regulatory changes in F1, the rationale behind the Ford partnership, the technological and cultural transfer from motorsport to consumer vehicles, and the macroeconomic and political challenges facing the automotive industry today.

Key Discussion Points & Insights

1. The New F1 Era & Ford–Red Bull Technical Partnership

• Sweeping F1 Regulation Changes (00:07–01:27)

  • The 2026 Formula 1 season introduces some of the biggest regulation changes in the sport’s modern history.

  • Red Bull is embarking on the ambitious task of building its own Formula 1 engine “from absolutely zero,” making Ford their primary technical partner.

    "It's the biggest regulation change probably in the history of Formula One... that very same year we chose the, let me say, crazy challenge to, to go and build our own power unit." — Laurent Mekies [00:50]

• Why Ford?

  • Ford is recognized for its leading advanced manufacturing capabilities and high-performance technology, which fits Red Bull’s need for speed and precision.

    "We have managed to strike this strategic technical partnership with Ford in this crazy adventure of building from absolutely zero our own power unit." — Laurent Mekies [01:12]

2. Ford’s Rationale for Racing Investment

• Tech Transfer to Consumer Cars (01:27–03:37)

  • Ford’s participation in F1 is justified to shareholders by the direct technological and reputational benefits. Technologies developed in F1, such as advanced software control, battery systems, and predictive failure components, are critical for Ford’s next-generation vehicles.

    "Formula One is a complete digital sport and that's where we're going as a company... The tech transfer is very relevant for us." — Jim Farley [02:00]

• Building Brand Credibility

  • Racing (both on– and off-road) boosts Ford’s credibility and connects performance credentials with the product’s real-world capabilities, differentiating Ford from non-racing competitors.

    "Racing is a fundamental part of our company's business because to beat all the great off road brands and to establish ourselves... customers will say hey, that Ford has the real deal. It's not a poser product." — Jim Farley [03:22]

3. The Technical Challenges of Building a New Engine

• Ford’s Manufacturing Edge (03:56–04:39)

  • Ford provides critical components for Red Bull at a speed and quality unmatched elsewhere, affording Red Bull a competitive advantage in a “time to race” business.

    "...only they're able to manufacture these parts for us, but also they do it in less time than we would do otherwise." — Laurent Mekies [04:11]

• The Scale of the Challenge

  • Mekies is candid about the monumental challenge, admitting the first months will be full of "learnings," but expresses confidence in the combined Red Bull–Ford team spirit.

    "It will be foolish and naive to think that from the first day you are going to be at the same level than people that have been doing it for 90 years... it will give us a few sleepless nights." — Laurent Mekies [05:20]

4. How F1 Tech Drives Ford Value for Consumers

• Economic Pressures & Tech Value (05:50–08:22)

  • With rising consumer prices for cars and trucks, Farley explains that the partnership’s return comes in the unexpected overflow of advanced technology—especially hybrid and software systems—directly into consumer vehicles.

    "Every day, honestly the list of things that we can take from the effort with Laurent, his team, because the sport is so hard and the time pressure is so high, that list is getting longer every day." — Jim Farley [06:44]

  • Predictive failure software developed for F1 is being adapted to consumer vehicles, enhancing reliability and safety for Ford customers.

    "We can use that same know-how hopefully to help our customers in the Transit know that something's going to break way before it breaks." — Jim Farley [07:30]

5. Globalization, Geopolitics & Industry Challenges

• Logistics in a Changing Geopolitical Landscape (08:22–09:31)

  • Mekies downplays concerns over visa restrictions and border challenges for the F1 circuit, highlighting F1’s global infrastructure and strong logistics.

    "We have incredible logistic capabilities... it is a privilege as the sport, as a global sport, to be able to move around very freely." — Laurent Mekies [09:10]

• Tariffs, Trade, & US Domestic Policy (09:31–12:18)

  • Farley discusses Ford’s ongoing talks with the US government regarding tariffs and trade policy.

  • He welcomes recent EPA changes, mentions the critical USMCA renegotiations, and underscores the competition from China, especially regarding their state-subsidized EV exports.

    "The administration has been great to work with. They always answer the phone. But there is a long list of things we got to work through." — Jim Farley [10:00]

    "In the UK the Chinese are now quickly almost 10% of the marketplace in electric cars... If we're scared of a balloon, you can imagine a car with 10 cameras that can drive itself." — Jim Farley [11:18]

Notable Quotes & Memorable Moments

• "You want to partner with the best. And we are in a lucky position... this strategic technical partnership with Ford in this crazy adventure..." — Laurent Mekies [00:58]
• "Formula One is a complete digital sport and that's where we're going as a company, number one." — Jim Farley [02:06]
• "It would be foolish and naive to think that from the first day you're going to be at the same level as people who have been doing it for 90 years." — Laurent Mekies [05:24]
• "Most of the value that we're seeing on the tech transfer side are things that we didn't even have on the list when we started four years ago." — Jim Farley [06:56]
• "We have to get this revised, but it will be very important, I think, to continue to work with the administration on tariffs and how we handle China." — Jim Farley [10:54]
• "If we're scared of a balloon, you can imagine a car with 10 cameras that can drive itself." — Jim Farley [11:30]

Important Timestamps

• 00:07–01:27: F1’s regulation overhaul and Red Bull-Ford partnership origins
• 01:27–03:37: Ford's motivation for entering F1 and the business case for racing
• 03:56–05:50: Red Bull’s technical challenge & initial goals for the new engine
• 05:50–08:22: Ford’s tech transfer to consumer vehicles and hybrid focus
• 08:22–09:31: F1 logistics and global sport work-arounds amid geopolitical shifts
• 09:31–12:18: Tariffs, trade, China competition, and US policy—industry-wide implications

Conclusion

This episode illuminates the profound changes at the intersection of racing, technology, and the global automotive business. The Ford–Red Bull F1 partnership is not just about winning on the track but about driving innovation, enhancing consumer value, and navigating the geopolitical complexities of the modern car industry. Both Farley and Mekies articulate a vision that combines racing heritage with future-facing digital and hybrid technologies, while also remaining alert to the pressures of global markets and regulatory change.