KTM’s bankruptcy puts the Austrian manufacturer’s future in the MotoGP World Championship in jeopardy. As the company fights for its survival, questions are mounting about the future of its involvement in the premier class. Is MotoGP at risk of losing one of its major players?
KTM is going through a critical period after filing for bankruptcy, jeopardizing the future of the company and its ambitious projects, particularly in MotoGP. Although participation in the premier class seems secure for 2025, there is uncertainty over the duration of this commitment.
With a colossal debt of 2.9 trillion eurosIncluding 1,8 billion for KTM AG
The Austrian manufacturer alone is forced to restructure urgently. More than 3 600 employees fear for their jobs, and 500 positions additional ones are expected to be phased out by the end of the year. Production is slowing downmotorcycles remain unsold (approximately 100 units), and some of the staff are already in Partial unemploymentAustrian Minister of Labour and Economic Affairs Martin Kocher told ORF: ‘j‘expects clear answers from KTM on how a favourable earnings situation and good prospects could have led so quickly to restructuring procedures‘.
These drastic measures also affect investments in motorcycle sport. KTMwhich has long relied on its presence in competition to build its reputation, must now
review your priorities.
While KTM’s participation in 2025 is assured, long-term commitment to MotoGP remains uncertain
MotoGP represents an annual investment estimated at
70 milliona considerable sum for a company in difficulty. Despite everything, KTM confirmed that the bike for the 2025 season is ready and the first stages for the season have been organized. The freeze on engine development until 2026 provides temporary relief by limiting costs.
However, the longer term future is uncertain. New technical regulations planned for 2027 – including downsized engines to 850cc and major changes to aerodynamics – mean significant expenditure is required to design a new machine.
Pete Beirercompetition director at
KTMadmitted on
motorsport magazine that these projects are on hold as long as the company’s financial situation remains unclear.
« Until we know clearly what will happen next for usthese projects are currently suspended” , admits
Beirer.
In an effort to reduce costs, KTM ends its financial support in the categories
Moto3 et Moto2as well as
Red Bull Rookies Cupwhich trained the talents of tomorrow. Beirer announced a transition to a ”
customer activity covering costs “, which means that teams will have to self-finance their participation.
The contracts binding KTM MotoGP contracts expire at the end of the 2026 season. If KTM decides to withdraw, this would be possible without penalties. However, such a decision would be a blow to the premier class, where
KTM has become a competitive player in recent years.
KTM is at a decisive turning point in its history. The company’s survival will depend on its ability to restructure its activities while preserving strategic projects such as MotoGP. While participation in 2025 is assured, the long-term commitment remains uncertain, which could redefine the dynamics of the championship from 2027. For MotoGP, the hope remains that KTM manage to overcome this crisis and continue to shine on the world circuits.
KTM will align Peter Acosta et
Brad Binder in its factory team in 2025, while the team Tech3supported by the factory, will roll Maverick Vinales et Enea Bastianini.