Written by Archie O’Reilly
Penske Entertainment CEO Mark Miles has indicated that the group’s acquisition of IndyCar’s Grand Prix of Long Beach is part of a sequence of news items to be confirmed throughout the off-season.
“It’s part of a series of announcements that we’re working on that I think are going to be part of our rapid increase in our growth,” Miles said in a media call last week.
Since the conclusion of the 2024 season in mid-September, IndyCar has already formalised its first-ever charter agreement and confirmed a new urban event in Arlington, Texas in collaboration with two major sporting entities, the Dallas Cowboys and Texas Rangers.
There is also the new, all-network television deal with FOX Sports coming in 2025. The series’ ownership group’s purchase of the flagship Long Beach event is the latest step in IndyCar’s continued quest for growth.
In for the long haul at Long Beach
Penske Entertainment’s purchase of the Grand Prix Association of Long Beach - thus the IndyCar event - from long-time owner Jerry Forsythe is a move expected to provide significant investment for the race, as well as fending off interest from other series.
“The event is in great shape,” Miles said. “It works as a business. It works as a sporting event. We think with the Indianapolis Motor Speedway and Indy 500, they are the iconic events really on the IndyCar calendar.
“This allows us to be stewards for many, many years to come, ensuring its ongoing position and growth. So knowing that those two iconic events will be part of Penske Entertainment for the long haul I think is really, really an important foundation for the future and the future growth of the series.”
Penske buying the event comes as preparations continue for the 50th running of the blue riband event in April. The outlook for the future of North America’s longest-running street circuit race is positive.
“We’re incredibly proud to be the new stewards of this cherished and iconic event,” series owner Roger Penske said in IndyCar’s release. “This is the most historic and prestigious street circuit race in North America.
“We’re excited to work with Jim Michaelian and his great team in Long Beach to ensure continued success and growth over the long term. This race and its loyal fans matter so much to everyone across the IndyCar community and we’re looking forward to a very special 50th anniversary celebration this April.”
Jim Michaelian, Grand Prix of Long Beach President and CEO, described the new partnership as “a very momentous day” for the organisation.
“I would be remiss if I didn’t acknowledge the contribution of our previous owners, Jerry Forsythe and the late Kevin Kalkhoven,” Michaelian said. “We went through a recession, we went through a pandemic and we survived and thrived coming out of that.
“Much of the credit goes to those two gentlemen and their contributions.”
IndyCar over NASCAR until 2029?
With NASCAR having ventured into street racing across the last two seasons in Chicago, there has been a lot of talk that they may make a run a Long Beach race.
But Michaelian is insistent that there is currently only the option for an IndyCar weekend in Long Beach amid a deal that runs through 2028 - the year in which Long Beach is set to host several events in the Olympic Games.
“I don’t want to get into any speculation about that,” Michaelian said. “But let me make something very clear: as it currently stands, our agreement with the city limits us to running one three-day race weekend a year. Period. That’s it.
“There’s no extensions. There’s no additional days. There’s nothing else incorporated in that agreement. So right now that defines what we’re going to be doing here in ‘25, ‘26, ‘27, and ‘28.”
The priority at present is ensuring the “longevity” of the IndyCar event with its future “absolutely” solidified for the long term. For beyond 2028, there are yet to be any discussions. But there is an intention to look for opportunities to extend IndyCar’s deal further.
Looking into the future, Miles has not ruled out a partnership with NASCAR if the city is able to provide any more flexibility. IndyCar has shared a doubleheader with NASCAR on the Indianapolis Motor Speedway road course in years gone by.
“Over time, who knows?” he said. “We look to partner and we’re open to ways to make our great events greater. So I don’t know. But it’s really not on anybody’s radar for now.”
Michaelian has said there were “never” any concrete proposals for any additional event to be run on the streets of Long Beach, whether separate to or in partnership with IndyCar. The acquisition from Penske Entertainment only “solidifies” this in his view.
“When Jerry bought Kevin’s share, he made it very clear that one of the reasons he was purchasing that and not letting it go out for public sale was he wanted to emphasise the fact that this was going to be an IndyCar race,” Michaelian said.
“From then on, that’s been the direction that we have been looking at as a company.”
In the five days prior to the announcement, ticket sales for 2025 were already up almost 14 percent on where they were at the same stage last year. IndyCar is gunning to capitalise on this trajectory.
IndyCar’s ongoing plans for growth
The Long Beach acquisition appears to be only a small part of a bigger picture of IndyCar’s strive for growth amid Miles’ teasing of more pending announcements.
“There are a number of key elements of the strategy going forward,” Miles said. “FOX and the reach in the United States are foundational to that new strategy.
“We just got briefed on plans. They’re thinking about the market and promotion of the series. Just off the charts ideas. Not only their natural reach - the extent to which, as a free-to-air broadcaster, they’re in so many homes - but their ambitions for helping us grow the series are phenomenal. That’s key.”
There is much more in the pipeline too. IndyCar’s Dallara DW12 chassis is entering its 14th season of competition, and as the series looks to keep up with modern technological trends - as shown by the introduction of hybrid power - a refresh is in the works.
“We’re working on a new car,” Miles said. “There will be much more about that as time goes on in the next several months but I think that’s going to be another important part of the growth strategy that we’re eager to talk about at the right time.”
There is also an emphasis on IndyCar growing its existing events, including the increasing catalogue run by Penske Entertainment.
“We want to be opportunistic,” Miles said. “So if it makes sense for us to invest in events, we’ll do that. [Long Beach] is certainly a prime example of that.
“We’re increasingly involved on a selected basis in promoting, not just investing and owning some of our own events. Our work with HyVee in Iowa and the work with the State Fair Board in Milwaukee are examples.”
Miles has described the cross-sport collaboration for the Grand Prix of Arlington hosted around Texas’ major entertainment district as a “more creative example” of the above as the series looks to innovate in a different way.
“We’re going to break out of our old mould and position ourselves to help our events grow more quickly and to be prepared to make investments towards that end,” Miles said. “We’re working on other events, so time will tell when we can roll some out.
“I think they’re going to be exciting. They’re going to be new and urban and powerful for the ability they give IndyCar to reach new fans and new geography for us.”
An update on international expansion
There also remains the target of IndyCar expanding outside of the United States and Canada - and maybe eventually outside of North America too.
“We wouldn’t want you to be without hope,” Miles said. “We care a lot about the fanbase, which I think is substantial in Latin America from Mexico, Brazil and elsewhere. We’ve never stopped looking for opportunities that make sense for us to pursue that.
“We’ve talked recently about our interest in exploring possibilities in Mexico City or in Mexico. And that’s top of mind, I promise you. Whether we can find a way to be racing more broadly in other places remains to be seen.
“We’re not racing in Brazil or Argentina or other places in South America at the moment but we haven’t forgotten those fans.”
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