The Mercedes Formula One team has unveiled a major new commercial partnership with Microsoft (NASDAQ:MSFT), announced on Thursday at the launch of the team’s W17 car for the forthcoming Formula One season.
Under the agreement, Microsoft’s branding will feature prominently on key areas of the car, including the airbox and the front wing, standing out against Mercedes’ signature silver-and-black livery.
Although financial details were not officially disclosed, Sky News cited a sponsorship specialist who suggested the deal could be valued at around $60 million per year.
The partnership comes as Mercedes Formula One Team looks to reassert itself at the sharp end of the grid after recent seasons away from championship contention. Team officials are hopeful that the newly unveiled W17 will play a central role in returning Mercedes to winning form.
For Microsoft, the deal represents another high-visibility move into global sport, aligning its brand with one of Formula One’s most successful teams as the new season approaches.