Red Bull has reportedly made the bold decision to part ways with Sergio Perez, ending his tenure with the team after the 2024 Formula 1 season.
Widespread reports of the 34-year-old's departure come after months of intense speculation about his future on the grid.
ESPN motorsport journalist Nate Saunders reports that New Zealander Liam Lawson has won the race to fill Perez' seat.ย
Lawson, who made his F1 debut in Red Bull's development team RB this year, appears to have edged out Yuki Tsunoda, who has been racing for RB since his 2021 debut.
The news of Perez's departure is expected to be officially confirmed later this week, pending his decision on whether to stay on as a Red Bull ambassador in 2025 or cut ties with the company entirely.
Perez signed a two-year contract extension to stay with Red Bull in May of this year before his race performance began to decline. If he stays in an ambassadorial role, he would focus on marketing appearances and show runs for the team.
Former F1 world champion Nico Rosberg told Sky Sports earlier this month that Perez would be expecting a hefty payout.
โWe've heard rumours it's around $16 million (USD) there at play. He wants his money at least, so he's not going to go away that easily. And I think there's a bit of lawyer discussions going on at the moment,โ Rosberg said.
With all 20 seats across 10 teams filled, this news means Perez will be without a spot on the F1 grid for the 2025 season.
However, the arrival of an 11th team in 2026 - General Motors' Cadillac entry - could offer the Mexican driver a potential route back into the sport.
Lawson joining Max Verstappen in the second Red Bull seat would come with significant pressure.
While Verstappen secured the Drivers' Championship title this season, Red Bull fell short in the Constructors' Championship to McLaren. After dominating the previous two seasons, Red Bull's slip suggests the competition is beginning to level out, setting the stage for an exciting and competitive 2025 season.
