ADUO: Mercedes might be granted upgrade token as Red Bull emerges as the surprise benchmark

Despite the expactations that Mercedes have the best power unit in the all-new engine formula, it has now emerged that Red Bull might emerge as the benchmark while the Brackley-based outfit might even receive an upgrade token.

Formula One’s next regulatory cycle, running from 2026 to 2030, introduces not only a radically redesigned hybrid power unit but also a new competitive‑balancing mechanism intended to prevent any single manufacturer from establishing a long‑term performance monopoly.

This mechanism, known as Additional Development and Upgrade Opportunities (ADUO), is embedded in the FIA’s Technical Regulations and represents the governing body’s attempt to maintain competitive balance without compromising the sport’s engineering freedom.

Rather than artificially slowing down the fastest engines, the FIA’s philosophy is to give underperforming manufacturers more opportunities to improve, creating a structured path toward convergence while preserving the meritocratic nature of Formula One.

To achieve this, the FIA will continuously monitor the performance of every Internal Combustion Engine supplied to teams throughout each season.

As the regulations state, “For each ICE supplied by the PU Manufacturers, an ICE Performance Index will be calculated.” This index, defined in FIA‑F1‑DOC‑096, becomes the central metric for determining whether a manufacturer is falling behind the best‑performing engine.

The FIA may also request additional technical data from teams and manufacturers to support this evaluation, noting that “PU Manufacturers and F1 Teams may be asked to provide relevant additional information… which must be supplied upon reasonable request.” This ensures that the assessment is based on comprehensive and accurate data rather than isolated performance snapshots.

Each season is divided into three evaluation windows — Rounds 1 to 6, 7 to 12, and 13 to 18 — during which the FIA compares every manufacturer’s ICE Performance Index to the highest index recorded in that period.

This comparison determines whether a manufacturer qualifies for ADUO, with the regulations explaining that the Performance Index will be measured against the best‑performing ICE and used to decide whether a manufacturer should be granted additional development opportunities, with the FIA informing manufacturers of any such grants according to the procedure outlined in FIA‑F1‑DOC‑096.

The ADUO system introduces two performance thresholds. Manufacturers whose ICE Performance Index is “at least 2% but less than 4% below the best‑performing ICE” are eligible for one additional homologation upgrade in the current season and one in the following season.

Those whose index is “at least 4% below the best‑performing ICE” receive two additional upgrades in the current season and two more in the next. These upgrades are not cumulative within a season; as the regulations clarify, “ADUO homologation upgrades are not cumulative within a season and will only be granted following the first occasion that the PU Manufacturer is assessed… as eligible.”

Against this regulatory backdrop, the competitive picture for 2026 has taken a dramatic and unexpected turn. According to information seen by Sky Sports News, the FIA has judged the early‑season pecking order of the 2026 power unit manufacturers — Red Bull, Mercedes, Ferrari, Audi and Honda — and the results have surprised much of the paddock.

Mercedes, long considered the benchmark in hybrid‑era engine performance, has been assessed as more than two per cent behind Red Bull’s power unit, and will therefore receive one ADUO upgrade this season.

Ferrari, Audi and Honda have been deemed more than four per cent adrift, placing them in the category eligible for two upgrades. As the benchmark power unit manufacturer, Red Bull — producing its own engine for the first time in Formula One — will not receive any additional development opportunities.

Although the FIA has yet to officially announce the ADUO numbers or confirm which manufacturers will be granted development tokens, the Monaco Grand Prix weekend was dominated by rumours that Red Bull’s internal combustion engine has been found to be the best of the field.

This revelation is significant not only because Red Bull Powertrains is a first‑time manufacturer, but also because Mercedes had been widely expected to lead the early 2026 engine hierarchy. The suggestion that Mercedes is only second‑best, and that Ferrari, Audi and Honda are further behind than anticipated, has reshaped the competitive narrative of the new era before the season has even reached its midpoint.

If confirmed, the FIA’s assessment would mark a remarkable achievement for Red Bull’s in‑house engine programme and a substantial shift in the balance of power.

It would also mean that every one of Red Bull’s rivals will receive additional development freedom — a built‑in mechanism that could accelerate convergence as the season progresses.

The ADUO system was designed precisely for such scenarios: to prevent runaway dominance, to give struggling manufacturers a structured path to recovery, and to ensure that the 2026–2030 era remains competitive even as the sport undergoes its most significant power unit transformation in a decade.