Pedro Acosta “Back Home” at Factory KTM – “Now I Want Everything”
Pedro Acosta felt "back home" during his first KTM factory MotoGP test in Barcelona. After a day focusing on aero the Spaniard "now wants everything".
KTM’s presence in MotoGP hangs in the balance as the Austrian manufacturer grapples with severe financial difficulties. Recent developments have forced the company to freeze its bike development program temporarily.
The parent company, Pierer Mobility Group, shocked the industry last week by filing for insolvency, revealing a staggering €1.8 billion debt – far worse than initially anticipated. This has triggered cost-cutting measures across KTM’s operations, including its the MotoGP project as reports from Motorsport.com suggest.
To mitigate costs, development of the 2025 MotoGP bikes has been paused until MotoGP’s pre-season tests in February while both the factory and satellite teams will start the season with minimal updates. KTM has assured its MotoGP teams that it plans to remain on the grid with all four bikes in 2025.
KTM Motorsport Director Chief Pit Beirer offered reassurances, stating that “the bike for next season is ready and waiting in the workshop.” He confirmed that the season’s logistics are already organized and priced in.
KTM’s financial troubles stem from a combination of overproduction, declining sales, and missteps with its electric motorcycle project. The company currently holds a rumored 100,000 unsold motorcycles.
Earlier in 2024, rumors of KTM’s precarious financial health began circulating, intensifying in recent months as job cuts and restructuring measures were implemented.
By the end of the year, KTM plans to lay off 500 more employees, in addition to the hundreds already let go. Reduced production will place parts of the workforce on short-time work schedules as part of a broader restructuring plan to stabilize the company in collaboration with creditors within 90 days.
KTM has also restructured its racing division, now operating under the umbrella of KTM Racing GmbH in order to shield its MotoGP program from the financial crisis. Discontinuing its racing activities would deal a severe blow to the image of the brand.
Still, KTM’s significant spending on motorsport remains under scrutiny. The company has heavily invested not only in MotoGP but also in talent pipelines such as the Red Bull Rookies Cup, Moto3, and Moto2. This multi-tiered investment strategy now faces potential cutbacks as KTM will have to prioritize financial recovery.
Rising star Pedro Acosta, who joined the factory team at the post-season MotoGP test in Barcelona, remains cautiously optimistic. After testing at Misano in September, he shared that KTM had assured him of its commitment to the racing program.
“I’ve been to the factory, and they’ve told me the sporting program is fully supported,” the Spaniard said. However, the months since then have brought a series of setbacks, culminating in the insolvency filing.
