Steve O’Donnell took the witness stand Thursday as the NASCAR antitrust case brought by 23XI Racing and Front Row Motorsports moved into its fourth day in federal court in Charlotte. His testimony gave the jury a clearer look at the long-running money issues between NASCAR and its teams.
O’Donnell described a tense March 2022 meeting with Curtis Polk, Jeff Gordon, Dave Alpern, and Steve Newmark, where the team leaders warned that the current business system was breaking down. He said they believed the sport’s economics were failing.
According to Kelly Crandall of Racer.com, “O’Donnell acknowledged he had no basis to dispute their estimate that it cost about $20 million a year to run one car. He said he ‘took them at their word.”
Teams pushed for a new model in the NASCAR antitrust case
Kelly Crandall reported that Polk asked for “a fair model and more revenue” and said “he had driver support” for those goals. O’Donnell’s own notes from that meeting listed key priorities such as “maximizing TV revenue, creating a competitive landscape, and considering a cost cap.”
Jenna Fryer of AP News also described how teams told NASCAR the structure was “unsustainable” and that they were “fighting for their financial survival.”
A major exchange came when Jeff Gordon asked if the France family was willing to consider a new approach. “Ben Kennedy first told Gordon yes, but O’Donnell testified that chairman Jim France was opposed to a new revenue model.”
The Athletic’s Jeff Gluck and Jordan Bianchi reported the same point, noting O’Donnell confirmed that “as it turned out, Jim France was not open to a new model.”
Tension grew as charter talks stalled
Jenna Fryer reporting said teams wanted a charter deal by July 2022, but the final offer did not arrive until September 2024. Teams were given six hours to sign. Only 23XI Racing and Front Row Motorsports refused, which led to the current lawsuit.
O’Donnell also faced questions about NASCAR’s concerns that the teams might consider forming a breakaway series. The Athletic said he “thought through a variety of options,” including the idea that teams could build their own cars with help from foreign partners. NASCAR worried teams could attempt something “similar to the LIV golf league.”
These details added to the growing picture of how deep the tension had become between the sanctioning body and its top teams as costs rose and talks dragged on.
Jenkins describes the financial strain on teams
Earlier Thursday, Front Row Motorsports owner Bob Jenkins finished his testimony. Gluck and Bianchi quoted him saying, “The median cost is $20 million; the fact I can do it for less helps me reduce my costs,” explaining why that number still matters in the case.
Jenkins told the court he has “lost $100 million” as a Cup owner. He said he “held his nose” when signing the 2016 charter agreements and felt the 2024 extension “went virtually backward in so many ways.” He described the short deadline to sign the new deal as a “domino effect” that pushed reluctant teams to agree. Jenkins also pointed to the rising price of the Next Gen car.
“He testified, To add $150,000 to $200,000 to the cost of the car, I don’t think any of the teams anticipated that,” and added, “What’s anti-competitive is I don’t own that car. I can’t use that car anywhere else.”
With more witnesses expected, the NASCAR antitrust case continues to reveal years of financial strain and disagreements between NASCAR and its teams, supported by detailed reporting from inside the courtroom.
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