Brazilian driver Lucas di Grassi steers a Formula E racecar in Berlin, Germany last month. Courtesy Qualcommm / Formula E / Nils Kruger
Brazilian driver Lucas di Grassi steers a Formula E racecar in Berlin, Germany last month. Courtesy Qualcommm / Formula E / Nils Kruger

Racing world teams up for next year’s Grand Prix of electric cars



Formula E, the world’s first major racing championship for electric cars, being held across 10 cities next year, is also the starting flag for a much bigger global race.

The new sport will decide which technologies will power the car industry for the rest of the century. The Ssmartphone chip-making giant Qualcomm, which is sponsoring the Formula E championship, believes that cars are soon to become more wireless-dependent than smartphones.

“We think the future of the auto industry is wireless,” says Joe Barrett, a senior director of Qualcomm Europe, who is also part of Qualcomm’s Halo project, formed to develop wireless charging technology for electric cars.

Qualcomm’s technology transmits electricity between two coils resonating at the same frequency to charge the cars while they are racing. Pads in the road transmit electricity to the cars as they go past.

“Our Halo project is concerned with recharging electric cars wirelessly. This is a technology that has yet to be properly commercialised,” says Mr Barrett. “The ultimate development of powering cars wirelessly is something called dynamic charging, which means charging cars remotely even when they are moving at speed down a highway.”

The racing car maker McLaren, which is providing the electric motor, gearbox and electronics for the Formula E cars, is also aiming for a pole position in the electric car market and has been working closely with Renault and Spark Racing Technology to develop the cars for next year’s Formula E Championship.

The motor and power electronics that McLaren is providing have been the focus of intensive research and development and testing for four years. McLaren has already completed thousands of kilometres of motor testing on its new electric technology in the lab. Before the motor is fitted to a car, it has clocked up the equivalent of two seasons of racing in testing.

McLaren’s engine will produce more than 250 continuous brake horsepower and 140 Newton meters of instant torque, while weighing just 26 kilograms.

McLaren is also providing the standard engine control units for Formula E. These effectively provide the brains inside the new breed of smart racing cars.

McLaren already uses its new electric technology to power its own commercial vehicles. The first commercial application of the technology is in the company’s P1 cars. Just 375 of the £866,000 cars (Dh5.1 million) will be made.

Every McLaren P1 has a Formula E engine. The car is not, however, fully electric and runs partially on petrol. According to McLaren, the P1 is available in the Middle East, although it may have already sold out in most markets including Asia and the United States.

The company believes that, in the future, it is most likely that the new electric engines will be used in environments such as motor sport, but that could also include aviation and defence.

Formula E’s gruelling city routes will push electric car technology to its limits and will allow Formula E’s technical partner, the French car maker Renault, to gauge the reliability and safety of the car industry’s new electric technology.

“The reason we are in Formula E is to be present in an emerging area of motor sport. We are also looking more broadly at what is happening in the general electric car market,” says Arnaud Boulanger, the motor sport director at Renault Sport Technologies.

He adds that safety is a major focus as any appearance of safety concerns during next year’s event could have major implications for the fledgling electric car industry.

Formula E is effectively blazing a trail for the sector. Although a growing number of drivers opt for hybrid vehicles and a small minority of sports car drivers have bought cars made by Tesla, Silicon Valley’s home-grown electric car maker, the global market for electric cars remains tiny.

Although Renault claims to be the world’s leading maker of electric cars, it acknowledges that, as it sells only 15,000 purely electric cars a year, the sector is still in its infancy.

“It is far too early to make accurate predictions about the future of the electric car industry but you have to be there. Renault has to be there,” says Mr Boulanger.

The Formula E races will last for about one hour each with drivers making two mandatory pit stops to change cars. Engines will be restricted to power-saving mode (180bhp) but can be temporarily increased to maximum power (270bhp). All rounds will be one-day events with practice, qualifying and the race taking place in a single day to reduce costs and minimise disruption to the host city.

Next year’s championship will run from June to September and take place in 10 cities, including Los Angeles, Berlin, Rio de Janeiro, London, Buenos Aires and Beijing.

Qualcomm is not alone in seeing the car industry as the technology industry’s next frontier. Other tech companies are not only keen to provide in-car digital communications, but also wish to be involved in the production of new generation electric vehicles.

For example, the German car parts maker Continental is reported to be forming partnerships with Google and IBM for self-driving cars.

It is this new cooperation between the motoring and IT industries that is set to revolutionise not only the world of motor racing but also eventually provide ordinary drivers with truly 21st-century rides.

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There are an estimated 170 million carriers of Hepatitis C around the world.

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29 or 30 days – the number of iftar services held during the holy month

50 staff members required to prepare an iftar

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160 litres of the traditional Ramadan drink, jalab, is served in total

500 litres of soup is served during the holy month

200 kilograms of meat is used for various dishes

350 kilograms of onion is used in dishes

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

UAE tour of the Netherlands

UAE squad: Rohan Mustafa (captain), Shaiman Anwar, Ghulam Shabber, Mohammed Qasim, Rameez Shahzad, Mohammed Usman, Adnan Mufti, Chirag Suri, Ahmed Raza, Imran Haider, Mohammed Naveed, Amjad Javed, Zahoor Khan, Qadeer Ahmed
Fixtures and results:
Monday, UAE won by three wickets
Wednesday, 2nd 50-over match
Thursday, 3rd 50-over match