Formula E Berlin ePrix II

How Penske could stay in Formula E after DS’ exit

A bespoke powertrain to take on manufacturer giants like Porsche and Jaguar, or a switch to customer supply? Here’s the latest on Penske’s Formula E future

Rachit Thukral

Published: May 5, 2026, 12:30 PM

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Taylor Barnard, DS Penske

Photo by: Simon Galloway / LAT Images via Getty Images

Jay Penske’s eponymous squad looks set to remain in Formula E following the departure of DS Automobiles, with an announcement regarding its Gen4 plans expected soon.

The American business magnate has been part of the all-electric championship since its inception in 2014, with the team that was originally known as Dragon Racing evolving into the factory DS Penske squad in 2021.

However, there has been some uncertainty about how Penske could continue in Formula E as an independent operation after DS Automobiles revealed in March that it will withdraw from Formula E at the end of the ongoing 2025-26 season.

The management had always intended to continue into the Gen4 era. The key question was what form the programme could take, rather than whether there would be a programme at all.

As it stands, Penske appears to be pushing ahead with the development of its own powertrain, rather than opting to source customer units from another manufacturer.

Long before DS decided to pull the plug on its multiple title-winning Formula E project, Penske had already started laying the groundwork on a bespoke powertrain. This was not necessarily a contingency plan, as the same hardware could have been used in conjunction with DS if the French manufacturer had stayed in Formula E.

But now with DS calling time on its Formula E programme, Penske has the option of becoming completely self-reliant from the start of the Gen4 era.

There is precedent to such a move, with the erstwhile Dragon Racing team building its own powertrains from the 2016-17 season until it became DS’ works squad in late 2022.

“We have done a really good powertrain and we are working very hard in the simulator and this is an ongoing process that's been in place now for well over a year-and-a-half, so lots of work and lots of good things,” deputy team principal Phil Charles told Motorsport.com.

Jay Penske, Owner Team DS Penske, Phil Charles, DS Penske Team manager

Photo by: Andreas Beil

Shortened timeframe

Porsche, Jaguar, Stellantis, Lola and Nissan have already started testing their Gen4 packages - albeit mostly in the form of mule cars - while Mahindra is also expected to shake down the successor to the M12 Electro in May.

This leaves Penske, which has yet to even register itself with the FIA and Formula E, in a tricky position.

The traditional pre-season test is expected to take place in just about six months in November, while the 2026-27 season is poised to start in December.

Asked whether Penske is running out of time to build its own powertrain, Charles said: “There still is time. It's tight, but there is still some time.”

Pressed further as to when the car will be able to hit the track, he said: “Pretty soon.”

Penske has also evaluated the possibility of becoming a customer team and aligning itself with one of the registered manufacturers, with a partnership with Mahindra emerging as one possible avenue.

Charles stopped short of providing a definitive answer of Penske’s Gen4 plans, but did indicate that the team is keen to capitalise on the work already done after spending significant resources on its in-house project.

“We will see. Time will tell. We have got some really good options and you'll see that in the coming weeks,” he said.

“I don't think there's a clear route to say yes or no, but I can tell you that we've done a lot of really good work along our own powertrain and a lot of the parts and simulation around Gen 4.”

Taylor Barnard, DS Penske

Photo by: Malcolm Griffiths / LAT Images via Getty Images

Challenges in going solo

Charles isn’t overly concerned about rivals getting an early advantage over Penske, insisting his team had already completed significant groundwork to become a manufacturer in its own right.

“I'm not too worried,” he said. “We've been working very hard in the virtual world and we've done a lot of good work.

“Of course, it's great to measure the tyre on the track to really get a view of the real car, but we're also very proud of the work we've been doing and very happy with the work we've been doing, so we don't feel at this point that we [are behind]

“Of course, we want to get some track running, but we don't feel like we've completely misunderstood or not seen the Gen 4 scenario. We do lots of work around it.”

Likewise, Charles doesn’t think a lack of manufacturer backing will impact Penske’s prospects in Formula E.

“Having an OEM in your world can have some advantages, but ultimately it’s down to the group of people you have got,” he explained. “These powertrains are very sophisticated and very specific. Not many people in the world have the knowledge base to deliver a really good one.

“Of course, in OEMs, they may well have collected some of those good people up and that’s an advantage and they may have some resources, some dynos and some previous results that help you to drive some of your decisions. But ultimately, what makes a really good powertrain is those key people in the right places. And I’ve got to say we have got some really good people.”

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