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For generations, Indiana has stood at the pinnacle of the racing world, with the state playing host to iconic races such as the Indianapolis 500 and the Brickyard 400 that cement its place among the greatest motorsport venues in the world.
But beyond the thrill of the race, motorsports represent a powerful engine for economic growth, job creation and technological innovation.
As the state continues to build on its legacy, further dedication of resources to professional and amateur motorsport venues, as well as ancillary resources for racing teams and drivers, could bring unparalleled economic benefits to Indiana.
The economic power of motorsports
For Indiana, motorsports represent far more than thrilling entertainment—they are a powerful economic engine with local and global reach. The motorsports industry is a cornerstone of the state’s economy, supporting thousands of jobs and fueling growth across multiple sectors.
From the construction and operation of world-class venues to the development and manufacturing of advanced automotive technologies, the influence of motorsports extends far beyond the racetrack—benefiting tourism, hospitality, retail and several other industries.
The Indianapolis Motor Speedway, known worldwide as the “Racing Capital of the World,” stands as a testament to Indiana’s leadership in motorsports.
Major events at IMS draw hundreds of thousands of visitors each year from across the globe, injecting millions of dollars into the local economy. These attendees do more than purchase event tickets; they stay in hotels, dine at restaurants and shop locally, creating a ripple effect that supports communities across the state.
Similar economic benefits are generated at other key venues, such as Lucas Oil Raceway and numerous local tracks that host both professional and amateur events.
By expanding investment in motorsports infrastructure, Indiana can further solidify its pole position as the global hub for racing.
Modernizing facilities, supporting teams and drivers, and fostering innovation in automotive and motorsports technology will attract more events, more visitors and more business investment. These efforts will not only elevate Indiana’s standing in the motorsports world but will also deliver long-term economic growth and opportunity for Hoosiers statewide.
Building a comprehensive motorsports ecosystem
One of Indiana’s greatest opportunities for economic development lies in the continued expansion of its motorsports ecosystem, and the state government has a pivotal role to play in realizing that potential.
The Indiana General Assembly established the Motorsports Investment District, or MID, to help finance capital improvements around IMS, yet similar support has not been extended to the many professional and amateur racetracks across the state.
Expanding the MID model to additional tracks would enable critical infrastructure upgrades, attract talented amateur drivers and hobbyists, and enhance hospitality and amenities around these venues, ultimately increasing fan appeal and driving tourism.
Through the expansion of MIDs and the use of traditional public-private partnerships and tax incentives, Indiana can modernize existing facilities and support the development of new, world-class motorsports venues.
Beyond racetracks, Indiana can further strengthen its position as a national and global motorsports leader by supporting ancillary infrastructure for racing teams, drivers and manufacturers.
The creation of an Indiana Motorsports Research and Development Center would provide state-of-the-art resources, such as wind tunnels, simulation centers and advanced manufacturing labs, forming a centralized hub for innovation, safety testing and competitive development. Modeled after North Carolina’s NASCAR R&D facility in Concord, this center would foster collaboration, support homegrown teams and attract talent at all levels of the sport.
It would also serve as a valuable resource for private companies seeking access to cutting-edge research.
Both automotive startups—such as those supported by accelerators like Techstars Detroit—and established firms would benefit from access to state-of-the-art facilities to test and refine their designs.
These companies could leverage the latest advancements in aerodynamics, lightweight materials, electric vehicle technology, autonomous driving systems and many others, creating a direct pipeline between motorsports innovation and broader commercial applications. Having been privileged to serve as mentors to Indianapolis Techstars Sports, we have seen firsthand the enormous positive impact that collaboration can bring to these ecosystems.
Additionally, this R&D Center would generate high-quality jobs for Indiana college graduates.
Engineers from Purdue University, which offers a B.S. in motorsports engineering, and Rose-Hulman Institute of Technology, known for its mechanical engineering programs, could lead design and development efforts.
Graduates from Indiana University’s Motorsports Studies certificate program could contribute to public relations, event planning, business operations and tourism initiatives.
Together, these institutions would form a statewide talent network, supporting the next generation of motorsports professionals and reinforcing Indiana’s leadership in both racing and engineering excellence.
By expanding MIDs, investing in infrastructure and establishing a world-class Motorsports R&D Center, Indiana can solidify its reputation as the premier destination for professional motorsports, delivering long-term economic growth and high-skill job opportunities across the state.
Looking ahead: A vision for Indiana’s motorsports future
Now is not the time for Indiana to draft off our reputation of excellence. By allocating additional state resources to expand racing venues, nurture grassroots participation and support advanced research and development, Indiana can accelerate industry growth and capture international attention.
Motorsports have been an integral part of the state’s heritage for more than a century, and now they have the potential to drive Indiana’s economic progress.
Strategic investments and a focus on inclusive growth will enable Indiana’s motorsports sector to flourish, setting an example for how sports-driven innovation can revitalize economies.
This moment presents a unique opportunity for policymakers, legal experts and stakeholders statewide to unite behind a forward-thinking vision. By working together, they can ensure Indiana’s reputation as the “Racing Capital of the World” endures and prospers for generations to come.•
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Kyle Montrose and Joseph L. Champion are partners in Dentons’ Indianapolis office. Opinions expressed are those of the authors.
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