American Magic has confirmed it will not compete in the 38th edition of the America’s Cup, which is taking place in Naples in 2027. It will be the first time in the event’s 175-year history that an American boat has not taken part.
In a bombshell announcement made on Tuesday, 28 October 2025, the New York Yacht Club’s representatives say its decision to refocus its efforts “follows a comprehensive review of the event’s current protocol and partnership agreement and their alignment with the team’s long-term sporting and strategic objectives.”
Doug DeVos, team principal of American Magic, says the decision came only after months of engagement with the Defender, the Challenger of Record and other syndicates.
“After extensive discussions, we’ve concluded that the present structure does not provide the framework for American Magic to operate a highly competitive and financially sustainable campaign for the 38th America’s Cup,” DeVos says.
“We care deeply about the America’s Cup and what it represents. However, for a team committed to long-term excellence, alignment around financial viability and competitive performance is essential. At this time, we don’t believe those conditions are in place for American Magic to challenge.”
Tension on the road to the 38th America’s Cup
The departure of American Magic is the latest development in a tumultuous start to the 38th America’s Cup.
In April 2025, Sir Jim Ratcliffe’s Ineos Britannia team confirmed it would not compete in the 38th America’s Cup, following the conclusion of a ‘protracted negotiation’ with Athena Racing – the team of Ineos’ former skipper Sir Ben Ainslie, who was dropped from Ineos in January 2025.
Just a week later, Switzerland’s Alinghi Red Bull Racing announced it was terminating its America’s Cup campaign due to “serious concerns about the administration and governance of the cup by the defender, Team New Zealand.”
In May 2025, Alinghi Red Bull Racing issued a statement raising concerns about whether a fair sporting protocol was being negotiated for the 38th America’s Cup. The statement accused both Team New Zealand and the Italian government of lacking transparency regarding the agreement to use Naples as the host venue and of announcing the host city prematurely before a fair protocol was agreed with the challengers.
American Magic swiftly weighed in, saying it had found itself at a “crossroads” but supported Alinghi Red Bull in its concerns.
The future of American Magic
Amerian Magic was formed in 2017 with the intention of returning the America’s Cup to the United States and the NYYC, and has represented the New York Yacht Club in two America’s Cup campaigns. Although the team will not participate in the next edition of the America’s Cup, it says it remains “fully committed to its founding purpose” of building a high-performance American sailing platform for global competition.
“Our focus now shifts to the future,” says Mike Cazer, chief executive officer of American Magic. “That means athlete and technology development, international competition, and continuing to drive advanced manufacturing and design innovation from our base in Pensacola.”
American Magic supports American sailors across senior, youth and women’s categories. The team continues to invest in the sport through its Pensacola-based performance centre and international racing programmes, including initiatives supporting US Olympic sailors.
What’s next?
Team New Zealand says it has been “working closely and positively with all teams on moving the America’s Cup to a new collaborative partnership and structure”.
In August, Team New Zealand released the 2027 protocol as an attempt at improved transparency. The protocol establishes a partnership, granting all participating teams equal authority, and mandates the inclusion of women on AC75s.
The America’s Cup traces its origins to the New York Yacht Club’s yacht America, which won the race around the Isle of Wight on 22 August 1851.
The American team’s decision not to challenge represents a significant setback for the competition. At this stage, only the Defender and Challenger of Record are confirmed participants for AC38. The initial entry window closes on 31 October 2025.
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