Renault Formula 1 team boss Cyril Abiteboul has said the French team is not paying new signing Daniel Ricciardo "stupid money", therefore allowing for its budget to be better spent on development.
Although Renault has yet to join the exclusive 'front-runner club' of Mercedes, Ferrari and Red Bull, it has set its sights on doing so this year and hopes signing Ricciardo will elevate the squad further.
Whilst Ricciardo's salary hasn't been disclosed, top drivers earn tens of millions, with champions Lewis Hamilton and Sebastian Vettel both earning over £40 million a season, but that's not the case for Ricciardo according to Abiteboul, who described their arrangement as "extremely sensible".
"The commercial arrangement with Daniel is extremely sensible and nowhere near what can exist elsewhere in F1,” Abiteboul told Autosport.
"It is obviously commensurate to the level of his skills and talent, and what he can bring to the team. But it is not a stupid amount of money."
But the Frenchman is keen to stress that the team has reached a point that it must now invest heavily in both development and driver talent if it's to take the next step and challenge the leading trio.
"I think it has all been done in a sensible way, and it is not in a way that will be detrimental to the team who can keep on spending on the development of the car and the engine.
“There is a considerable financial commitment from Renault. The question mark is about the value. Does it make sense to invest that type of money in a driver at the level of Daniel at this point of our journey, with the car that we have and the other expense that we must do? We believe so.
"I think we have reached a point where we can invest in both reasonably."
