In Formula One

Mercedes-Benz took part in the world championship in 1954 and 1955, but despite being successful with two championship titles for Juan-Manuel Fangio, the company left the sport after just two seasons. He is considered by many to be the best F1 driver in history.

Mercedes-Benz returned as an engine supplier in the 1990s and part-owned Team McLaren for some years, to which it has supplied engines engineered by Ilmor since 1995. This partnership brought success, including drivers championships for Mika Häkkinen in 1998 and 1999, and for Lewis Hamilton in 2008, as well as a constructors championship in 1998. The collaboration with McLaren had been extended into the production of roadgoing cars such as the Mercedes-Benz SLR McLaren.

In 2007, McLaren-Mercedes was fined a record US$100 million for stealing confidential Ferrari technical data.

In 2009, Ross Brawn's newly conceived Formula One team, Brawn GP used Mercedes engines to help win the constructor's championship, and Jenson Button to become champion in the F1 drivers' championship. At the end of the season, Mercedes-Benz sold its 40% stake in McLaren to the McLaren Group and bought 70% of the Brawn GP team jointly with an Abu Dubai based investment consortium. Brawn GP was renamed Mercedes GP for the 2010 season and is, from this season on, a works team for Mercedes-Benz.

Between AMG dan McLaren

Mercedes-Benz AMG became a majority owned division of Mercedes-Benz in 1998. The company was integrated into DaimlerChrysler in 1999, and became Mercedes-Benz AMG beginning on 1 January 1999.

Between 2003 and 2009, Mercedes-Benz produced a limited-production sports car with McLaren Cars, an extension of the collaboration by which Mercedes engines are used by the Team McLaren-Mercedes Formula One racing team, which is part owned by Mercedes. McLaren ceased production of the SLR in 2009 and went on to develop its own car, the McLaren MP4-12C, launched in 2011.