The Austrian, who is the CEO and team principal of the F1 team, has been under pressure after two years in the wilderness amid Red Bull’s recent dominance since 2022.
Previous to that, Wolff had led his team to eight straight constructors’ titles, with Lewis Hamilton claiming six drivers’ crowns in a period of utter dominance from 2014.
And Wolff has committed to the team, in his dual-role as team principal and chief executive, until 2026 – when the next phase of regulations come into force.
The news comes on the same day Mercedes announced their car launch date of Wednesday 14 February at Silverstone, with Hamilton, George Russell and Wolff all set to be present.
“I’m part of this team in various functions,” Wolff told The Telegraph, in an interview where he confirmed his new contract.
“I’m a co-shareholder. I’m on the board. These are things which will not change whatever executive, or non-executive, role I have. But I feel good.
“The risk for me is always more bore-out than burnout. And that’s why I embrace the challenges we have today, even though they sometimes feel very, very difficult to manage.”
Wolff owns 33% of the team, alongside INEOS’ Sir Jim Ratcliffe and Mercedes-Benz’s Ola Kallenius – and added that the decision to extend was made in conjunction with his co-owners.
“I’m a co-shareholder, I’m on the board,” he said.
“These are things which will not change whatever executive, or non-executive, role I have. But I feel good. The risk for me is always more bore-out than burnout.
“And that’s why I embrace the challenges we have today, even though they sometimes feel very, very difficult to manage.”
Wolff was recently involved in an FIA investigation looking into a potential conflict of interest given his wife, Susie’s, role as managing director of F1 Academy. The investigation was quickly dropped.
Mercedes endured a first winless season since 2011 last season, while star driver Hamilton has not won in more than two years.
The 2024 F1 season starts on Saturday 2 March with the Bahrain Grand Prix.