The Mercedes non-executive chairman recently stated that the teenager needed a "psychiatrist", leading the Red Bull driver to respond with: "If I go, then we might as well go together."
Now Lauda has hit back, telling Italian broadcaster Sky: "Go together? Sure, but then the psychiatrist will decide which of us needs to stay."
"I think Max has an incredible talent, but there is a limit to what you can and cannot do on the track and someone needs to point it out to him," Lauda added. "The problem is that Max is very young," the triple world champion said. "But if we do a balance between talent and youth, then his talent wins."
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