IS FORMULA ONE DEAD? // FOTA ANNOUNCES SPLIT FROM FIA

In a somewhat expected turn of events, the Formula One Teams Association (FOTA) has announced they intend to split from the FIA and form their own championship for the 2010 season. The news comes after a partial agreement was formed just a few weeks ago that would have instituted a reduced cost structure for the 2010-2012 seasons. The agreement, now seemingly null and void, would have incorporated a salary cap structure for teams heading into next season, which the FIA had hoped, would entice more participants and simultaneously reduce cost for spectators.

However, an unwillingness to negotiate terms on the FIA's part as well as a seemingly impossible budget structure, especially in relation to today's costs, has forced the FOTA to announce a split from the FIA. The FOTA has announced they will develop their own championship for the 2010 season, which will incorporate eight of the ten teams currently competing in Formula One. Follow the link for the FOTA's official press release... [read more]


FOTA UNITED ON THE FUTURE

Silverstone, 18 June 2009 - Since the formation of FOTA last September the teams have worked together and sought to engage the FIA and commercial rights holder, to develop and improve the sport. Unprecedented worldwide financial turmoil has inevitably placed great challenges before the F1 community. FOTA is proud that it has achieved the most substantial measures to reduce costs in the history of our sport. In particular the manufacturer teams have provided assistance to the independent teams, a number of which would probably not be in the sport today without the FOTA initiatives. The FOTA teams have further agreed upon a substantial voluntary cost reduction that provides a sustainable model for the future. Following these efforts all the teams have confirmed to the FIA and the commercial rights holder that they are willing to commit until the end of 2012.

The FIA and the commercial rights holder have campaigned to divide FOTA. The wishes of the majority of the teams are ignored. Furthermore, tens of millions of dollars have been withheld from many teams by the commercial rights holder, going back as far as 2006. Despite this and the uncompromising environment, FOTA has genuinely sought compromise.

It has become clear however, that the teams cannot continue to compromise on the fundamental values of the sport and have declined to alter their original conditional entries to the 2010 World Championship. These teams therefore have no alternative other than to commence the preparation for a new Championship which reflects the values of its participants and partners. This series will have transparent governance, one set of regulations, encourage more entrants and listen to the wishes of the fans, including offering lower prices for spectators worldwide, partners and other important stakeholders.

The major drivers, stars, brands, sponsors, promoters and companies historically associated with the highest level of motorsport will all feature in this new series.

Note to Eds: Statement issued by FOTA on behalf of BMW-Sauber, BrawnGP, Scuderia Ferrari, McLaren-Mercedes, Red Bull Racing, Renault, Scuderia Toro Rosso, Toyota.