Just like I predicted in a one of my previous posts, the FIA and more specifically Max Mosley and Berney dragged F1 down with them:
SILVERSTONE, England -- Ferrari, McLaren and six other teams have announced plans for a rival series to Formula One in 2010 after the collapse of heated negotiations with F1 organizers over a budget cap for next season.
Ferrari, which has participated in Formula One since the inaugural championship in 1950, and current championship leader Brawn GP were among the members of the Formula One Teams Association that announced the split on Friday, ahead of Sunday's British Grand Prix.
McLaren, Renault, Toyota, BMW Sauber, Red Bull Racing and Toro Rosso are the other teams that are set to launch a new series for 2010.
Negotiations between FOTA and the Fédération Internationale de l'Automobile, the sport's governing body, had stalled over plans for a voluntary $60 million budget cap for all teams next season. The FOTA teams lodged entries for 2010 conditional upon that rule being changed, but the FIA wouldn't give ground, saying the sport can't survive in difficult economic times without such restrictions.
FOTA teams met on Thursday near Silverstone, the site of the British GP, and made the announcement that they would leave F1.
"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," FOTA said in a statement. "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."
The FIA responded by saying it wouldn't alter Friday's deadline for unconditional 2010 entries, with next year's competitors to be announced Saturday. "The FIA is disappointed but not surprised by FOTA's inability to reach a compromise in the best interests of the sport," the FIA said in a statement.
"It is clear that elements within FOTA have sought this outcome throughout the prolonged period of negotiation and have not engaged in the discussions in good faith," the FIA said. "The FIA cannot permit a financial arms race in the championship, nor can the FIA allow FOTA to dictate the rules of Formula One."
FOTA's statement criticized the FIA's "uncompromising" stance and attempts, along with the commercial rights holder Formula One Management -- headed respectively by Max Mosley and Bernie Ecclestone -- to divide its member teams.
Of the existing teams, Williams and Force India have broken ranks with FOTA and lodged unconditional entries for the 2010 F1 season, when they will be joined on the grid by three new outfits -- Campos Racing, Team US F1 and Manor F1 Team.
The FOTA exodus means some of the other teams that lodged 2010 F1 entries but were overlooked may now get another chance to be in the sport next season.
The split will also have serious ramifications for broadcasters who have rights to what will be a diminished F1 without its big-name teams and drivers, plus the venues which host F1 may seek to host the breakaway events.
The main cause of the split was the voluntary budget cap proposal, under which those teams which didn't adhere to the cap would be subject to technical restrictions. Ferrari president Luca di Montezemolo had called the restrictions "fundamentally unfair."
Now F1 looks set to lose some of its biggest names, including reigning world champion Lewis Hamilton, championship leader Jenson Button of Brawn, Ferrari pair Felipe Massa and Kimi Raikkonen, and Red Bull's rising star Sebastian Vettel, to the rival series.
"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," FOTA said. "The major drivers, stars, brands, sponsors, promoters and companies historically associated with the highest level of motorsport will all feature in this new series."
FOTA said its efforts to remain part of F1 had been hampered by the FIA's approach to negotiations. "The FIA and the commercial rights holder have campaigned to divide FOTA," the group said. "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."
The drivers had already been preparing for developments to emerge from Thursday's FOTA talks. Two-time world champion Fernando Alonso made it clear in the paddock on Thursday that he would leave F1 if his Renault team pulled out of F1.
"For me the new Formula One would be unattractive, with the small teams and no drivers," Mr. Alonso said. "We want to compete with the best teams in the world, the maximum technology: We all want to compete with the best drivers.
"If this is not what Formula One is about next year, then it will be another category with that. I won't retire, I will drive for another championship."
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