Formula One Teams Association (FOTA) announced last week that it is planning to break away from the FIA and start its own racing series as a result of friction between the two organizations.
 
The eight breakaway teams (Ferrari, McLaren, Toyota, Renault, BMW, Brawn, Red Bull and Toro Rosso) met at Renault's England headquarters and brought out a press release soon after, stating that it has been trying to negotiate with the FIA but that its efforts have been futile. FOTA has proposed a voluntary cost reduction plan for the teams, it has also requested for transparency of governance by the FIA and for the Commercial Rights Holder (Bernie Ecclestone) to fix on one set of rules, among other things. Many teams have also said that Ecclestone has withheld tens of millions of dollars, since 2006.Carmelo Ezpeleta, Dorna Sports Comapny, Bernie Ecclestone, Sue
 
In retaliation the FIA has issued a statement stating that it is going to sue the breakaway teams for violations of law and for breaches of contracts. The FIA is particularly upset with Ferrari and has threatened to leave Ferrari out of the 2010 Entry List. This has caused the 2010 Entry List to be stalled and delayed until the FIA and FOTA decide on their next step.

In the mean time, FOTA has started talks with Carmelo Ezpeleta, whose Dorna Sports company is in charge of Moto GP, and who would be capable and experienced in managing a new racing series.
 
For more information about FOTA’s breakaway ideas, scroll down and read their press release.

Date: 18 June, 2009
 
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.