The Reuters global sports blog
Ferrari’s threat to pull out of Formula One at the end of the year unless the governing body
backs down on a planned budget cap sets the stage for what will be heated talks at the top of the sport over the coming weeks.
While the step appears dramatic, it is part of a war of wills between International Automobile Federation (FIA) president Max Mosley and the Formula One Teams Association (FOTA) led by Ferrari president Luca di Montezemolo.
Tuesday’s development (see here for the full statement) sets out the battle lines before a likely meeting between the two men ahead of next week’s Monaco Grand Prix.
WHAT IS THE PROBLEM?
The FIA have proposed an optional 40 million pound ($60 million) budget cap for 2010 to encourage new teams to enter and safeguard the sport against the risk of more manufacturers
pulling out after Honda’s departure in December.