New era of Formula One on the cards

Motorsport: A new Formula One is on the brink of being unearthed following a landmark meeting today in Monte Carlo

Motorsport:A new Formula One is on the brink of being unearthed following a landmark meeting today in Monte Carlo. FIA president Max Mosley and the Formula One Teams' Association (FOTA) emerged from a four-hour brainstorming session which has been described as "the most successful meeting on Formula One matters any of the participants can remember".

Agreement has been reached on measures to meet all the objectives originally proposed by Mosley for 2010 and beyond.

That clearly suggests at least four teams — as demanded by Mosley — have signed up to use a standardised engine, to be produced by Cosworth, for three years from 2010.

Along with a standard gearbox, the entire power train will cost an initial up-front payment of €1.9million, followed by a fee of €6.25million per season over the term of the agreement.

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Mosley had issued a deadline of tomorrow for teams to comply with his proposal, his edict coming in the wake of Honda's demise.

The Japanese manufacturing giant pulled out of F1 last Friday citing the global economic downturn which had led to a dramatic slump in car sales.

Their withdrawal had sparked fears other teams would follow and that F1 as a sport would be in jeopardy.

But Mosley, who has long cited that the costs of F1 were becoming "unsustainable", has acted quickly to prevent a potential crisis.

Other cost-cutting measures that have likely been agreed to include a reduction in testing, along with a limit on wind-tunnel time and aerodynamic development.

The meeting has also led to FOTA making proposals "relating to very significant cost savings in 2009, while maintaining Formula One at the pinnacle of motor sport and reinforcing its appeal".

The decisions made should lead to Mosley's demand of seeing teams operate on annual budgets of €35-€45million, rather than the staggering €220-350million at present.

All the proposals will now go before the FIA World Motor Sport Council in Monte Carlo on Friday where they are expected to be fully endorsed.

Mosley said: "I am delighted with the outcome of this meeting."

FOTA president Luca di Montezemolo added: "The unity of the teams was fundamental to meeting the goals for a new Formula One, but with the same DNA, as requested by the FIA."