Reality of breakaway draws closer

DaimlerChrysler (Mercedes), Renault, Fiat (Ferrari), BMW and Jaguar (Ford) are unhappy about the growing influence of Kirch, which specialises in pay per view TV. The manufacturers have threatened to create a break series because they are wary, among other issues, of Kirch taking F1 off terrestrial TV.

DaimlerChysler board member Jurgen Hubbert said: "The manufacturers have started the discussions about the future of F1 because we want a stable platform. We want to know what is possible because it's importatnt for our business.

"The manufacturers will, in a few days, form a company that is possible structuring and regulating a series of races if there is no final solution and final agreement with Kirch."

Hubbert admitted that he would rather find a solution to avoid a split with F1, but said a solution could be hard to find. "It is difficult to say because it's not easy for all sides," he said. "It needs due diligence and that's what we have to do. My personal feeling is that it would be crazy not to come to an agreement."

The new series would not be created until the end of the current Concorde Agreement, the covenant that governs F1, in 2007. All the manufacturers are signed up until then.

Speaking at the Mercedes Stars and Cars day in Stuttgart, McLaren boss Ron Dennis explained how the row had gone beyond being simply about Kirsch and pay TV. "The teams and parties involved want an acceptable commercial deal and a fair share of the income," he said. "I have a problem with a third party having the commercial benefit that Bernie [Ecclestone] engineered and that has contributed zero to the future of F1. The teams feel justified in working for a greater share of the revenue stream. What value is a theatre with no actors?"

Mercedes motorsport boss Norbert Haug added: "The main issue is to safeguard the future development of Formula 1. That's all we're trying to do."