The previous deal, whereby 47% of the lucrative TV revenue was split between the top 10 ten teams according to the order in which they finished the constructors championship in the previous season, simply left too much money in other peoples hands. Including businesses such as Allsport Management and Allsopp Parker & Marsh. The new deal apparently ensures 50% of all revenues will go to the teams, which means the teams will have half of an estimated $700 Million a year in income rather than 47% of the previous total of $450 Million. I would also assume the new deal includes all 12 teams from 2008, otherwise it's difficult to understand how Prodrive F1 would have been able to secure the funding for its entry. One cannot imagine David Richards being left out.

In coming up with the new deal Bernie Ecclestone played the chess game beautifully, pulling the teams apart one by one starting with a reasonable target - Ferrari. Once Ferrari broke ranks with the other manufacturers in January 2005 the game was up. Red Bull, closely aligned with Bernie Ecclestone, brought both its teams to the table, while Midland and Super Aguri were a forgone conclusion. And when BMW ducked out of Williams, it came as no surprise that probably one of the first calls Sir Frank made was to Formula One's Princes Gate offices in London to sort out a new deal.

It would be tempting fate to wave the newly signed commercial agreement between the teams and Formula One in the air and cry 'peace in our time' but there can be no doubt that for the first time in a decade a clear path has been laid out for the future of the sport and all its key players. If two items on the task-list of Formula One remain, they are to reduce the costs of competing and turn the pit-stop dependent racing into a genuine contest between all 12 teams in 2008. Then Formula One really will be something the world will want to buy into and the owners of the sport will be pushing at an open door to the markets.

Mark Gallagher
mark@pitpass.com

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