The F1 Teams Association (FOTA) have announced they will form their own motor sport world championship.

Negotiations have been going on for months between FOTA and the FIA, the governing body of the sport led by Max Mosley. In a press release late last week, the teams claimed that both the FIA and the commercial rights holder (Bernie Ecclestone et al) have ignored FOTA's wishes and tried to split them up. For anyone who follows the political shenanigans of Formula 1, it comes as no surprise that FOTA has had enough.

The breakaway teams are BMW-Sauber, BrawnGP, McLaren-Mercedes, Red Bull, Renault, Toro Rosso, Toyota and Ferrari. If they succeed, they're likely to take all the biggest sponsorships with them, as well as the best drivers, perhaps creating a "premiership" league. They're promising to lower prices and listen to the fans, something many have complained the FIA don't do.

But what will it mean for the future of the Monaco Grand Prix? Hosting 2 races would be an unlikely and expensive option. Although the race brings in around 100 million euros, it also costs 30 million to stage. Prince Albert has said that it's part of the Principality's history and whatever happens, it should remain a major event on the calendar. But whose Grand Prix would it be, that of the FIA or of FOTA?

Over the weekend things seemed to get worse, with Mosley threatening legal action against the teams. Fortunately there are reports this morning that both sides have backed off a little and are again on talking terms.

It's inconceivable that there would be a Monaco Grand Prix without Ferrari, but if negotiations break down again and the teams establish their own championship, that might be on the cards.