• The Mercedes Formula 1 team is set to have its budget reduced drastically.
• Daimler, Mercedes' parent company, has the final say on how much money is allocated to the F1 team.
• Recent comments from Daimler's CEO Ola Kallenhuis
Daimler, the dominant Mercedes team's carmaker parent, intends to slash the amount of money it spends on Formula 1.
It emerged recently that Mercedes spent a staggering $430-million to win last year's championships - with a $145-million budget cap coming in for 2021.
Daimler CEO Ola Kallenius has rejected rumours that Mercedes could be pulled out of the sport.
"We have no more reason to retire from Formula 1 than Bayern Munich has to retire from football," he is quoted by TV6.
"But the financial burden in the next three years will be halved. In this regard, we set ourselves more aggressive goals for Formula 1 than for other areas of the company," Kallenius added.