Today Ferrari has announced a three year deal starting next season with 2005 and 2006 World Champion Fernando Alonso. The confirmation of the agreement from the Italian team has been widely expected for several weeks.  The most successful active driver in F1, Alonso allegedly signed his Ferrari contract as long ago as July 2008, according to sources close to the team.

Kimi Raikkonen, although his contract covered the 2010 season, will no longer be a Ferrari driver.

“The Scuderia’s driver line-up next season will therefore be made up of Felipe Massa and Fernando Alonso, with Giancarlo Fisichella in the role of reserve driver,” Ferrari’s statement reads.

“Kimi Raikkonen will leave the team at the end of this current season, after what has been a rewarding and fruitful partnership, which saw him win the Drivers’ title in 2007. He also played a key role in Ferrari’s taking of the Constructor’s title that same year and in 2008.”

Ferrari was obviously very keen to bring 28-year-old Spaniard Alonso aboard, as it has long been obvious that both parties hold mutual interest.  ”We are very proud to welcome to our team another winning driver, who has demonstrated his amazing talent by winning two World Championships in his career to date,” said Team principal Stefano Domenicali.

“Of course, we wish to thank Kimi for everything he has done during his time with Ferrari: in his first year with us, he managed to win the Drivers’ title, thus making his contribution to Ferrari’s history and he played a vital role in our taking of the Constructors’ title in 2007 and 2008,” Domenicali continued, also pointing out Raikkonen’s victory in Belgium this year in what is a difficult season for the team.

“With common consent, we have agreed to terminate the contract binding me to Ferrari to the end of 2010, one year ahead of schedule,” said Raikkonen. “I am very sad to be leaving a team with which I have spent three fantastic years, during which time I won plenty of races. Together, we have won 50% of the world titles in that period and I managed to take the Drivers’ title in 2007, thus achieving the target I had set myself at the start of my career.

“I have always felt at home with everyone here and I will have many happy memories of my time with the team,” the 2007 champion concluded.  Raikkonen will complete the three remaining races of the season with Ferrari. It is rumored the Finn may return to McLaren Mercedes.

The announcement of Fernando Alonso’s move to Ferrari should now open the vanes of the drivers’ market, with a cascade effect leading to further driver confirmations from other teams in the coming days and weeks.

As if to underline that nothing is ever predictable in Formula One, Ferrari announced Wednesday evening that Michael Schumacher is to stand in for the injured Felipe Massa at the forthcoming Grand Prix in Valencia and beyond.

With Massa out of action due to the injuries sustained in qualification for the Hungarian Grand Prix and making a strong recovery, the rumor mill had been rife with speculation as to who would take over the F60 cockpit alongside Kimi Raikkonen as the Brazilian recuperates.

Indeed, no less than 13 drivers had been linked with the drive amongst reports that the 40-year old seven-time champion was not interested in resurrecting his career with the Italian champions.