Mercedes technical director Paddy Lowe has left Mercedes and is expected to join Williams despite his contract with the World Champion team set to run until May of this year.
Mercedes announced on their website: "Following three and a half very successful years, Paddy Lowe will be leaving Mercedes-AMG Petronas Motorsport. He has now begun a period of garden leave."
"The company’s Board wishes Paddy well with his future endeavours and thanks him for his significant contribution to the team’s achievements."
"In the short term, our stable technical organisation will continue to operate under the proven and established leadership of our senior directors Aldo Costa (Engineering Director), Mark Ellis (Performance Director), Rob Thomas (Chief Operating Officer) and Geoff Willis (Technology Director)."
Head of Mercedes motorsport Toto Wolff commented, “Paddy has played an important part in our success during the past three and a half years and we thank him for his contribution to this significant chapter in Mercedes’ motorsport history.
“Success in Formula One is not about single individuals but about the strength in depth and technical capability of an organisation.
“We have the talent in place to continue our success of recent years and we plan to build upon it in 2017 and beyond.”
Lowe said, “I have had a fantastically successful and enjoyable three and a half years at Mercedes working with an incredible team of people. I am now looking forward to a new challenge and wish everyone well at Mercedes.”
Lowe's departure comes amid Mercedes' quest to sign Valtteri Bottas to replace retired Nico Rosberg which is now apparently a step closer to being confirmed.
The post Lowe will take up at Williams is yet to be confirmed, however it is expected that he will be the team principal, with Claire Williams taking over as President from her father Sir Frank Williams.
Lowe is expected to become a shareholder of the team.
The 54 year old Englishman, who was instrumental in Mercedes' unprecedented success which began when he joined in 2013, started his Formula 1 career with Williams as Joint Head of Electronic in 1987.
He spent six years with the team, during which time he oversaw the development of active suspension which helped Nigel Mansell win the 1992 World Championship.
With Pat Symonds retiring, Lowe is likely to head up the technical department at Williams with immediate effect to lay the foundation for their next technical director who is rumoured to be Toro Rosso's James Key. The latter will only be able to move to Williams at the end of this season.
It is unknown at this point if Lowe will also assume the role of team principal with immediate effect.
Williams have yet to comment on the matter.
Meanwhile it is expected that former Ferrari technical chief James Allison will replace Lowe at Mercedes.