Sergio Perez's departure from Red Bull's Formula 1 team is likely to be confirmed before Christmas, sources have told ESPN.
Since the Abu Dhabi Grand Prix Perez has been negotiating whether to remain on as an ambassador in 2025 or to walk away from the Red Bull company entirely.
An ambassadorial role would include marketing appearances and show runs - Perez signed a two-year contract extension to stay with Red Bull in May of this year.
Red Bull contracts bind the driver to the company, rather than a particular team.
The news is expected to be announced this week once Perez has decided which option he wants to take, although it is unclear whether Red Bull has given him a deadline to make that call.
Sources have told ESPN that Red Bull has already decided on Liam Lawson as his replacement.
The New Zealander will make the step up with just 11 races under his belt across two stints at junior team RB in 2023 and 2024.
Breaking down the key statistics from Sergio Perez's Red Bull career so far, and how he compares to his championship-winning teammate Max Verstappen.
Formula 2 runner-up Isack Hadjar would then move into Lawson's spot alongside Yuki Tsunoda, who is set for a fifth straight season at the company's junior team.
Perez's future beyond this decision is unclear.
Whichever option he takes, he will not be racing in Formula 1 in 2025 with all 20 seats at 10 teams filled.
Cutting ties with Red Bull entirely would likely free him up to race in other categories next season.
General Motors' incoming Cadillac team, which has an agreement in principle to join the grid in 2026 as an 11th squad, could present an immediate route back for the Mexican driver.
