Mercedes has confirmed it will enter Formula E at the start of the 2019/2020 season and quit DTM at the end of 2018.
The decisions will not impact on the German manufacturer's position in Formula One, which was recently bolstered by the announcement of a renewed title sponsorship deal with Petronas until 2020.
However, the decision to join Formula E does underline a shift in thinking in the motor industry as Mercedes becomes the latest major manufacturer to join the all-electric racing series.
Audi is set to step up its involvement with the Abt team next season while BMW recently announced its intention to run a works team with Andretti Autosport from the start of the 2018/2019 season.