Carlos Sainz said an "exceptionally complex" Formula One driver market delayed his decision to sign a two-year deal with Williams from next season.
The Spaniard will leave Ferrari at the end of 2024 after seven-time world champion Lewis Hamilton was announced as his replacement earlier in the year.
Sainz has won three F1 races in his career to date, the latest of which came at the Australian Grand Prix in March.
For the first time in F1 history, the 2024 season saw all teams on the grid stick with the same driver line-up from the year before but there is much more upheaval ahead of 2025.
Having previously driven for Toro Rosso, Renault and McLaren, Sainz had been linked with a number of seats for the 2025 season including Alpine, Sauber and Mercedes.
However, his immediate future was decided on Monday when it was confirmed he has agreed an initial two-year deal with Williams.
"I am very happy to announce that I will be joining Williams Racing from 2025 onwards," he said.
"It is no secret that this year's driver market has been exceptionally complex for various reasons and that it has taken me some time to announce my decision.
"However, I am fully confident that Williams is the right place for me to continue my F1 journey and I am extremely proud of joining such a historic and successful team, where many of my childhood heroes drove in the past and made their mark on our sport.
"The ultimate goal of bringing Williams back to where it belongs, at the front of the grid, is a challenge that I embrace with excitement and positivity.
"I am convinced that this team has all the right ingredients to make history again and starting on 1 January I will give my absolute best to drive Williams forward alongside every single member of the team."
Sainz will replace Logan Sargeant at Williams, where he will partner Alex Albon.
Williams have struggled in recent seasons and last took a podium finish in 2021, with their last victory coming courtesy of Pastor Maldonado's shock victory at the 2012 Spanish Grand Prix.
"Carlos joining Williams is a strong statement of intent from both parties," said Williams team principal James Vowles.
"Carlos has demonstrated time and again that he is one of the most talented drivers on the grid, with race-winning pedigree, and this underlines the upwards trajectory we are on.
"Carlos brings not just experience and performance, but also a fierce drive to extract every millisecond out of the team and car; the fit is perfect.
"In Alex and Carlos we will have one of the most formidable driver line-ups on the grid and with huge experience to guide us into the new regulations in 2026."
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