Alinghi boss Ernesto Bertarelli kisses the America's Cup

Swiss champions Alinghi retained the Cup against Team New Zealand in Valencia to earn the right to decide on the logistics of the next event.

A final decision has yet to be reached but must be made by 31 December.

"We have several good European candidates," said Michel Bonnefous, the chairman of the organisers.

"If it is Valencia, the Cup will be contested in 2009, if not it will be staged at the latest by 2011.

"By staying here we could focus on improving the media and communications aspect of the Cup whereas if we move away it'll take resources away.

"Then again, if we change place it will give a new flavour to the America's Cup so both are interesting."

Trapani in Sicily is the only other declared candidate at this stage but a bidding process will open in the next few months should Valencia be ruled out.

The new boats will be bigger, faster and harder to sail Alinghi skipper Brad Butterworth

The 33rd edition of the race will also feature bigger, faster yachts, but the competition will not start for at least 18 months after the design rules of the new class are published.

America's Cup organisers said on Thursday that the new yachts would be 90ft long or 27.4m. This year's boats measured 24m in length.

"These boats will be bigger, faster and harder to sail," said Alinghi skipper Brad Butterworth.

"There will be no electronic or hydraulic winches so the guys will have to be athletic."

The exact design rule of the new yacht will be decided by the end of the year, according to Bonnefous.

There will also continue to be no limit on the nationality of team members, though sailors will not be allowed to change teams from 1 October 2008.

This America's Cup has been a four-year campaign, including a series of warm-up and qualifying regattas called the Louis Vuitton Cup, which had races in France, Italy and Sweden as well as Valencia.

Alinghi clinched the Auld Mug trophy 5-2 in one of the closest series in the contest's 156-year history.