After the championship match ended in a draw, Karpov won the rapid playoff, becoming the 1998 FIDE World Chess Champion.

In 1997, FIDE president Kirsan Ilyumzhinov proposed a completely new structure: a knockout tournament, consisting of two-game matches (slightly longer in the final rounds), with match tie-breakers using rapid chess and blitz chess if necessary.

The format was then modified to have FIDE champion Karpov seeded directly into the final.

1 Kramnik (ranked 2nd in the world) declined participation on the grounds that Karpov's direct entry into the final was unacceptable.

Karpov as defending FIDE champion was seeded directly into the championship match.