( CNN ) Oracle Team USA will make its defense of the America 's Cup in 2017 off the island of Bermuda , a British overseas territory in the Atlantic Ocean . The announcement was made Tuesday at a glitzy ceremony in New York , attended by Hollywood film stars Michael Douglas and Catherine Zeta Jones , who have been residents of Bermuda . It will be the first time that an American syndicate has defended the prestigious trophy in foreign waters in a competition dating back to 1851 . `` In Bermuda we have a perfect international venue to demonstrate the excitement America 's Cup boats and teams can generate , '' commercial commissioner Harvey Schiller was quoted on the event 's official website . `` One spot , '' he said `` offered everything we needed to make the 2017 America 's Cup an exceptional event . '' The 2013 staging in San Francisco saw Oracle make a successful defense of the Cup in one of the most exciting finales in its history , beating Team New Zealand in the deciding race . New Zealand will join four other challengers , Artemis Racing of Sweden , the UK syndicate Ben Ainslie Racing , Luna Rossa Challenge from Italy and Team France , who will battle to earn the right to challenge Oracle for sailing 's most prestigious honor . 62-foot catamarans have been chosen for the racing and Oracle 's skipper Jimmy Spithill is already looking forward to the task ahead . `` Racing in Bermuda will be an incredible experience for the spectators , both on-site and for those watching the broadcast , and for the sailors , it 's going to be very challenging , '' he said . `` I 've raced there several times and the variety of conditions means you can never let your guard down . We 'll all need to be at the top of our game to have success and that 's how it should be . '' It is a major boost for the economy of Bermuda , which is heavily reliant on tourism and financial services , fighting off the reported challenge of San Diego in California for the staging rights . Bermuda Premier Michael Dunkley said he hoped his island would host an `` unforgettable experience '' for those present or watching on television . `` We thank the America 's Cup for their confidence in us -- and for their vision to evolve the experience for spectators and participants alike . `` This announcement today marks an exciting new chapter for Bermuda too . That our futures are linked in such a meaningful way will make for a great partnership , '' he said . Renowned as a playground for the rich , Douglas , whose mother is Bermudian , is developing a resort complex , he first revealed on official Facebook page back in April .
Bermuda chosen to host 2017 America 's Cup . San Francisco staged last competition in 2013 . America 's Cup is sailing 's oldest event with 163-year history . Comment: