The Socialist Party of Serbia, which was the dominant political force in Serbia and the Federal Republic of Yugoslavia between 1990 and 2000, lost its hold on power after the defeat of party leader Slobodan Milošević in the 2000 Yugoslavian presidential election and his subsequent downfall in the 5 October Revolution. The party entered an internal crisis after this time, and on 17 October 2000 several formally prominent SPS figures, including Vučelić, called for Milošević's removal as leader. Their efforts were unsuccessful; Milošević was able to consolidate his control over the party organization and remained as SPS leader until his death in 2006.[1]
Vučelić founded the Democratic Socialist Party on 17 November 2000. Its members included several other former Socialists, most notably Borisav Jović.[2] In announcing the party's formation, Vučelić was quoted as saying, "Unfortunately, the fate of the SPS is in the hands of the leadership that has caused great damage to it so far. With that leadership, there will not be too many voters and too many people left in the party."[3] He described the DSP as a "modern democratic party with a leftist, socialist orientation" and said that he was open to working with other leftist democratic parties.[4]