Shelving Neom Stadium Signals Shift in Saudi Arabia’s 2034 World Cup Ambitions

Saudi Arabia appears to be abandoning plans for the Neom Stadium, a centerpiece of its bid for the 2034 FIFA World Cup. Originally hailed as “the most unique stadium in the world,” the venue was designed to be integrated into The Line, a 170-kilometer futuristic city being constructed in the desert. According to a recent Reuters report, the stadium—which the kingdom’s official bid book described as rising 350 meters above ground with a roof formed by the city itself—will no longer be built for the tournament.

The Neom Stadium was slated to host a quarterfinal and several other matches. Its cancellation marks a significant reduction in one of the kingdom’s most ambitious sports infrastructure projects, raising questions about the overall scope of the 2034 World Cup preparations.

F. Gregory Gause III, a regional expert at the Middle East Institute in Washington D.C., told DW that signs of the project’s demise were visible months ago. “When I was in Saudi Arabia in December there were already plenty of signals that the whole Neom project was being put on the back burner, if not abandoned altogether,” Gause said. He attributed the move to a broader re-evaluation of Saudi fiscal priorities, influenced by pre-war oil market conditions and the economic damage caused by the ongoing conflict with Iran.

Saudi Arabia’s aggressive sports spending strategy, which brought global stars like Cristiano Ronaldo to its domestic league and funded various international events, has slowed significantly. The kingdom recently withdrew funding from LIV Golf and scaled back commitments in snooker, tennis, and rugby. It also abandoned plans to host the 2029 Asian Winter Games in Neom, which were transferred to Almaty.

Yasir Al-Rumayyan, governor of the Public Investment Fund (PIF)—the sovereign wealth fund that owns Newcastle United—stated earlier this year that the PIF is reassessing its priorities amid regional instability. Kristian Coates Ulrichsen, author of “Kingdom of Football” and a fellow at Rice University, noted that Neom is now being repurposed as an industrial hub on the Red Sea, a shift driven by the urgency created after the Strait of Hormuz was effectively blocked.

Observers have drawn parallels between Saudi Arabia’s current trajectory and Qatar’s lead-up to the 2022 World Cup, where twelve planned stadiums were reduced to eight. Qatar faced its own regional disruptions following the Arab Spring shortly after securing the bid. In Saudi Arabia’s case, the timing was even more precarious: FIFA announced Saudi Arabia as the sole bidder for the 2034 tournament on October 4, 2023, and conflict erupted in the region just three days later with the events of October 7.

Despite the setbacks, Ulrichsen argued that the World Cup remains a top priority for Riyadh due to its global profile and the desire to surpass or at least match Qatar’s hosting legacy. Regional rivalry with Qatar, despite improved diplomatic ties since 2021, continues to motivate Saudi ambition.

While the final format may differ from initial plans, the upcoming Gulf Cup final served as a positive indicator. Saudi Arabia successfully hosted the event with full stadiums and no major security incidents. However, Ulrichsen suggested that future venues might concentrate in Riyadh and Jeddah rather than eastern cities like Al Khobar and Al Ahsa, which are closer to Iran across the Persian Gulf and could pose security risks depending on the political climate.

The Asian Cup in January will serve as a critical test of Saudi Arabia’s ability to organize major tournaments under current conditions. With nearly eight years remaining until the 2034 World Cup, the long-term outlook remains uncertain, but the tournament is expected to proceed—likely in a modified form compared to the original vision.