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Saudi Arabia Scales Back Neom, Recasts The Line for Data and AI

Budget pressure from weaker oil prices plus major event commitments prompts a pragmatic reset.

Overview

  • Crown Prince Mohammed bin Salman has decided to drastically shrink Neom after a comprehensive review reported by the Financial Times.
  • The Line, originally planned as a roughly 170‑kilometer linear city, will be made much smaller and fundamentally rethought rather than pursued in its original form.
  • Trojena will be scaled down, and the government has postponed the 2029 Asian Winter Games that were slated for the mountain resort.
  • Officials are pivoting the project toward data centers and AI facilities, citing advantages such as seawater cooling on the Gulf of Aqaba and abundant renewable power.
  • Authorities frame the move as reprioritization, with revised plans expected in the coming months as the PIF faces scrutiny to deliver returns alongside Expo 2030 and the 2034 World Cup commitments.