Saudi Arabia’s Neom Project Faces Collapse Amidst Dysfunction and Funding Issues

Saudi Arabia’s ambitious Neom project, a planned futuristic city in the desert, is facing a potential collapse due to internal dysfunction, unrealistic designs, and a failure to attract sufficient investment, according to sources familiar with the project.

At the heart of Neom is “The Line,” a proposed 105-mile-long linear city intended to house 9 million people by 2030. However, the project has been plagued by engineering challenges, including a planned 30-story “chandelier” building suspended over a marina that one architect warned could “break off” and crash due to the Earth’s rotation and structural sway. “You do realise the earth is spinning? And that tall towers sway?” the architect reportedly asked Tarek Qaddumi, The Line’s executive director. Construction work has slowed significantly across Neom, with the exception of the Trojena ski resort, intended to host the 2029 Asian Winter Games.

More than $50 billion has already been spent on the project, leaving the desert landscape marked by extensive groundwork, but Prince Mohammed bin Salman, who chairs Neom, has dramatically scaled back initial plans. While Neom officials maintain that The Line remains a “strategic priority” and a “multi-generational development,” sources indicate that many involved believe the project is unsustainable. A senior construction manager told sources that he believes The Line will never be built, as securing further funding has proven impossible. This setback could impact Saudi Arabia’s efforts to diversify its economy and attract foreign investment, a key component of its Vision 2030 plan.

The difficulties with Neom come as Saudi Arabia seeks to improve its international image and position itself as a hub for technology and innovation. However, reports of worker deaths and challenging labor conditions, as documented by Human Rights Watch, continue to raise concerns. Neom representatives stated that The Line will “provide a new blueprint for humanity by changing the way people live,” but acknowledged the unprecedented scale and complexity of the undertaking.

Officials have indicated that the project is undergoing reassessment, and further announcements regarding its future are expected in the coming months.