Saudi Refocuses Esports Strategy After Ending Olympic Esports Hosting Role

Saudi Arabia will no longer host the inaugural Olympic Esports Games after a mutual agreement with the International Olympic Committee (IOC) to end their partnership. The decision marks a notable shift in the Kingdom’s esports policy, with greater emphasis now placed on expanding and developing the Esports World Cup – a major competition already owned and operated from Riyadh. Rather than pursuing an IOC-aligned model, Saudi Arabia appears to be prioritising control over its own esports ecosystem, reflecting a broader trend of consolidating sports and entertainment assets under national strategy.

The IOC’s confirmation of the cancellation brings to a close plans that had formed part of a 12-year cooperation framework. For Saudi Arabia, however, the move represents less a withdrawal from esports than a redirection of focus. The Esports World Cup has quickly become one of the world’s largest competitive gaming events by participation and prize pool, and by centring its attention on this platform, the Kingdom retains full control over competition formats, commercial partnerships and long-term development.

Strategically, the change enables greater flexibility. Hosting under the IOC’s governance would have imposed limitations on the choice of game titles, scheduling and sponsorship categories, all areas where Saudi Arabia has invested heavily in autonomy. The Esports World Cup’s independently governed model allows the Kingdom to align content with its domestic entertainment agenda while maintaining appeal to global publishers and teams.

For the IOC, Saudi Arabia’s withdrawal highlights the ongoing complexity of integrating esports into traditional Olympic frameworks. While the Olympic Esports Week in Singapore in 2023 demonstrated potential for engagement, a full-scale Games requires careful coordination across multiple commercial, regulatory and technological boundaries. The IOC has stated it will explore alternative hosting options and maintain dialogue with esports stakeholders to determine future plans.

From a business perspective, the development signals how national sports strategies are evolving toward asset ownership rather than event licensing. Saudi Arabia’s focus on the Esports World Cup – backed by significant government and private investment – aligns with its broader goal of positioning the country as a global hub for gaming and digital entertainment. The tournament’s structure, combining professional competition with fan-focused activations, fits into the Kingdom’s wider effort to create sustainable, locally controlled sports properties.

In practice, the decision underscores a pragmatic shift: while association with the Olympic movement carries prestige, building a proprietary platform offers Saudi Arabia longer-term influence, flexibility and commercial value.