Arab Press

بالشعب و للشعب
Monday, Mar 09, 2026

0:00
0:00

Why Saudi Arabia’s $50 Billion ‘The Line’ Megacity Slowed — and How Artificial Intelligence Is Reshaping the Plan

Financial pressures, technical hurdles and a strategic shift toward artificial intelligence are driving a major rethink of the futuristic NEOM city project.
Saudi Arabia’s ambitious linear megacity known as The Line has slowed significantly as the kingdom reassesses its scale, cost and long-term economic role, with artificial intelligence emerging as a central factor in the project’s evolving strategy.

The development forms the centerpiece of NEOM, a vast high-technology region on the Red Sea designed to anchor Saudi Arabia’s Vision 2030 transformation program.

First unveiled as a revolutionary city stretching roughly one hundred and seventy kilometres through the desert, The Line was envisioned as a car-free urban corridor powered by renewable energy and capable of housing millions of residents within two mirrored skyscraper walls rising five hundred metres high.

However, years after its launch, construction has slowed and the plan is being reconsidered.

Rising costs, complex engineering challenges and shifting national priorities have forced a strategic review of the project’s scope.

Internal estimates have suggested that the full development could ultimately cost trillions of dollars, far exceeding initial projections.

Financial pressures have been one major factor.

Saudi Arabia’s sovereign wealth fund, which finances NEOM, has had to balance spending on multiple national priorities including large infrastructure programs and major global events scheduled for the coming decade.

These commitments have led officials to reassess the pace and scale of several megaprojects, including The Line.

Technical complexity has also played a role.

The city was designed as a fully integrated “cognitive” urban environment in which artificial intelligence would manage transport systems, logistics networks, energy distribution and public services.

Building such an advanced digital ecosystem across a massive linear structure has proved far more challenging than planners initially anticipated.

Rather than abandoning the project, Saudi planners are increasingly exploring a shift in its economic purpose.

Parts of the NEOM zone are now being examined as potential hubs for artificial intelligence infrastructure, including large-scale data centres that would support the kingdom’s ambition to become a major global player in AI technology.

This pivot reflects a broader technological strategy.

Saudi Arabia has invested heavily in advanced computing resources and AI hardware in recent years, viewing artificial intelligence as a key pillar of its post-oil economy.

Locating data centres in the NEOM region could offer advantages such as access to renewable energy and seawater cooling from the nearby Red Sea, helping address the enormous power and heat demands of modern AI facilities.

At the same time, officials are examining ways to scale The Line into more manageable construction phases.

Earlier plans envisioned an enormous city capable of housing up to nine million residents, but the revised approach may prioritize smaller initial segments and practical infrastructure that can generate economic activity sooner.

Despite the slowdown, NEOM remains one of the most significant development initiatives in the Middle East and a flagship element of Saudi Arabia’s long-term economic transformation.

The ongoing reassessment is widely seen as an effort to align the bold original vision with financial realities and emerging technological opportunities.

As the review continues, the project appears to be evolving from a purely futuristic urban experiment into a broader innovation and technology hub—one where artificial intelligence could ultimately shape both the infrastructure and the economic future of the region.
Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Oil Prices Retreat From Peak as G7 Weighs Release of Strategic Reserves
Pentagon Identifies U.S. Soldier Who Died After Iranian Strike on Saudi Air Base
Why Saudi Arabia’s $50 Billion ‘The Line’ Megacity Slowed — and How Artificial Intelligence Is Reshaping the Plan
United States Withdraws Diplomatic Staff from Saudi Arabia and Southeast Turkey as Regional Conflict Escalates
Fanatics Moves Tom Brady Flag Football Showcase from Saudi Arabia to Los Angeles Amid Regional War
Saudi Arabia Seeks Strategic Support from Pakistan After Iranian Missile and Drone Attacks
Saudi Arabia Begins Oil Output Cuts as Hormuz Disruption Forces Storage Limits
Saudi Arabia Travel Advisory Tightened as Middle East War Triggers Regional Security Alerts
Saudi Arabia Warns Iran It Will Be ‘Biggest Loser’ as Drone Strikes Spread Across Gulf States
Lindsey Graham Urges Saudi Arabia to Join US Effort Against Iran as War Expands
Saudi Crown Prince Holds Strategic Calls With Spanish and Ukrainian Leaders Amid Regional Tensions
Kuwait’s Jazeera Airways Shifts Operations to Saudi Arabia Amid Regional Airspace Disruptions
Saudi Arabian Grand Prix: Why Jeddah’s Night Race Has Become One of Formula One’s Most Distinctive Events
F1 Leadership Addresses Bahrain and Saudi Arabia Races as Middle East Conflict Raises Safety Concerns
Zelenskyy Offers Saudi Crown Prince Assistance to Counter Iranian Drone Threat
Seventh U.S. Service Member Dies from Injuries After Iranian Strike in Saudi Arabia
Civilian Infrastructure Increasingly Hit as Iran Conflict Expands and Saudi Arabia Reports First Fatalities
Saudi Arabia Warns Iran to Halt Attacks and Signals Potential Retaliation
US Embassy in Riyadh Issues Security Alert Urging Americans to Shelter in Place Amid Regional Attacks
Projectile Strike on Saudi Residential Building Kills Two as Regional Conflict Expands
Saudi Arabia Warns Iran While Expanding Diplomatic Efforts to Contain Widening Middle East War
Iran’s President Rejects U.S. Surrender Demand as Drone and Missile Strikes Hit Gulf States
Saudi Arabia Intercepts Drone Swarm Targeting Strategic Shaybah Oil Field
Pakistan Faces Growing Pressure to Balance Ties With Iran and Saudi Arabia as Regional War Intensifies
Middle East Conflict Tests Mohammed bin Salman’s Vision to Transform Saudi Arabia Into a Global Hub
Proposed U.S.–Saudi Nuclear Deal Could Ease Traditional Nonproliferation Requirements
Iran Claims Strike on U.S.-Linked Oil Tanker Near Saudi Waters as Maritime Tensions Escalate
Saudi Arabia Says Air Defences Destroyed 23 Drones and Three Missiles Amid Escalating Regional Conflict
Saudi Arabia Warns Iran Against ‘Miscalculation’ After Missile and Drone Attacks Across Gulf
Iranian Missiles Intercepted Across Gulf as Air Defences Activate in Saudi Arabia, Qatar, UAE and Bahrain
U.S. Justice Department Pursues Criminal Cases Against Cuban Officials in New Legal Push
Abrupt Cancellation of U.S. Army Exercise Sparks Speculation Over Possible Middle East Deployment
Saudi Arabia Led OPEC Output Surge Ahead of Iran Strikes, Survey Finds
Cristiano Ronaldo Travels to Spain for Hamstring Treatment After Injury in Saudi Pro League Match
Saudi Aramco Reroutes Oil to Red Sea as Strait of Hormuz Disruptions Hit Gulf Exports
Saudi Arabia Presses Ahead With Economic Diversification Despite Fiscal and External Deficits
Middle East Conflict Puts Bahrain and Saudi Arabian Formula One Races at Risk
Iran Targets Israeli Diplomatic Site in Bahrain and US Air Base in Qatar as Regional Conflict Expands
Saudi Arabia Intercepts Three Ballistic Missiles Targeting Prince Sultan Air Base
Iran Launches Fresh Missile and Drone Attacks Across Middle East as Regional War Intensifies
Saudi Arabia Opens Direct Communication Channel With Iran in Bid to Prevent Wider Regional War
Saudi Arabia Maintains Strong Fiscal Position Despite Global Uncertainty, Finance Ministry Says
Saudi Arabia Considers Response After Iranian Drone Strike Hits Major Northern Oil Refinery
Saudi Carrier Flynas Plans Limited Flight Resumption to Dubai Amid Regional Tensions
Saudi Arabia and UAE Pledge Close Coordination to Secure Oil Supplies for Japan
Middle East Conflict Casts Doubt Over Bahrain and Saudi Arabian Formula One Races
Iran Rejects Claims of Attacks on Türkiye, Azerbaijan, Saudi Arabia and Oman
Saudi Arabia Condemns Iranian Strikes Targeting Türkiye and Azerbaijan
Saudi Pro League Orders Clubs to Continue Matches Despite Escalating Regional Conflict
Saudi Arabia Scrambles to Redirect Oil Exports as Gulf Storage Nears Capacity
×