The Neom project in Saudi Arabia may undergo a major revision, as reports indicate that The Line, the planned 170-kilometre linear city, could transform into a data centre hub. Officials are considering this change to support the kingdom’s ambitions in artificial intelligence (AI). Consequently, the project could shift from a futuristic city to a technology-focused innovation centre.
The proposed change follows growing concerns about The Line’s feasibility, slow progress, and rising costs since Neom’s launch in 2017. Moreover, observers note that these challenges have prompted a strategic reevaluation of the scope of the Neom project
In addition, declining oil prices have put pressure on government budgets. Coupled with high spending on initiatives like the 2030 Expo and the 2034 FIFA World Cup, liquidity constraints have increased. Therefore, officials are rethinking Neom’s scale and its original vision.
Originally, The Line aimed to create a revolutionary linear city, featuring zero cars, zero streets, and fully sustainable energy systems. However, experts argue that repurposing it as a data and AI hub could provide faster economic returns and align with global technology trends.
Furthermore, Saudi Arabia’s interest in AI and digital infrastructure is growing rapidly. “Pivoting Neom toward data centres and AI development can enhance the kingdom’s tech capabilities while managing financial risks,” said a Middle East technology analyst. As a result, this approach may attract more international investment.
Additionally, the revised project could become a regional hub for cloud computing, AI research, and technology innovation. This shift would help the kingdom strengthen its position in the Middle East’s digital economy.
The revision plan underscores Saudi Arabia’s flexible approach to megaprojects. Officials remain committed to Neom’s broader vision; however, they aim to prioritize initiatives with faster returns and strategic benefits.
Looking ahead, authorities are expected to announce a new roadmap for Neom later this year. By balancing futuristic ambitions with economic realities, the kingdom can ensure the project supports innovation, employment, and long-term growth.
Saudi Arabia Neom remains a symbol of the kingdom’s ambition. Yet, adapting its plans highlights the challenges of large-scale projects amid economic pressures and evolving technological priorities.
