Saudi Arabia's Vision:

The vision for Saudi Arabia’s gaming sector is embodied in the statement of His Royal Highness Crown Prince Mohammed bin Salman: "The energy and creativity of Saudi youth and gaming enthusiasts are the driving forces behind the National Gaming and Esports Strategy. This strategy fulfills the ambitions of the gaming community locally and globally by creating unique job opportunities and entertainment experiences, aiming to establish Saudi Arabia as a global hub for gaming and esports by 2030."

Saudi Arabia’s gaming and esports landscape is undergoing a sweeping transformation, driven by a series of strategic government initiatives aimed at creating a world-class ecosystem. This journey began in 2017 with the establishment of the Saudi Esports Federation (SEF), designed to govern and accelerate market growth. Building on this, the SAVVY Gaming Group—an investment arm of the Public Investment Fund (PIF)—was launched in 2021, signaling the Kingdom’s determination to invest in the sector at an unprecedented scale. A major leap came in September 2022, when Saudi Arabia introduced the National Gaming and E-Sport Strategy (NGES), containing 86 initiatives, of which 16 specifically target governance and regulations. This focus on regulation is particularly ambitious: by benchmarking against global best practices and designing frameworks unique to the Kingdom’s needs, Saudi Arabia is forging new standards that few countries have attempted at such scale. It represents a considerable challenge, but one the Kingdom is well-equipped to tackle, thanks to its robust investments, strong leadership support, and commitment to transparent oversight. That commitment was further underscored in December 2023, with the announcement of the Gaming and E-Sports Authority to oversee these efforts and ensure their successful implementation. Collectively, these moves reflect not just a vision to grow the sector, but a deliberate strategy to position gaming at the heart of Vision 2030’s economic diversification—proving that Saudi Arabia has both the ambition and capability to set new benchmarks in the global gaming and e-sport arena.

The Beginning of Transformation:

Saudi Arabia’s journey in gaming can be traced back to 2008 with the launch of Gamer’s Day, the Kingdom’s largest video gaming event and a key gathering for enthusiasts across the GCC. Every year, Gamer’s Day introduces new titles, hosts training sessions, and features strategic partnerships—most notably with PlayStation, which has been on board since 2008. This wide-ranging celebration of gaming laid important groundwork for future developments.

By 2009, Saudi Arabia hosted the first official PES Cup 09 tournament in the Middle East. This moment marked a major shift from viewing gaming as a casual pastime to recognizing it as a competitive, professional pursuit. The tournament’s success spurred significant growth in the local gaming culture, inspiring players to participate in organized competitions and motivating many to become content creators on platforms like YouTube.

The early days of gaming in the kingdom saw the emergence of amateur tournaments and localized events, often organized by enthusiasts. These grassroots initiatives played a vital role in building a sense of community among gamers. Over time, this foundation grew into a structured industry supported by government and private investments. The introduction of esports leagues, competitive teams, and professional tournaments transformed the perception of gaming from a hobby to a viable career path.

As the industry grew, gaming evolved from a hobby into a career path. Teams and organizations emerged, establishing competitive tournaments and attracting a community of skilled players.

Most of these plyers and content creators played pivotal roles in laying the foundation for gaming culture in the kingdom. Meanwhile, channels like True Gaming provided essential coverage, fostering a vibrant ecosystem for gamers and enthusiasts. These pioneers not only entertained millions but also inspired new generations to see gaming as a legitimate and lucrative field.

Accelerated Growth:

The gaming sector in Saudi Arabia is poised for unprecedented growth. Projections indicate a compound annual growth rate (CAGR) of 22.5% between 2023 and 2027. This trajectory is fueled by increased internet penetration, widespread adoption of 5G technology, and the kingdom’s young, tech-savvy population—over 70% of the population is under 35 years old.

Investments in digital infrastructure have significantly enhanced the gaming experience. According to the Communications, Space, and Technology Commission (CST), the GameMode report for Q2 2024 revealed a remarkable 68% improvement in gaming store speed performance and 85% latency performance enhancement across 18 online games. Additionally, latency stability reached 100%, ensuring a smoother gaming experience. The report also highlights that Saudi Arabia now hosts multiple gaming servers locally, optimizing connectivity for players. These advancements not only benefit gamers but also position Saudi Arabia as a leading market for gaming services and technologies, reinforcing the Kingdom’s commitment to becoming a global gaming hub.

Adding to this growth, Saudi Arabia’s strategic geographical location positions it as a gateway to the broader Middle East and North Africa (MENA) market. The MENA region itself is one of the fastest-growing gaming markets globally, providing Saudi Arabia with a unique opportunity to influence regional trends while serving as a hub for international players.

Esports: A Global Force

Saudi Arabia's efforts in esports have reached a historic milestone with the announcement that the Kingdom will host the Esports Olympics in the upcoming years. This prestigious event is a testament to Saudi Arabia's growing influence and leadership in the global gaming and esports sector.

Saudi Arabia has rapidly emerged as a key player in the global esports arena, hosting events that have set new benchmarks for the industry:

The National Gaming and E-Sport Strategy (NGES):

Saudi Arabia’s National Gaming and E-Sport Strategy (NGES) sets a bold vision to establish the Kingdom as a global leader in gaming and E-Sport. On the economic front, the NGES aims to contribute SAR 50 billion to the national GDP by 2030, while generating 39,000 direct and indirect jobs across game development, publishing, and infrastructure. Equally vital is the goal of global leadership, highlighted by plans to produce over 30 internationally competitive games and host premier gaming tournaments. To drive innovation, the NGES champions the creation of state-of-the-art E-Sport centers, investment in cloud gaming platforms, and incentives to attract AAA game developers to the region.

Underlying these objectives is a strong emphasis on sustainability—ensuring that growth benefits future generations without compromising environmental integrity. Through initiatives designed to lessen the ecological impact of gaming events and foster an inclusive community, the NGES strives to build a sector that is both resilient and forward-thinking. By balancing economic ambitions with global competitiveness, innovation, and sustainability, Saudi Arabia underscores its commitment to a vibrant, internationally recognized gaming ecosystem.

Funds in Saudi Arabia Investing in Video Games:

Saudi Arabia has emerged as a major investor in the gaming industry, leveraging its sovereign wealth and strategic funds to secure a foothold in the global gaming landscape. Key funds actively investing in video games include:

Cultural Impact and Local Content

Saudi Arabia recognizes the importance of creating culturally relevant content that resonates with local and regional audiences. Initiatives to develop games that reflect Saudi culture and values are underway, providing a unique identity to the Kingdom's gaming industry. Companies like UMX are leading the charge in producing games with local themes.

Additionally, local content creators and streamers play a significant role in promoting gaming culture.

Demographic Insights:

The kingdom’s gaming community reflects its diverse population. Research by Newzoo highlights the demographic breakdown:

This diversity underscores the broad appeal of gaming across genders and age groups, reinforcing its potential as a mainstream industry. It also highlights the untapped potential within certain segments of the population, particularly female gamers and older age groups.

Saudi Arabia's gaming and esports sector is more than just an emerging industry; it is a cultural and economic phenomenon reshaping the Kingdom's global identity. By combining innovation, inclusivity, and strategic vision, Saudi Arabia is poised to lead the global gaming industry into a new era.

As Saudi Arabia cements its position as a global powerhouse in gaming and esports, opportunities for entrepreneurs and investors are rapidly expanding. But how can startups and foreign investors navigate this thriving ecosystem and capitalize on the Kingdom’s bold vision? In our next article, we’ll unveil a comprehensive guide to launching and scaling businesses in Saudi Arabia’s gaming sector—covering everything from regulatory frameworks and investment incentives to industry partnerships and growth strategies. Stay tuned as we break down the key steps to success in one of the fastest-growing gaming markets in the world

Author: Abdulrahman Alammar

A corporate law expert specializing in the gaming and esports industry, he has advised multinational corporations, gaming studios, and regional organizations on M&A, contract structuring, and regulatory compliance. With a strong focus on governance and restructuring, he also serves as Legal Advisor to one of the region’s top esports clubs. Previously, at The General Authority for Competition (GAC), he played a key role in high-profile acquisitions and regulatory frameworks.