The Rise of Saudi Arabia as an Entertainment Powerhouse
When Saudi Arabia launched the General Entertainment Authority in 2016, skeptics were doubtful about its outcome as the Kingdom was just taking its nascent steps in the sector.
Today, Saudi Arabia stands at the forefront of leisure and entertainment in the Middle East and North Africa, driven by ambitious investments and strategic initiatives under Vision 2030.
Under this program, the Kingdom aims to inject $64 billion into the industry by the end of the decade, accompanied by the creation of over 100,000 jobs.
From sprawling entertainment complexes in major cities to a thriving cinema sector, Saudi Arabia exemplifies how determined regulatory policies can transform a nascent industry into a pillar of economic growth and cultural development.
SEVEN’s Expansion
A pivotal milestone in Saudi Arabia’s entertainment journey was the establishment of Saudi Entertainment Ventures, also known as SEVEN, in 2017.
Backed by the Kingdom’s Public Investment Fund, the company is set to invest $13.3 billion with international partners to develop 21 comprehensive entertainment destinations featuring over 150 attractions across 14 Saudi cities by the decade’s end.
In 2023, SEVEN acquired AMC Entertainment Holdings’ 85 cinema screens in Saudi Arabia, solidifying its commitment to enhancing the Kingdom’s cinematic landscape.
The company also signed a landmark agreement with Hasbro Inc. to introduce Play-Doh-themed entertainment centers nationwide, aimed at nurturing creativity among children while providing engaging family experiences.
SEVEN aims to develop innovative entertainment experiences across multiple regions in KSA, targeting residents and domestic tourists.
Cinematic Evolution
Since the opening of the first cinema hall in the Kingdom in 2018, the sector has continually evolved, with the industry generating around $240 million in 2023.
The number of cinema screens in Saudi Arabia has surged from zero to over 600, reflecting substantial growth in infrastructure.
Saudi Arabia’s box office market is the 15th largest in the world, and the expansion of cinemas extends beyond major cities to include 22 cities across the Kingdom.
In February, the Kingdom’s MEFIC Capital launched the Saudi Film Fund with a capital injection of $100 million, aiming to elevate local productions to international standards.
Global Opportunities
Foreign companies seeking to enter Saudi Arabia’s entertainment sector have vast opportunities due to the industry’s nascent stage.
Notable examples include Majid Al Futtaim’s VOX cinemas and Magic Planet entertainment centers, which have successfully introduced their renowned brands to the Kingdom.
Saudi Arabia’s entertainment sector is set for significant growth with major projects like Qiddiya City, an expansive entertainment, sports, and cultural destination near Riyadh.
These landmarks are expected to attract millions of visitors annually, establishing Saudi Arabia as a global entertainment hub.