20 Jul 2024
RIYADH: 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.
“Driven by the launch of Vision 2030, Saudi Arabia’s entertainment landscape has flourished rapidly,” said Devanshu Mathur, managing director and partner at Boston Consulting Group.
“This transformation was initiated by the reopening of cinemas across the Kingdom in 2018, followed by the establishment of various entertainment offerings in 2019, such as Saudi Seasons and Boulevard Riyadh City, and the introduction of annual live music events like MDL Beast.”
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 acquisition of AMC’s stake in Saudi Arabia reflects SEVEN’s long-term strategy of bringing unparalleled experiences to the people and visitors of the Kingdom and contributing to the Saudi Vision 2030 goals,” said Abdullah Al-Dawood, chairman of SEVEN, at that time.
In the same year, 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.
Al-Dawood added: “Children will be able to learn while having fun at our Play-Doh centers located at SEVEN entertainment destinations.”
The centers will feature multi-level playscapes, creativity stations and sensory discovery activity spaces, as well as a café spot for parents to pass their time.
“SEVEN is currently in its advanced stages of development. This initiative focuses on developing innovative entertainment experiences across multiple regions in KSA, targeting residents and domestic tourists,” said Boston Consulting Group’s Mathur.
In May, Qiddiya Investment Co., owned by PIF, merged with SEVEN as part of Saudi Arabia’s broader strategy to enhance its entertainment ecosystem and accelerate the construction of the multi-billion-dollar project.
Commenting on the incorporation, Al-Dawood at that time stated that the move supported their efforts to promote a culture of playfulness and joy among all members of society, including citizens, residents, and visitors, thereby contributing positively to societal well-being.
He added: “The step also aims to nurture knowledge, skills, and creativity among individuals, ultimately targeting to create a new concept of fun and improving quality of life through the development of an integrated and unprecedented entertainment system.”