Saudi Arabia and the International Olympic Committee have dissolved a 12-year deal to hold the Esports Olympics to Riyadh, including the inaugural tournament. The IOC announced on Thursday that it alongside officials from the kingdom have "mutually agreed to end the co-operation on the Olympic Esports Games".
The partnership was announced during the 2024 Paris Olympics. The first Esports Olympics was originally scheduled for this year, but was recently postponed to 2027.
The Olympic event was touted as a signature asset in Saudi Arabia's drive to acquire and develop sports as part of the Vision 2030 programme, driven by Saudi Crown Prince Mohammed bin Salman.
"At the same time, both parties are committed to pursuing their own esports ambitions on separate paths," ICO said.
Saudi Arabia already stages the Esports World Cup in Riyadh, and the Saudi sovereign wealth fund also financed a $55 billion buyout of major video game developer Electronic Arts in September. Investment partners in the deal include a firm managed by Jared Kushner, the son-in-law of US President Donald Trump.
The Esports World Cup held in the kingdom feature games such as Call of Duty and Counter-Strike – titles that have long posed a challenge for the IOC to endorse, owing to their violent content. When the Esports Olympics partnership was announced last year, then-IOC president Thomas Bach stressed that Olympic values must be upheld, particularly in the choice of games.
In light of the latest announcement, IOC said it will "develop a new approach" to the video gaming Olympics and "pursue a new partnership model".
“This approach will be a chance to better fit the Olympic Esports Games to the long-term ambitions of the Olympic movement," it said, adding that it plans to host "the inaugural Games as soon as possible".
Meanwhile, Saudi Arabia will host the third annual Esports World Cup next summer. The second world cup had 1,500 players from more than 100 countries, taking part in 25 games and competing for a total of $71.5 million - the biggest prize pool in a video game tournament.
At the end of the tournament, the Esports World Cup Foundation announced the creation of Esports Nations Cup, a biennial event where players will represent their countries rather than their clubs.
Riyadh is set to host the inaugural event in November 2026, with major publishers including Electronic Arts, Krafton, Tencent and Ubisoft involved in its development.
