As more people consume content at home on streaming platforms, digital stadiums can be a potential game-changer for Saudi Arabia’s sports sector, a new report has said.
According to PwC Middle East, digital stadiums can not only transform fan experiences but also change the operational dynamics of the sector, as the Kingdom prepares to host a series of sporting events.
To compete with the growing appeal of at-home streaming, the report emphasizes the role of immersive, tech-driven sports facilities. By leveraging technologies such as 5G, cloud computing and extended reality (XR), digital stadiums will create unparalleled and engaging experiences.
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“Sports is playing a pivotal role in the Kingdom’s Vision 2030 ambition to create a vibrant society and thriving, diversified economy. Saudi Arabia is rapidly emerging as a global sporting hub as it gets ready to host more high-profile international events, such as the 2027 AFC Asian Cup and 2034 FIFA World Cup, while investing in world-class facilities and local sports development,” the report said.
“Saudi Arabia’s ambitious goals and unique approach have the potential to not only reshape its sports landscape within its borders but also set international standards. By transforming the overall fan experience for live sports and operational efficiency of stadiums through digitalisation, Saudi Arabia stands to position itself as a global leader in sports,” said Hesham Ghaleb, smart destinations partner at PwC Middle East.
Growth potential
The digital stadium sector is projected to witness significant growth, expanding by 20.6 percent annually between 2025 and 2037 to reach $191.7 billion, driven by the need for more efficient stadium operations and demand for enhanced fan experiences. An Intel survey reported that 77 percent of sports fans are willing to spend more on tickets to a digital stadium, while 88 percent believe that technology enhances their viewing experience.
AI-driven systems and IoT solutions further enhance event management and reduce costs through predictive maintenance, personalized advertising and data-driven insights. These technologies can also help optimize energy consumption and overall carbon footprint, supporting the Kingdom’s commitment to sustainable development and environmental stewardship.
Between 2020 and 2024, 18 stadiums were rebuilt and 32 new ones were constructed globally, as investment in physical assets has surged, rising from 4.5 percent to 6.2 percent of revenue and surpassing €800 million in 2023.
Tech’s key role
In the region, the benefits of digital stadiums have become increasingly evident. During the 2022 FIFA World Cup, AI-driven cybersecurity measures and crowd management tools ensured a secure and seamless event, demonstrating the value of these advanced technologies. Qatar’s 8 percent increase in real GDP in Q4 2022 also underscores the economic impact of digital stadiums, which were integral to the success of the tournament.
By prioritizing key elements, such as elevating stadiums into advanced digital environments, mapping user personas and tailoring digital experiences with tools like AR and interactive apps, the Kingdom can ensure the ultimate success of these stadiums.
