{"id":100562,"date":"2025-12-19T02:35:20","date_gmt":"2025-12-19T02:35:20","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ca\/100562\/"},"modified":"2025-12-19T02:35:20","modified_gmt":"2025-12-19T02:35:20","slug":"hollywoods-hot-cash-source-the-previously-shunned-saudi-arabia","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ca\/100562\/","title":{"rendered":"Hollywood’s hot cash source: The previously shunned Saudi Arabia"},"content":{"rendered":"\n

Earlier this month, when billionaire tech mogul Larry Ellison needed more money to bolster Paramount\u2019s hostile takeover bid<\/a> for Warner Bros. Discovery, he and his family turned to a lucrative source: Saudi Arabia.<\/p>\n

The kingdom\u2019s sovereign wealth fund backed a $24-billion financing package<\/a> in support of Paramount Skydance\u2019s $78-billion play for Warner, which had already accepted an offer from Netflix<\/a> for its film and TV studio, HBO and HBO Max.<\/p>\n

Less than a week earlier, it was reported the same sovereign fund would scoop up nearly all of Redwood City-based gaming giant Electronic Arts in a proposed $55-billion deal<\/a> \u2014 the biggest leveraged buyout on record. <\/p>\n

Saudi Arabia\u2019s prominent role in some of the most consequential Hollywood deals in a generation is just the latest and perhaps the most audacious move by the kingdom to expand its footprint in the U.S. entertainment and sports arenas. <\/p>\n

The deals underscore how dramatically Saudi Arabia has changed the narrative from only a few years ago, when it was deemed a pariah by many in Hollywood. <\/p>\n

The gruesome murder of journalist Jamal Khashoggi<\/a> seven years ago did little to dispel the kingdom\u2019s image as a repressive theocracy, where beheadings in public squares took place and where, until 2018, women were prohibited from driving and movie theaters were banned.<\/p>\n

Suddenly, however, the Saudis and \u2014 more specifically their money \u2014 are everywhere in the U.S. entertainment industry. <\/p>\n

Inside the kingdom\u2019s gilded palaces, industry players are mingling with princes and executives, while celebrities stroll red carpets at festivals, concerts and sporting events from Riyadh to Jeddah. Even Comcast Chairman Brian Roberts visited the kingdom last month, reportedly on theme park business.<\/p>\n

The willingness to re-engage with the Saudis has been driven by several forces, first and foremost: Hollywood\u2019s insatiable need for new funding sources.<\/p>\n

Studios have been squeezed on multiple fronts following the pandemic, strikes by actors and writers, media consolidation and upheaval caused by streaming. All of which has made the kingdom\u2019s vast resources an enticing destination to bankroll film and TV projects.<\/p>\n

\u201cHollywood has never been shy about taking other people\u2019s money, and now they need it more than ever because of the completely new set of business challenges production companies are facing,\u201d said Gabriel Kahn, a professor at the USC Annenberg School for Communication and Journalism.<\/p>\n

Saudi Arabia itself has assiduously courted investment in U.S. sports and entertainment industries in a yearslong effort to soften its image and diversify its economy, which is heavily reliant on the oil industry.<\/p>\n

Last year, 17.5 million movie tickets were sold worth $225 million in box-office revenue, according to the Saudi Film Commission.<\/p>\n

They want \u201cto be part of this global cultural exchange, which they\u2019ve never been part of before,\u201d Kahn added. \u201cThat\u2019s classic soft power.\u201d<\/p>\n

The political climate has also contributed to the high-wattage normalization of Saudi Arabia.<\/p>\n

The Trump administration has openly embraced Saudi Crown Prince Mohammed bin Salman<\/a>. Trump recently hosted Bin Salman at a dinner at the White House attended by several notable entertainment and tech moguls, including his friend Larry Ellison, who is backing the Paramount bid led by his son, David.<\/p>\n

\"Saudi <\/p>\n

Crown Prince Mohammed bin Salman is behind the drive to diversify Saudi Arabia\u2019s oil economy with a heavy focus on entertainment.<\/p>\n

(Alastair Grant \/ Associated Press)<\/p>\n

President Trump\u2018s son-in-law Jared Kushner\u2019s private equity firm<\/a>, Affinity Partners, is part of the funding consortium for the massive EA deal.<\/p>\n

\u201cThe stigma of some of their human rights abuses has worn off. [Executives] don\u2019t care as much about Khashoggi, versus the need for funding,\u201d said Andrew Leber, a nonresident scholar at the Carnegie Endowment for International Peace.<\/p>\n

\"Best <\/p>\n

Best picture \u201cAnora\u201d winner Sean Baker headed the jury at this year\u2019s Red Sea International Film Festival.<\/p>\n

(Jason Armond \/ Los Angeles Times)<\/p>\n

Rolling out the red carpet<\/p>\n

The new normal was apparent during the opening ceremony of this month\u2019s Red Sea International Film Festival. Jury head Sean Baker, who won four Oscars last year, including director, for \u201cAnora,\u201d said he was \u201cincredibly excited\u201d to be in the country, which he compared to the \u201cearly days of Hollywood.\u201d<\/p>\n

\u201cAs a cinephile whose world is movies, the leaps and bounds happening here are insightful, inspirational and heartwarming,\u201d he said.<\/p>\n

Baker joined a constellation of stars at the festival\u2019s fifth edition that included two-time Oscar winner Adrien Brody as well as Kirsten Dunst, Vin Diesel and Queen Latifah. Michael Caine and Sigourney Weaver received tributes. <\/p>\n

\"Oscar <\/p>\n

Oscar winner Adrien Brody participated in the \u201cIn Conversation\u201d series at this year\u2019s Red Sea International Film Festival.<\/p>\n

(Vittorio Zunino Celotto \/ Getty Images for the Red Sea International Film Festival)<\/p>\n

Representatives for those actors did not respond to requests for comment.<\/p>\n

During the festival, many A-listers expressed their admiration for the event\u2019s support of an array of voices and applauded the kingdom\u2019s efforts to champion moviemaking. <\/p>\n

Actor Dakota Johnson said she felt \u201cinspired\u201d<\/a> and praised the country\u2019s movie business, saying it had \u201crenewed my faith in cinema.\u201d<\/p>\n

\"Gwyneth <\/p>\n

Gwyneth Paltrow alongside the chief executive of the Red Sea International Film Festival, Mohammed Al Turki, on the red carpet in Jeddah in 2023.<\/p>\n

(Tim P. Whitby \/ Getty Images for the Red Sea International Film Festival)<\/p>\n

While it is unclear how much this year\u2019s attendees were paid, in past years it was reported that many earned seven figures. Director Spike Lee was said to have pulled down $3 million to head last year\u2019s jury. Two years ago, Will Smith reportedly received $1 million, while Gwyneth Paltrow earned $1.6 million, according to her biographer Amy Odell.<\/p>\n

A representative for the festival did not respond to specific questions about compensation for attendees, but said in a statement to The Times: \u201cWe on occasion engage with talent on a contractual basis for work we ask them to do at the festival, which includes labs, in conversations, mentorship sessions with emerging regional talent.\u201d<\/p>\n

\u201cThere\u2019s definitely been some pushback,\u201d said one publicist who was not authorized to speak publicly. \u201cI have some clients that won\u2019t go. But most of them, if you pay them enough money, they forget about human rights.\u201d <\/p>\n

The Red Sea Film Foundation \u2014 which runs the film festival and was founded by Prince Badr, the kingdom\u2019s first culture minister \u2014 has increasingly played a role in financing Hollywood films, which has also helped secure splashy top talent to its red carpet.<\/p>\n

Two years ago, the foundation announced investments in three films, including Michael Mann\u2019s \u201cFerrari,\u201d which had just premiered there.<\/p>\n

The film, which cost $95 million, had a bumpy road to financing. Mann and his lead stars Adam Driver and Pen\u00e9lope Cruz took salary cuts to get the film made.<\/p>\n

\u201cAt the 11th hour, Red Sea came in and gave him some finishing money for the film,\u201d said an individual familiar with the film who was not authorized to speak publicly, adding, \u201cthat was sort of, \u2018OK, we do this and you\u2019re going to try to make it to the festival.\u2019\u201d Unable to attend that year, Mann was at the festival in 2024 for a special screening of his movie \u201cHeat.\u201d <\/p>\n

A kingdom of opportunity<\/p>\n

Saudi investment in Hollywood isn\u2019t new. Prince Alwaleed bin Talal, whose grandfather was Saudi Arabia\u2019s founding monarch, helped bail out Euro Disney in the 1990s<\/a> and two decades later.<\/p>\n

The kingdom\u2019s latest push began in 2016, when Bin Salman launched the country\u2019s ambitious modernization project: Vision 2030, to diversify the kingdom\u2019s economy and enact a spate of social and cultural reforms, with entertainment projects a high priority. It was a vision driven largely by the prince\u2019s personal interests in movies, gaming and sports. As a child, Bin Salman (or MBS as he is more familiarly known) learned English by watching films.<\/p>\n

\"Mohammed <\/p>\n

Crown Prince Mohammed bin Salman is an avid fan of movies and other Western entertainment; he learned English by watching movies as a child. <\/p>\n

(Bloomberg via Getty Images)<\/p>\n

The Saudis soon announced plans to spend $64 billion over several years on movies, cinemas and concert venues, with some $10 billion earmarked for movie investments.<\/p>\n

Two years later, the first ever Saudi delegation arrived in Cannes, promoting its mission with the tagline: \u201cA Kingdom of Opportunity.\u201d<\/p>\n

That spring, the crown prince went on a three-week charm offensive selling his vision of a reform-minded, post-oil Arabian paradise, meeting with power brokers in Washington, Wall Street, Silicon Valley and Hollywood.<\/p>\n

In Los Angeles, producer Brian Grazer and his wife Veronica feted Bin Salman<\/a>, alongside a galaxy of executives including Amazon\u2019s Jeff Bezos, Disney\u2019s Bob Iger, Patriots owner Robert Kraft, the late Kobe Bryant and then-Endeavor Chief Executive Ari Emanuel. <\/p>\n

At Rupert Murdoch\u2019s Bel-Air estate, the prince rubbed shoulders with then-Universal film Chairman Jeff Shell and actors Michael Douglas and Dwayne \u201cThe Rock\u201d Johnson.<\/p>\n

Soon after, Emanuel finalized a deal for Saudi\u2019s wealth fund to take a 5% to 10% stake in Endeavor for $400 million. America\u2019s largest movie theater company, AMC, also announced a partnership with the fund, through its subsidiary Seven, to launch cinemas in the kingdom.<\/p>\n

The country celebrated ending its 35-year ban on movie theaters with a gala screening of \u201cBlack Panther\u201d in Riyadh, with 500 invited guests. Men and women were allowed to sit together.<\/p>\n

Six months later, however, the partnerships and growing relationship between Hollywood and Saudi Arabia unwound. Washington Post columnist Jamal Khashoggi was murdered<\/a> inside the Saudi consulate in Istanbul at the hands of the crown prince\u2019s operatives, according to U.S. intelligence. The prince has denied his involvement.<\/p>\n

With Saudi Arabia\u2019s reputation in tatters, proposed projects fell apart and promotional appearances were canceled. Most notably, Emanuel severed ties with the kingdom<\/a> and returned the $400-million investment.<\/p>\n

\"Hatice <\/p>\n

Hollywood\u2019s burgeoning relationship with Saudi Arabia fell out over the murder of Washington Post columnist Jamal Khashoggi.<\/p>\n

(J. Scott Applewhite \/ AP)<\/p>\n

Bin Salman, however, was undeterred. <\/p>\n

The country continued to spend billions on cinemas, concerts and sporting events. It embarked on building Qiddiya, a planned entertainment and tourism megacity, three times the size of Paris.<\/p>\n

\" <\/p>\n

The F1 Grand Prix of Saudi Arabia held at the Jeddah Corniche Circuit in 2024.<\/p>\n

(Eric Alonso \/ Getty Images)<\/p>\n

In 2020, the kingdom\u2019s Public Investment Fund made massive investments in Live Nation and Disney, purchasing shares worth $500 million in each. It later sold its stakes in both.<\/p>\n

It spent more than $2 billion more to establish LIV Golf, a golf league to rival the PGA, offering huge contracts<\/a> to poach major players like Phil Mickelson, who received $120 million. The Saudis are reportedly launching an international basketball league<\/a> to compete with the NBA.<\/p>\n

The WWE, one of the few entertainment ventures not to cut ties with the kingdom after the Khashoggi murder, recently announced that in 2027 WrestleMania will be held in Riyadh \u2014 the first time the professional wrestling giant\u2019s signature pay-per-view event will take place outside of North America. WWE is part of the recently formed TKO Group<\/a>, owned by Emanuel\u2019s Endeavor.<\/p>\n

\"Phil <\/p>\n

Phil Mickelson was one of the major PGA players who joined Saudi\u2019s LIV Golf.<\/p>\n

(Steven Paston \/ Associated Press)<\/p>\n

The country began repairing its reputation in 2018, soft-launching its image with a multimillion-dollar marketing campaign. The Saudi tourism board, through a program called Gateway KSA<\/a>, began inviting influencers and others to visit the country and post about their all-expenses-paid adventures.<\/p>\n

While the influencers were blasted as propagandists who were whitewashing the kingdom\u2019s various abuses, the initiative laid the groundwork for shifting perceptions.<\/p>\n

Working with influencers<\/p>\n

Influencer.com<\/a>, a British marketing agency, began partnering with the Saudi Tourism Authority in 2019 to bring influencers to the kingdom. Between 2022 and 2023, it arranged trips for 300 content creators. \u201c60% of the audience who viewed our campaign content would now consider booking a holiday to Saudi, when they hadn\u2019t done before,\u201d the company said. <\/p>\n

In 2019, Victoria\u2019s Secret model Alessandra Ambrosio and actors Ryan Phillippe, Ed Westwick and Armie Hammer attended the MDLBeast Soundstorm music festival<\/a>.<\/p>\n

Since then, the trickle of celebrities has become a flood. <\/p>\n

This month, MDLBeast Soundstorm kicked off Coachella-caliber headliners like Post Malone and Swedish House Mafia alongside Benson Boone, Halsey, Pitbull and superstar dance acts including Anyma, DJ Snake and Calvin Harris.<\/p>\n

\u201cThere\u2019s not very much, if any, significant pushback in the music industry about performing in Saudi Arabia. It seems like it\u2019s become easier to dismiss backlash as noise coming from online haters,\u201d said Dave Brooks, head of live music and touring at Billboard.<\/p>\n

\"The <\/p>\n

The MDLBeast Soundstorm music festival has attracted big-name headliners. <\/p>\n

(Tasneem Alsultan)<\/p>\n

\u201cIt\u2019s been absolutely normalized,\u201d said another top publicist, referring to the parade of celebrities traveling to the kingdom. \u201cIt\u2019s as though Mr. Khashoggi never existed.\u201d<\/p>\n

Saudi Arabia\u2019s foothold in Hollywood got another leg up in October when former Lionsgate executive Erik Feig announced the launch of Arena SNK Studios, with $1 billion in financing to produce movies, TV, gaming and live events.<\/p>\n

Feig declined to comment.<\/p>\n

A person close to his company said the Saudi investment was appealing because of constraints on traditional film financing and because of Bin Salman\u2019s enthusiasm for the movie business.<\/p>\n

The current acceptance for Saudi Arabia and its money has been encouraged by President Trump, who has made deepening relations with the kingdom a centerpiece of his administration.<\/p>\n

During a White House visit by the crown prince last month (capped with a state dinner), Trump dismissed concerns about the Khashoggi murder, blasting a reporter who asked about it, saying, \u201cA lot of people didn\u2019t like that gentleman that you\u2019re talking about. Whether you like him or didn\u2019t like him, things happen.\u201d<\/p>\n

\"Donald <\/p>\n

President Trump invited Crown Prince Mohammed bin Salman to the White House in November; the trip included a state dinner.<\/p>\n

(Win McNamee \/ Getty Images)<\/p>\n

Perhaps the clearest sign of the shift in attitudes toward Saudi Arabia came in September, when a roster of comedians including Dave Chappelle, Kevin Hart, Bill Burr and Louis C.K. headlined the 14-day Riyadh Comedy Festival, with many reportedly being paid $1 million and up to perform.<\/p>\n

Free-speech advocates upbraided the comedians, who they said turned a blind eye to \u201ccancel culture\u201d and censorship by agreeing to avoid sensitive topics in their sets, including making jokes about Islam and the Saudi royals, in exchange for a big payday.<\/p>\n

\u201cHow much cognitive dissonance can you sustain and which values do you care about? There are ways in which people rationalize it or just don\u2019t think about it,\u201d said the Carnegie Endowment\u2019s Leber.<\/p>\n

\u201cFrom the folks that brought you 9\/11,\u201d blasted Marc Maron about his fellow funny men and women performing in Saudi Arabia. <\/p>\n

But many of the participants pushed back. On \u201cReal Time With Bill Maher,\u201d Louis C.K. said it \u201cjust feels like a good opportunity. And I just feel like comedy is a great way to get in and start talking.\u201d<\/p>\n

Bill Burr denounced the criticism as \u201csanctimonious,\u201d saying \u201ceverybody is phony about this stuff.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Earlier this month, when billionaire tech mogul Larry Ellison needed more money to bolster Paramount\u2019s hostile takeover bid…\n","protected":false},"author":2,"featured_media":100563,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27],"tags":[54799,30149,17876,7363,1404,10727,1924,1743,5180,54798,48,52,51,47,50,49,4263,4287,30399,42951,37736],"class_list":["post-100562","post","type-post","status-publish","format-standard","has-post-thumbnail","category-los-angeles","tag-bin-salman","tag-cinema","tag-concert","tag-country","tag-festival","tag-few-year","tag-film","tag-hollywood","tag-investment","tag-kingdom","tag-la","tag-la-headlines","tag-la-news","tag-los-angeles","tag-los-angeles-headlines","tag-los-angeles-news","tag-money","tag-movie","tag-prince","tag-saudi-arabia","tag-sporting-event"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/100562","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/comments?post=100562"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/100562\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media\/100563"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media?parent=100562"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/categories?post=100562"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/tags?post=100562"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}