Just hours before its big debut on Netflix, WWE announced the 2026 Royal Rumble is set to be hosted in Riyadh, Saudi Arabia.

It will be the first time the event has been hosted outside of North America. It will also be the first time WWE has taken one of its “Big Four” events (the others being WrestleMania, SummerSlam and — somewhat less convincingly — Survivor Series) to the Middle East.

By now, most fans are no doubt familiar with the WWE’s long-standing partnership with the Saudi government — and its importance to the company. Under the current agreement, WWE receives around $100 million a year for hosting two shows in the country, making Saudi's Premium Live Events (PLEs) significantly more lucrative than any other WWE event, including WrestleMania.

Given those circumstances, it’s perhaps not a massive surprise that WWE is taking one of its biggest annual fixtures to Riyadh. But it’s still a significant move, given that it’s an escalation on what we’ve seen so far — both in terms of the Saudi partnership and WWE’s broader international strategy.

If you look at the Triple H/Nick Khan era, WWE has largely pursued a two-pronged approach when it comes to PLEs. The method so far has been to keep the “Big Four” events within the U.S. and Canada, given WWE can count on them to draw bigger gate revenue and site fees, while turning some of the smaller PLEs into higher-grossing international events.

All things considered, it's been a shrewd strategy. The gate revenues from events like Backlash France and Clash at the Castle have absolutely dwarfed what the WWE would typically get from one-night PLEs in the U.S. Tickets for 2024's Clash at the Castle: Scotland started at $200 (with plenty going for much more than that) compared to $60 or so for a similar caliber show like Payback or Fastlane over in the U.S.

For the Saudi shows, the strategy has been different, given that the massive revenues come directly from the host nation rather than ticket sales. Instead, the overall focus has been to try to make those events feel as big as possible — thus helping Saudi Arabia market itself as a burgeoning sporting powerhouse — while keeping the more established shows on the home turf.

Again, this has worked pretty well. It used to be a bit of a joke that the Saudi PLEs felt like glorified house shows (or even worse, in the case of Crown Jewel 2018), but these days they’re completely incorporated into WWE’s creative product. Both of 2024's Saudi Arabia events had big consequences for storylines and major talent, not least of which included champions Gunther, Cody Rhodes and Liv Morgan.

So why are the Saudis now getting the Rumble? Given that WWE is looking to renew its deal with the country, which expires at the end of 2027, my prediction is that the Saudi General Entertainment Authority — led by Turki Alalshikh — is pushing for something bigger and better this time around.

Alalshikh himself said he wants to see an “enhanced” deal with the WWE. Given that, it’s not hard to imagine an arrangement where Saudi Arabia hosts one of the “Big Four” events for the next few years (similar to what Indianapolis is doing) while also maintaining at least one of their traditional PLEs.

WWE could potentially negotiate even more money under such a deal in return for those bigger shows. Reports suggest the Royal Rumble usually draws around $8 million in ticket sales for WWE in the U.S., compared to $1 million for smaller events. Sure, $50 million (as the Saudis typically pay) is a lot more than $8 million, but it's still less profitable — from WWE's side — than sending one of the minor PLEs in May or November to Riyadh, as the company has done so far, and keeping the Rumble in the U.S.

So would WWE get that money? I can't see why not. There’s a lot of cynicism about the WWE/Saudi relationship — some of it justified, some of it less so — but fundamentally there is a genuine desire on the part of the Saudi government to make their country a big part of the WWE universe. What better way to do that than bringing the flagship events to Riyadh, even if it means putting up more cash?

Ever since the big changeover of leadership from Vince McMahon to its current corporate structure within parent company TKO, WWE has been pretty masterful with its commercial approach — whether it’s the growth in international events or the $5 billion Netflix deal. But the Royal Rumble going to Riyadh is another reminder that these kinds of moves aren’t entirely risk free — at least for the product itself.

To state the obvious, the Rumble is one of the most beloved fixtures in the wrestling calendar. How will U.S. fans feel about having to watch the action just after lunch, rather than in the classic evening slot? How will they feel about having to fly well overseas to the Middle East to get a seat among the action? Right now that might not be a major concern in TKO’s boardroom. But these things can add up over time.

In the meantime, though, the message with Monday's news is pretty clear — if not surprising. The Saudi partnership has always been a huge deal for WWE, and the company is clearly prepared to do what’s necessary to keep them on board.