In the heart of Saudi Arabia’s northwestern desert, NEOM is taking shape as the largest urban development project in modern history, with a price tag exceeding $500 billion. Launched by Crown Prince Mohammed bin Salman in 2017 as a cornerstone of Saudi Vision 2030, NEOM aims to redefine the concept of the smart city by integrating artificial intelligence, 100% renewable energy, and autonomous transportation into an urban environment designed entirely from scratch. NEOM is not merely a new city — it is an unprecedented civilizational experiment that aspires to attract nine million residents and generate hundreds of thousands of jobs by 2045, according to the official NEOM website.

THE LINE: A 170-Kilometer Architectural Revolution

THE LINE represents the most audacious element of NEOM — a linear, mirror-clad city stretching 170 kilometers in length, just 200 meters wide, and rising up to 500 meters tall. It is designed to house nine million people in an environment completely free of cars and streets, with all transportation relying on a high-speed rail system capable of carrying residents from one end to the other in just 20 minutes.

According to a report by Bloomberg, more than 300,000 construction workers are currently operating around the clock at the site. Excavation and grading work has completed its initial phases, with massive foundation pouring now underway. However, reports from the Financial Times indicate that the original plans have been temporarily scaled back, with Phase 1 now focusing on completing 2.4 kilometers by 2030 rather than the full length.

“THE LINE is not just a building — it is a reinvention of how humans live.” — Crown Prince Mohammed bin Salman

The design incorporates vertical gardens, open recreational zones within the structure, and green rooftops stretching the entire length of the building. It operates on the principle of “everything within a 5-minute walk,” eliminating the need for private transportation entirely. Architectural magazine Dezeen has described the project as “the boldest architectural experiment of the 21st century.”

Oxagon: The Floating Industrial City and Advanced Manufacturing Capital

Oxagon is the world’s largest floating structure — an octagonal industrial city located on the Red Sea coast. Spanning more than 48,000 hectares, it aims to become a global hub for advanced manufacturing and the circular economy. Oxagon features a fully integrated seaport operated entirely by robotics and AI systems.

NEOM has announced that Oxagon will attract investments exceeding $10 billion in clean manufacturing and green hydrogen production. Global companies including Air Products and ACWA Power have signed agreements to build a green hydrogen plant powered by 4 GW of solar and wind energy — making it the largest of its kind in the world.

• Fully autonomous port: Loading and unloading operations with zero human intervention
• Special economic zone: Tax and customs incentives to attract global investors
• Research laboratories: Partnerships with world-class universities including MIT and KAUST
• Clean maritime transport: Electric vessels and hydrogen-fueled ship refueling infrastructure

Trojena: A Mountain Winter Resort in the Heart of the Desert

In a paradox that defies geographic logic, Trojena is situated at an elevation exceeding 2,600 meters above sea level in the Sarawat Mountains of northwestern Saudi Arabia, where winter temperatures drop below freezing. Trojena will host the 2029 Asian Winter Games, making it the first winter sports destination in the Arabian Gulf.

The project includes an artificial lake at a towering elevation, year-round ski slopes enabled by advanced artificial snow-making technology, luxury hotels, and wellness centers. According to Reuters, the development cost of Trojena is estimated at $3-5 billion, with projections of attracting over 700,000 visitors annually once fully operational.

Remarkable fact: Trojena’s artificial lake will be the highest-altitude lake in the Middle East, covering an area equivalent to 36 football fields.

Sindalah: The Ultra-Luxury Island on the Red Sea

Sindalah is the first project to open within NEOM — an ultra-luxury island in the Red Sea spanning 840,000 square meters, targeting ultra-high-net-worth travelers. The island features a yacht marina accommodating 86 yachts, including mega-yachts exceeding 100 meters in length, alongside five-star-and-above hotels managed by world-renowned hospitality brands.

Sindalah began welcoming visitors in 2024, making it the first tangible proof of NEOM’s transformation from architectural renderings into a living reality. Facilities include golf courses, marine resorts, and diving centers overlooking the Red Sea coral reefs — among the most biodiverse marine ecosystems on Earth, according to studies cited by the World Economic Forum.

100% Renewable Energy and the Green Hydrogen Hub

NEOM has declared its full commitment to operating on 100% renewable energy — an ambitious target for a project of this scale. The energy infrastructure includes:

• Solar power plants: With a combined capacity exceeding 10 GW
• Wind farms: Harnessing the consistent winds along the Red Sea coast
• Green hydrogen plant: Producing 600 tons daily, in partnership with Air Products and ACWA Power
• Energy storage systems: Massive battery arrays to ensure continuous supply overnight

NEOM’s green hydrogen project is the largest in the world, with exports to global markets expected to begin by 2026-2027. A report by McKinsey on smart cities noted that NEOM could become a global model for integrating clean energy production with urban planning.

Estimates suggest that NEOM will offset the equivalent of 3 million tons of carbon emissions annually compared to a conventional city of the same size — World Economic Forum report

Autonomous Transport and AI-Powered City Management

NEOM is designed from the ground up to be a city without traditional cars. Its transportation system relies on:

• High-speed rail: Connecting the ends of THE LINE at speeds up to 500 km/h
• Autonomous vehicles: Fully electric fleets operating at Level 5 Autonomy
• Flying taxis (eVTOL): For inter-regional travel between THE LINE, Oxagon, and Trojena
• Pedestrian and cycling networks: An integrated system connecting all facilities

For city management, NEOM relies on what it calls a “Digital Twin” — a complete digital replica of the city powered by AI to manage everything from traffic flow and energy consumption to waste collection and emergency services. The Wall Street Journal reported that NEOM plans to deploy more than one million smart sensors to monitor the environment and optimize quality of life in real time.

All of this is orchestrated through a centralized data platform that aggregates information from every sector and analyzes it instantaneously, making NEOM the first smart city designed entirely on AI-first principles from day one.

Workforce, Investment Timeline, and Economic Projections

The scale of NEOM’s workforce is itself an indicator of the project’s enormity. Reports indicate that more than 300,000 construction workers are currently on site across NEOM’s various projects, with plans to increase this number further. Workers come from multiple nationalities including India, Pakistan, Bangladesh, Egypt, and the Philippines.

Financially, NEOM is primarily funded by the Public Investment Fund (PIF) of Saudi Arabia, whose assets exceed $930 billion. The project timeline breaks down as follows:

• 2024-2025: Sindalah opening; completion of core infrastructure for THE LINE
• 2026-2027: Green hydrogen exports begin; first phase of Oxagon becomes operational
• 2029: Hosting the Asian Winter Games at Trojena
• 2030: Phase 1 of THE LINE (2.4 km) completed and first residents move in
• 2035-2045: Gradual expansion toward the full vision

NEOM is expected to contribute more than $100 billion to Saudi Arabia’s GDP by 2030 and generate over 380,000 jobs across technology, tourism, manufacturing, and energy sectors, according to Reuters estimates.

Criticism and Challenges: Can the Impossible Be Achieved?

Despite the enormous ambition, NEOM is not without fundamental criticisms and major challenges:

1. Scope reduction: Reports by Bloomberg and the Financial Times revealed that original plans for THE LINE have been significantly scaled back, with only 2.4 kilometers to be completed by 2030 instead of 170 km, and the target population for Phase 1 reduced to 300,000 instead of 1.5 million.

2. Workers’ rights: Human rights organizations have raised concerns about conditions for 300,000+ workers operating in extreme heat, with reports of fatalities and passport confiscation.

3. Forced displacement: Human rights reports have documented the displacement of members of the Huwaitat tribe from their ancestral lands to make way for the project, with some facing legal sentences.

4. Technical feasibility: Engineering and urban planning experts question the viability of constructing a 170-km mirrored structure in a desert environment, pointing to challenges of sandstorms, thermal expansion, and seismic activity.

5. Escalating costs: The total cost may exceed $1 trillion according to some independent estimates, placing pressure on Saudi finances despite the PIF’s massive size.

NEOM vs. Global Megaprojects: Where Does It Stand?

To understand NEOM’s scale, it is useful to compare it with the world’s most prominent real estate and urban development megaprojects:

It is evident that NEOM surpasses all standalone urban projects in terms of budget and ambition, rivaled only by China’s Belt and Road Initiative — which is, in reality, a transcontinental network of infrastructure projects rather than a single city. Analysts at the World Economic Forum suggest that NEOM’s success could reshape the global urban investment landscape entirely.

Projected economic impact: NEOM is expected to help diversify Saudi Arabia’s economy away from oil, boosting non-oil revenues by 15-20% by 2035. It will also strengthen the tourism, technology, and advanced manufacturing sectors, attracting foreign direct investment exceeding $50 billion, according to analyses by Architectural Digest and McKinsey.

NEOM remains the largest urban wager in human history. Whether the full vision is realized or only a fraction of it, the project has already redefined the boundaries of what is conceivable in urban planning. The world is watching — not just to see whether Saudi Arabia succeeds, but to learn from the experiment whether it triumphs or stumbles.

Disclaimer: This article is for informational and educational purposes only and does not constitute investment or financial advice. Information is sourced from publicly available and reputable sources and may not reflect the latest developments. Readers are advised to consult official sources and seek professional advice before making any investment decisions. The Middle East Insider is not responsible for any decisions made based on the content of this report.