In March 2024, Saudi Arabia shocked the tennis world when it made a sizeable bid for the right to own the ATP and WTA tournaments. At the same time, the nation proposed to host a Masters 1,000 event that would directly clash with the Australian Open’s lead-in United Cup. Although the bid fell through, the move and its aftermath rankled Tennis Australia, with some speculating that the Saudi push is far from over.
Saudi Arabia’s Merger Proposal Explained
After inviting nations to bid for a new Masters 1,000 event, the ATP was surprised by a staggering offer from Saudi Arabia. Its monarchy-owned Public Investment Fund (PIF) presented a $2 billion bid to purchase and merge the ATP and WTA tournaments.
However, their bid also proposed a Saudi Masters event in the first week of January, which would clash with the Australian Open’s mixed-gender United Cup tournament. As the first Grand Slam of the season, the prestigious event attracts some of the most popular sports betting online markets in the season.
The offer came at a time when discussions about the sustainability of the ATP and WTA were rife, with many athletes calling for a more streamlined schedule. The deal, which had a 90-day deadline, would also unite media and data rights for both tours.
Tennis Australia’s Response
After details of the bid were made public, Tennis Australia was quick to respond to the ATP, informing it that its current contract to host Week 1 tournaments extended to 2029. It highlighted that accepting the Saudi deal would be in breach of its contract, adding fuel to the flames of a simmering battle between the Grand Slams and the ATP.
The Australian Open has the highest attendance rate of any Grand Slam and is one of the largest annual sporting events in the Southern Hemisphere. Economically, it brings around $400 million to the region each year. It is also embraced by athletes as a chance to prepare for the season.
However, the geographical remoteness of Australia has also been flagged as a hindrance by some players, with the ATP schedule already a grueling affair regardless of long travel distances. Some athletes, such as Rafael Nadal, have voiced support for a Saudi Masters 1000 event.
The Debate Around Saudi Arabia’s Proposition
While some believe that Saudi Arabia’s acquisition of the ATP and WTA could better streamline the tournaments, other athletes have expressed dismay over the issues. Concerns have been raised about Saudi Arabia’s historical stance on women’s rights and LGBTQ issues, and see its investment in major sports as “sportswashing” its reputation.
Although its proposal was ultimately denied, a PIF and ATP ranking partnership was announced in February, which means both organizations will be linked for the foreseeable future. The kingdom now hosts the Next Gen ATP Finals and is set to host the WTA Finals between 2024 and 2026.
Looking Ahead
With the initial Saudi deal dead in the water, the Australian Open is set to go unrivalled for the foreseeable future. However, as the Saudi PIF Fund and ATP continue to strengthen their relationship, there remains a chance that the Grand Slam event may be under threat.
