In a moment that exposes the absurdity plaguing Saudi Arabia’s economy, the Public Investment Fund (PIF) has announced its acquisition of a 54% stake in MBC Group for over $2 billion—at a time when the company’s shares are plummeting to historic lows. This move doesn’t appear to be a strategic investment, but rather a form of artificial resuscitation for a failing media giant, with public funds repurposed to cushion a propaganda outlet disguised as a business.
MBC’s shares have dropped by 27.2% since their 2024 IPO, losing nearly 40% of their value in 2025 alone.
What investment logic justifies pouring billions into a company in freefall? Far from being an “opportunity buy” as its defenders claim, this is a bad deal dressed up to look appealing—politically motivated, and financially hollow.
From Media Powerhouse to Black Hole
Once known as a prominent entertainment and marketing platform, MBC has in recent years morphed into a direct mouthpiece for the Saudi regime. Its programming, dramas, and news segments are all leveraged to polish the image of Crown Prince Mohammed bin Salman and promote his Vision 2030 agenda. As public trust in its content eroded, so did its financial performance.
Rather than letting the market speak, the PIF is now stepping in—not to secure an investment, but to ensure that this propaganda channel remains under direct state control. In other words, the Fund is not buying into a profitable future—it is buying a megaphone, funded by the people.
Experts Warn of Dangerous Investment Path
Experts have sounded alarms about the PIF’s trajectory and its investment choices. Tim Callen, former head of the Gulf division at the IMF, has urged a fundamental rethink of the Fund’s strategy, warning that pouring billions into symbolic or loss-making ventures like MBC may escalate financial risks rather than fostering development.
From Lucid to MBC: Reckless Spending Spree Continues
This acquisition is no outlier—it’s part of a broader pattern of failed ventures:
- Billions sunk into U.S. electric carmaker Lucid, whose stock has dropped over 78% in five years.
- More billions funneled into the NEOM project, recently described by Western media as “a looming financial disaster.”
And now comes MBC. The PIF, supposedly a vehicle to diversify the economy, is turning into a bailout fund for collapsing ventures—while ordinary citizens bear the brunt of taxes and rising living costs.
Vision 2030: A Mirage Devouring State Funds
Vision 2030 was meant to shift Saudi Arabia away from oil dependency. But each new investment tells a different story—a vision that’s more about buying perceptions than building reality.
- MBC generates no sustainable profit but helps present a façade of modern media aligned with the “new Saudi Arabia.”
- The Fund avoids real productive sectors like industry or technology, and instead prioritizes flashy, short-term PR projects.
All this unfolds as Ministry of Finance data reveals growing budget deficits—covered by debt and bonds that will weigh on future generations.
MBC as a Symbol of Broken Trust
The MBC deal is more than a financial transaction—it’s a symbol of a deeper decay:
- Market deception: Investors are urged to see this as a “positive move” when the numbers say otherwise.
- Public deception: MBC will continue broadcasting as if it were a “national success,” when in reality it’s on financial life support funded by taxpayers.
- Self-deception: The Crown Prince appears to believe trust can be bought. But media without credibility collapses, no matter the budget behind it.
Were MBC a regular private firm, the market would have forced it into restructuring—or bankruptcy. But as a political tool, the PIF intervened using public money.
Loyalty Over Logic
This decision proves that in the current Saudi model, “investment” isn’t judged by profitability or efficiency, but by loyalty and propaganda value.
Paying the Price for Silence
Every dollar pumped into MBC is a dollar taken from the people. These are the same citizens told to “tighten their belts” and pay more taxes to fund a fake vision. Meanwhile, schools remain underdeveloped, hospitals understaffed, and billions are gambled on hollow media empires.
Worse still, this model imprints a dangerous message on future generations: that wealth isn’t for building—but for domination and deception.
Media on the Ruins of an Economy
This is no “historic investment,” as Saudi officials claim—it is a scandal. A media company that lost 40% of its value within months is suddenly labeled a triumph, thanks to a multibillion-dollar injection from public funds.
This is not just a story about media. It’s about a regime managing its economy like a personal bank account—spending billions to silence criticism and inflate its image.
And the question remains: how many more reckless deals will it take before the regime learns that loyalty can’t buy prosperity—and that when media platforms become financial graveyards, they stand as monuments to national failure?
