I love how the world is moving towards Copiosis, the New World Order.
Last week we wrote about what might happen to oil-rich countries in the future. That future, of course, being Copiosis. In that post, we offered uncertainty as to what those leaders might do.
Last month, however, we heard a story coming from the New York Times. In a remarkable announcement, the world learned Saudi Arabia had taken over the PGA Tour.
Official word calls it a merger. But the NYT story clearly indicates that the Saudi’s Sovereign Wealth Fund was about to kill off the North American organization. And for good reason: The Saudis offered participating golfers far better opportunities in a new golf league called LIV Golf.
But why?
The conflict between the PGA Tour and the Sovereign Wealth Fund of Saudi Arabia is intriguing. But what’s more interesting is the Wealth Fund’s strategy. For years, it invested domestically. That changed in 2015. Then, Saudi Arabia began using investment for global influence. Sports is one area where that investment is paying off.
Influence is important. But so is reputation. Saudi Arabia is well known as a human rights abuser. So Saudi leaders may use such investments to sort of launder their reputation. The wealth fund already owns stake in many US companies.
But sports is a great way to get on people’s good sides. People often overlook a lot of bad stuff in order to enjoy a great game. Severe health risks to American football players, is one example. Traumatic Brain injury risks in professional boxing and Mixed Martial Arts is another. Not to mention inequality, racism and sexual abuse in sports circles. All this happens in sports. Yet people enjoy watching these events.
Saudis may, therefore, see sports as a way to clean up their national image. If they can put on a good show, people may overlook their bad rep. Well, that may just work.
But there might be another reason the Saudis are investing in things beyond oil. Perhaps they’re preparing for a future. A future where oil’s relevance wanes.
Are they getting ready?
In the New World Order as we see, the world has weaned itself off oil. No-cost renewables meet the globe’s energy needs instead of burning fossil fuels. And, the switch beyond fossil fuels happens without anyone losing a dime of their CURRENT wealth. Future wealth, however, is another matter. Future wealth from some activities may be in extreme jeopardy.
Perhaps Saudi leaders see a future where influence they enjoy from being oil-rich disappears. Perhaps they’re preparing for that future. By finding a new source of influence, they may be planning to maintain their status on the global stage. Only from a different vantage point.
In our previous post, we hoped Middle Eastern countries might find more rational ways to shift to the New World Order. Perhaps LIV Golf is a sign of that shift. Admittedly, this is speculation. We have no information on how the Sovereign Wealth Fund of Saudi Arabia works. Or why it decides how it does.
But we like our explanation. Saudi Arabia still holds sizable stakes in capitalist assets. So its unlikely such investments in sports will make the country less interested in sticking with the status quo.
But a we can dream, can’t we?
