Saudi Arabia's ambitious Neom project, a futuristic, carbon-neutral, 105-mile-long linear city envisioned by Crown Prince Mohammed bin Salman, has hit a major snag. According to a recent Wall Street Journal report, the project is facing significant delays and cost overruns, with a projected cost of $8.8 trillion and a construction timeline that could stretch up to 55 years.

The report, based on an internal audit presented to Neom's board last summer, suggests that the country has already shelled out $50 billion on the project, which is more than 25 times Saudi Arabia's annual budget. The staggering cost and timeline have raised concerns about the project's viability and the country's ability to complete it.

The Neom project, which was first announced in 2017, aims to create a futuristic city that is powered entirely by renewable energy and is home to a population of around 1 million people. However, the project has been plagued by a number of challenges, including insufficient labor, inadequate roads, and a lack of electricity. These challenges have led to significant delays and cost overruns, which have put the project's future in jeopardy.

The situation is eerily reminiscent of Saudi Arabia's own Waterloo, with Crown Prince Mohammed bin Salman misjudging the monumental challenges inherent in his strategy, much like Napoleon did before him. The project's struggles have raised questions about the country's ability to deliver on its ambitious plans and the potential consequences of failure.

Despite the challenges facing the project, there are some winners. Consulting giant McKinsey & Company is reportedly earning more than $130 million annually for its services, despite some controversy surrounding its role in the project. The firm has been involved in both the planning and validation of some of the project's financial projections, which has raised concerns about conflicts of interest. A McKinsey spokesman has defended the firm's role, stating that it has "strict protocols to prevent conflicts of interest in our engagements."

The Neom project's struggles have significant implications for Saudi Arabia's economy and its ability to diversify its revenue streams. The project is seen as a key component of the country's Vision 2030 plan, which aims to reduce the country's dependence on oil exports and develop its non-oil sectors. If the project fails to deliver, it could have significant consequences for the country's economic development and its ability to achieve its long-term goals.

In conclusion, the Neom project's struggles are a significant setback for Saudi Arabia's ambitious plans to develop its economy and diversify its revenue streams. The project's staggering cost and timeline have raised concerns about its viability and the country's ability to complete it. As the project moves forward, it will be important to monitor its progress and assess its potential impact on the country's economy and its ability to achieve its long-term goals.