Saudi Arabia to pull LIV Golf funding after 2026 season: PGA Tour CEO cites 'scar tissue' with star players

Losses have been estimated at $500 million to $600 million each year, though LIV Golf is on pace to improve its revenue projection by $100 million in 2026 after inking multiple brand partnership deals, CNBC reports.

Critics have accused LIV Golf of serving as a sportswashing arm for Saudi Arabia, an operation that existed as a means of improving the country's reputation amid accusations of human rights abuses and corruption. Proponents suggested it was advancing the game of golf, offering an alternative product with a different format.

However, LIV Golf failed to obtain recognition from the sport's preeminent evaluation body, the Official World Golf Rankings, due to its 54-hole, shotgun-start, no-cut tournaments, and the team competition element failed to catch on with fans. LIV Golf was consequently forced to change its format and only recently received OWGR recognition, moves that appear to be too little, too late, given that interest in the league has not grown.

What would happen to LIV Golf's best players?

DeChambeau, a two-time U.S. Open winner, and Rahm, a two-time major champion, are the two biggest names under contract with LIV Golf, though other burgeoning talents like Joaquín Niemann and Tyrrell Hatton join them on the circuit. (Five-time major champion winner Brooks Koepka and 2018 Masters champion Patrick Reed recently departed the league for the PGA Tour and DP World Tour, respectively.)

The PGA Tour has already shown a willingness to create paths for top stars to return; however, it did so while being mindful of its membership's feelings and perspectives, many of whom declined the get-richer-quicker prospect of signing with LIV Golf to remain loyal and continue playing stateside.

After DeChambeau and Rahm declined the opportunity this offseason to bolt alongside Koepka, that process would need to be reevaluated should LIV Golf shutter. Koepka's deal, which included a $5 million charitable donation, ineligibility for the Player Equity Program for five years and no FedEx Cup payouts in his first year back, was billed as a one-time offer that was "not precedent-setting," per the PGA Tour.

DeChambeau was also part of a group that filed an antitrust lawsuit against the PGA Tour following his defection to LIV Golf. While that lawsuit was ultimately dropped, it led to escalating tensions between the sides, and PGA Tour CEO Brian Rolapp told the Journal that "scar tissue" would be a factor.

"There were rules, and they were broken," Rolapp said. "With rules comes accountability."

These potentially unhomed players would have no leverage in talks with the PGA Tour, putting them in a difficult bargaining position.

One option could be for the PGA Tour to offer the same deal Reed received: serve a one-year suspension and regain status via major championship and DP World Tour competition. DeChambeau and Rahm would still have full-time status upon returning, as they have won majors within the last five years, but the path to reconciliation might not be as smooth as it was with Koepka and Reed.

"I don't necessarily have scar tissue, but there are plenty of people around our tour who do," Rolapp added. "It has to be accounted for in some shape or form."

For non-stars, the road back to the PGA Tour will be more arduous. With the PGA Tour already talking about trimming fields and creating more "scarcity" in events to boast stronger fields in 2027 and beyond, gaining status may be more difficult than ever, especially considering LIV Golf players lack world ranking points and the PGA Tour has little incentive to help them.

"We're interested in having the best players who can help our tour," Rolapp explained bluntly. "Not every player can do that."

LIV Golf's ambitious recruitments

When LIV Golf first began, some believed it presented an existential threat to the PGA Tour. With billions of dollars in backing from Saudi Arabia, they were aggressive in pursuing many of the game's top stars with lucrative nine-figure deals. Greg Norman was the head of the venture, with Phil Mickelson becoming the league's public face -- stirring controversy almost immediately.

While LIV Golf found success recruiting some older players, it was only able to coax a few top stars with promises of guaranteed money and a shortened global schedule.

Dustin Johnson was among the first to sign, followed by DeChambeau, Koepka, Reed and Niemann. Cameron Smith defected from the PGA Tour shortly after winning his first major at the 2022 Open Championship, helping the league improve its legitimacy outside of the legacies of Mickelson, Sergio Garcia, Henrik Stenson, Louis Oosthuizen and others.

The biggest shockwave came after LIV Golf's second season when Rahm, who publicly denied any desire to join LIV when asked on multiple occasions, bolted from the PGA Tour in December 2023, announcing his move in an odd interview after receiving an offer reportedly worth over $300 million.

The Rahm move came months after an infamous "framework deal" was struck between the PIF and PGA Tour Enterprises, which appeared to be a ceasefire, indicating a potential merger was on the horizon. Years later, despite continued conversations and at least one White House meeting, the parties never moved closer together.

Cracks began to show ...

LIV Golf's facade began to crumble late in 2025 when Koepka suddenly announced he was leaving a year before his contract was to expire. He was quickly brought back by the PGA Tour, signaling that the circuit was more willing to negotiate with notable golfers who wanted to return now that CEO Brian Rolapp is in charge. Reed's departure followed, and while others declined similar offers, LIV Golf continues to struggle with growing its ranks.

To try and keep top stars happy and better prepare players for majors, LIV Golf expanded to 72-hole events in 2026. However, while Rahm appreciated the move, DeChambeau wasn't excited about it, noting that it wasn't what he signed up to do. Holding onto Rahm and DeChambeau is of the utmost importance for the league.

LIV Golf has produced some successful on-site events, like those in South Africa and Australia, where the PGA Tour does not regularly run, but the global schedule and lack of star power have led it to struggle to connect with fans, who simply do not watch the product en masse.