LIV Golf executives are poised to deliver devastating news to players today, confirming that Saudi Arabia's Public Investment Fund will cease bankrolling the breakaway tour once the current campaign concludes.
According to The Wall Street Journal, staff and competitors will learn by Thursday that PIF backing ends when the season wraps up in Michigan on 30 August.
The announcement follows weeks of turmoil after reports emerged earlier this month suggesting the Saudi-funded league could be disbanded entirely, prompting an emergency gathering of executives in New York City.
Whilst CEO Scott O'Neil subsequently reassured employees that operations would continue through 2026, no commitments were made regarding the tour's longer-term survival.
The financial toll of the venture has been staggering, with PIF having injected close to $6 billion into LIV since 2022.
Despite this enormous investment, Forbes reports that the tour has accumulated losses surpassing $1.4billion since its establishment in 2021.
Each tournament alone distributes $30million in prize money, contributing to the unsustainable burn rate that has apparently exhausted Saudi patience.
LIV Golf executives are poised to deliver devastating news to players today, confirming that Saudi Arabia's Public Investment Fund will cease bankrolling the breakaway tour once the current campaign concludes
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It had been previously reported that numerous players and their representatives had already anticipated PIF would only maintain funding until the season finale.
Without continued Saudi support or a significant reduction in player payouts, the tour's prospects appear increasingly bleak as it searches for alternative financial backing.
Speaking at LIV's recent Mexico tournament, O'Neil acknowledged the precarious position whilst attempting to frame it as standard business practice.
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Five quirky facts about golf | GETTY"The reality is that you're funded through the season, and then you work like crazy as a business to create a business and a business plan to keep us going," he told TNT Sports.
"But that's not different from any other private equity-funded business in the history of mankind."
The tour is now reportedly pinning its hopes on securing private equity investment to remain operational.
However, industry observers suggest survival without some form of continued Saudi involvement or dramatic cost-cutting measures remains virtually inconceivable.
Amid the uncertainty, star player Bryson DeChambeau is reportedly seeking up to $500m to remain with the embattled circuit.
Bryson DeChambeau joined LIV Golf in 2022 | PAThe American, currently in the final year of his contract, allegedly spent part of Masters week in discussions with golf officials exploring his potential departure from LIV.
DeChambeau originally departed the PGA Tour on a deal reportedly worth $125m over four and a half years.
His demands follow the recent exits of Patrick Reed and Brooks Koepka, both of whom have returned to the PGA Tour.
However, defectors should not expect a warm reception, with PGA Tour chief executive Brian Rolapp warning on Wednesday: "There were rules, and they were broken. With rules comes accountability."