This chapter examines the development of cruise tourism in Saudi Arabia using a SWOT analysis approach (strengths, weaknesses, opportunities and threats). Based on the SWOT analysis, cruise ship tourism has the potential to grow rapidly based on the expected demand from local citizens and the growing global demand. On the other hand, major challenges are mostly related to external factors: regional competition and security threats. While the former could be overcome with collaboration among GCC countries and huge investments in infrastructure and promotion, the latter is difficult to control. The chapter also briefly discusses the potential impacts of three Saudi cruise ports under construction.