The NSW Government pulled its funding from SXSW Sydney before organisers Ticketek Entertainment Group (TEG) cancelled this year’s event, the Australian Financial Review reports.
As reported by The Music on Wednesday (14 January), organisers revealed that the music festival and industry showcase concluded following last year’s event.
Yesterday, TEG cited a “changing global environment” that is impacting major events worldwide, including music festivals and cultural programs.
They added that SXSW Sydney has been working closely with the NSW Government and the event’s global owners, Penske Media Corporation, to potentially find a way forward. However, reported “prevailing market conditions” have impacted the event, leading to the conclusion of SXSW Sydney.
The Australian Financial Review reports that, following a review into the event, the government’s Destination NSW, which signed a $12 million agreement in 2022 to host SXSW for five years from 2023 to 2027, pulled funding for additional events.
A spokesperson for Destination NSW told the AFR that, following a review of SXSW Sydney, it decided not to proceed with the event in 2026 and 2027. They added that Destination NSW will continue to support “a diverse, year-round calendar of major events” across the state.
“SXSW Sydney has played an important role in showcasing Sydney’s creative and innovation sectors; however, the decision has been made not to proceed with the event in 2026 and 2027,” the spokesperson’s statement reads (per Mumbrella).
The statement continued, “The event has delivered cultural, economic and industry outcomes for the city over the past three years. Following a review, it was agreed not to proceed with the event in 2026 and 2027.”
“Destination NSW will continue to support a diverse, year-round calendar of major events that drive visitation and deliver benefits for NSW communities and businesses.”
The Music reached out to Destination NSW for comment.
Across its first three events, SXSW Sydney hosted big names like The Kid LAROI, Teddy Swims, Nicole Kidman, Tyra Banks, Paul Feig, Ninajirachi and many others, as well as film screenings including Springsteen: Deliver Me From Nowhere and Nirvanna The Band The Show The Movie.
TEG reported that throughout its three-year run, SXSW Sydney generated an estimated $275 million in economic impact for the city. The three multi-day events – held from 2023 to 2025 – attracted over 63,000 out-of-region attendees and amassed a 35% year-on-year growth in international visitation from 2024 to last year’s event.
The final event, from last October, attracted a total attendance of more than 345,000 punters.
