SXSW Sydney Shuts Down As NSW Government Withdraws Funding - Noise11.com
SXSW Sydney

SXSW Sydney Shuts Down As NSW Government Withdraws Funding

by Paul Cashmere on January 15, 2026

in News,Noise Pro

SXSW Sydney has come to an abrupt end, with organisers confirming the Asia-Pacific edition of the globally recognised South By Southwest festival will not proceed in 2026 or beyond. The decision follows the withdrawal of funding by the New South Wales Government, bringing the event to a close just three years into what was originally planned as a longer-term commitment.

The announcement landed barely a month after SXSW Sydney organisers had told attendees and stakeholders they were preparing to reveal dates for a 2026 edition. Instead, the festival’s co-managing directors Simon Cahill and Jono Whyman confirmed the project had been discontinued, citing a changing global environment and the mounting pressures facing major cultural and business events.

SXSW Sydney launched in October 2023, marking the first time in the festival’s more than 35-year history that South By Southwest expanded beyond its home city of Austin, Texas. For decades, Austin had been the sole host of the event, which grew from a regional music showcase into a sprawling international convergence of music, film, technology, startups and culture. Sydney’s inclusion was positioned as a landmark moment for Australia and the wider Asia-Pacific region, providing a platform to place local creative and innovation sectors alongside global leaders.

Over its three-year run, SXSW Sydney delivered an ambitious program that blended keynote conversations, conference sessions, film screenings, music performances and large-scale networking events. According to organisers, the festival attracted a combined attendance of more than 345,000 people in 2025 alone, representing a 15 per cent increase on the previous year. Across its lifespan, SXSW Sydney reported a cumulative economic impact of $276 million, with more than 63,000 attendees travelling from outside the region and international visitation growing strongly year on year.

Despite those headline figures, the event struggled against broader economic headwinds. In a statement posted to the SXSW Sydney website, organisers acknowledged the tough global market for large-scale festivals and conferences, noting that sponsorship and discretionary spending had tightened significantly. They confirmed extensive discussions had taken place with the NSW Government and SXSW’s global owner, Penske Media Corporation, in an effort to identify a viable pathway forward.

Ultimately, those discussions did not result in renewed support. Destination NSW, which acquired the rights to host SXSW Sydney and provided significant backing, confirmed it had made the decision not to proceed with the event in 2026 and 2027 following an internal review. The agency had originally entered into a multi-year agreement in 2022, with SXSW Sydney intended as a major international drawcard for the state’s visitor economy.

The NSW Government’s withdrawal comes at a time of broader budget pressure, with the state recording a multi-billion dollar deficit in the most recent financial year. While Destination NSW acknowledged SXSW Sydney’s role in showcasing Sydney’s creative and innovation sectors, it said future investment would focus on a diverse, year-round calendar of events designed to deliver measurable benefits for communities and businesses across the state.

For Cahill and Whyman, the end of SXSW Sydney represents the conclusion of what they described as an unforgettable three-year journey. In their joint statement, they thanked the festival’s team, partners, speakers, sponsors, volunteers and attendees, emphasising the scale of the undertaking involved in establishing an entirely new international extension of the SXSW brand.

They highlighted achievements including the breadth of programming delivered in 2025, which featured more than 1,100 speakers across hundreds of sessions and events. The festival also became a showcase for emerging technologies and ideas, with Australian companies using the platform to debut innovations to a global audience.

SXSW’s global leadership echoed that sentiment, describing the Sydney edition as an ambitious and meaningful extension of the brand. Over its short lifespan, SXSW Sydney demonstrated the power of convening creatives, innovators and industry leaders from across Australia and the Asia-Pacific, elevating regional voices onto an international stage.

The inaugural 2023 event set the tone, attracting high-profile Australian figures from film, music and media alongside international guests. It positioned Sydney as a focal point for cross-industry conversation at a time when governments and cultural institutions were seeking to rebuild momentum following years of disruption to global events.

While reaction to the festival’s closure has been mixed, SXSW Sydney’s impact on Australia’s cultural and innovation landscape is likely to be debated for years to come. Its sudden end underscores the fragile economics of large-scale events in a volatile global environment, even when audience numbers and headline outcomes appear strong.

For now, SXSW Sydney’s stages have gone dark, closing a bold chapter in Australia’s events history and leaving unanswered questions about whether the SXSW model will return to the Asia-Pacific region in another form or another city.

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