SXSW Sydney, the first international offshoot of the iconic Austin, Texas festival, will not return in 2026 or beyond after the New South Wales (NSW) Government withdrew funding following a review of its major events portfolio.
Organizers confirmed that the 2025 edition marked the festival’s final year. “Every great story has a final page, and it is with a heavy heart that we share that SXSW Sydney has reached its closing chapter and will not be returning in 2026,” the SXSW Sydney team said in a statement.
Launched in 2023, SXSW Sydney brought together music, screen, technology, gaming, and innovation across multiple city precincts, mirroring the multidisciplinary approach of its Austin counterpart.
The event appeared to be gaining momentum. Attendance grew each year, with the 2025 edition attracting more than 345,000, a 15% year-over-year increase. SXSW estimates that the Sydney edition generated a cumulative economic impact of $276 million between 2023 and 2025.
Despite that growth, Destination NSW confirmed it had “agreed not to proceed” with SXSW Sydney in 2026 and 2027, ending an original five-year agreement that was set to run through 2027. The decision reflects broader scrutiny of public investment in major events as governments weigh rising costs and competing priorities.
“SXSW Sydney would not have been possible without our partners, Destination NSW and SXSW, as well as those who contributed to the event, our speakers, sponsors, volunteers, and attendees. SXSW Sydney was an unforgettable three-year journey, and we owe a debt of gratitude to the people who joined us for it,” said Co-Managing Directors Simon Cahill and Jono Whyman, in a statement.
Broader Changes at SXSW
The Sydney closure comes amid broader changes within the SXSW organization. In April 2025, Penske Media Corporation, which owns SXSW, restructured its leadership, with longtime president Hugh Forrest departing alongside 10 other executives.
Penske first invested in SXSW in 2021, acquiring a 50% stake alongside partner MRC, before later increasing its ownership to gain control of the company.
Despite the Sydney shutdown, the SXSW brand continues to expand in other markets. SXSW London debuted last year.
Meanwhile, the flagship Austin event faces its own transition. Austin’s Convention Center, long the home base of SXSW, has closed for a $1.6 billion redevelopment project.
“SXSW was the last group in the old convention center and will be the first one in the new center in 2029,” said Tom Noonan, president and CEO of Visit Austin.
Until then, SXSW will operate in a more consolidated, decentralized format, with the 2026 event scheduled for March 12–18 across downtown Austin venues.
 SXSW Sydney will not return this year following the withdrawal of public funding. This brings the festival’s planned five-year run to an early close.){kind=link}