U.S. foreign policy and the domestic concerns of Middle Eastern states are influencing the pursuit of the global war on terror in the Middle East. A close view of Saudi Arabia reveals the complex interaction of these forces. The U.S. relationship with Saudi Arabia and the global war on terror are important challenges to the U.S. administration that have region-wide ramifications. Saudi Arabia has been facing down Islamist insurgency along with other challenges since September 11, 2001, and with even more urgency since May 2003. The Kingdom clearly remains a major political and economic force in the region. The income from its vast oil resources primarily has funded its strong influence, and the Kingdom has, in turn, sponsored poorer developing Arab nations. Furthermore, its Islamic influence has been apparent in the broader Muslim world, and the United States has maintained a strong relationship with the Kingdom for many decades.