The ongoing conflict involving Iran is severely impacting the economic stability of the Gulf states, which are among the wealthiest nations in the world. As the war not only threatens the dream of transitioning to post-oil economies but also disrupts investments, Gulf Cooperation Council (GCC) states are facing significant pressure to reassess their long-standing ties with the U.S. Recent reports suggest a growing desire among these nations to establish new avenues of dialogue with Iran, reflecting a possible realignment in regional relations. The war has also prompted discussions around the rearmament of Gulf states and raised concerns about the future attractiveness of the Gulf as a destination for investment. In light of the economic and security challenges posed by the conflict, the GCC faces crucial decisions regarding its role and strategy in the Middle East.