Why would it? My understanding is that royal family promotes this particular brand of religion because it helps them maintain social control. It also makes it harder to infiltrate their country with external influences.
After that event, the royal family struck a deal that gave the extremists more influence in exchange for holding onto power...we're talking women banned from television, cinemas shut down, extreme gender segregation, etc. It was that way until MBS, a relatively liberal person, ascended and whisked some power away from the religious police and extremists, with an iron fist, of course.
Despite their vast oil wealth, Saudi really lacks the human capital to keep the gears going without the help of foreign expats. If the oil wells hypothetically dry up tomorrow...the country is in deep trouble.
(there's an alternative line of thought that says "you gotta follow the leader because a leaderless state is even worse", and that line of thought is generally prevailing in muslim countries; that's how one would justify having some out of the blue family running Saudi Arabia, with its two out of three most important Muslim holy places)