The US is finally realizing that Saudi Arabia is not helping things in Iraq, while Iraqi officials have openly accused Saudi Arabia of arming Sunni insurgents, the same, mind you, who have been attacking American forces in Iraq. So why, then, is it that the US is "set to offer huge arms deal" to the kingdom and its neighbors?
Saudi Arabia is the ninth biggest spender on arms. Why do the Saudis need so many weapons? According to Ha'aretz, it could be part of a larger cold war in the Middle East, which also explains Russian arms deals to Iran and Syria, arms deals between Iran and Syria, and the 25% increase in American military aid to Israel agreed upon by Bush and Olmert, meaning an increase to $3 billion a year.
While this very well might be true, we can't forget that arms sales help out American armament companies with government contracts while giving Middle Eastern states the tools needed to oppress their peoples and arm their various proxies in the region. (I'm including Israel in this, although their weapons are used to oppress Palestinians in the occupied territories and not Israeli citizens.) Obviously, the same pattern of armament and oppression that we see in American allies holds true for Russian weapons sent to Damascus and Teheran.