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Good question! There are varying opinions on South Africa's 2010 games, and it is a bit of a gamble for the SA government.
South Africa has hosted major international tournaments before, but the Football World Cup is a much greater challenge. SA is in the process of renovating several major stadiums, building others throughout the country, expanding airports to handle increased traffic, and establishing safe public transit, among other major tasks. Many aspects of preparation are behind schedule, but the games will probably go on as planned. However, all of these initiatives take resources away from other major priorities of the government, which is Wrestling with unemployment, AIDS, and crime on a scale unimaginable to first-world states.
South Africa is basically gambling that the games will be a visible enough success that it can shake its image as an unsafe third-world nation. It will try to use the World Cup to show itself as a world-class tourist destination, Africa's vibrant economic heart, and as a stable society, hopefully luring tourists and investors to the country. At the same time, international praise and attention could help keep the moderate wing of the ANC in power. A Cup disaster, on the other hand, would be a major blow to South Africa's aspirations.
Personally, I'm optimistic. The project is widely popular within South Africa, the country enjoys generally effective government, the country is pouring resources into the effort, and the international community heartily wants it to succeed. I used to work in South Africa, and I was constantly frustrated by the country's image abroad; a successful World Cup would be the best publicity South Africa can buy.
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