Australian selector explains Steve Smith omission as 2028 Olympics spot in danger

Steve Smith's omission at the T20 World Cup could have a significant impact beyond the tournament, with Australia now in danger of missing the 2028 Olympics.

To the surprise of many, Smith was left out of Australia's initial squad, but was flown in as cover when skipper Mitchell Marsh went down with injury.

Marsh missed two matches - a win over Ireland and a shock loss to Zimbabwe - but was able to return for the do-or-die clash with Sri Lanka this week.

READ MORE: Huge call facing Roosters coach as gun recruit sidelined

READ MORE: US star's emotional tribute to late father after comeback gold

READ MORE: 'Iron Mike' myth fuels outrageous Mayweather prophecy

The captain's return on Monday (AEDT) for the must-win game against one of the host nations meant that Smith, despite being injected into the squad, was again overlooked.

Marsh and fellow opener Travis Head both scored half-centuries in an impressive partnership, but once they were dismissed the Aussies collapsed and were all out for 181, which Sri Lanka managed to chase down with eight wickets and two overs in hand.

There were question marks over why Smith wasn't picked in the No.3 spot or in the middle order, which selector Tony Dodemaide has since tried to answer.

"We see him primarily at the top," he told media on Wednesday.

"That's where he's come into the squad, for cover of that area. He was really only available for game three, which was the game where we had our best-performed pairing.

"If we got more moving parts and we had to think of things differently, that's a different story ... but Steve still retains his place as cover for that opening position."

Cameron Green has managed just 24 runs across three innings and was stumped in ugly fashion against Sri Lanka, leading to calls for him to be axed and replaced by Smith.

That ship has already sailed however, with Zimbabwe's washed-out fixture against Ireland meaning that the Aussies have no way of reaching the knockout stage.

The dismal World Cup campaign could also have ramifications moving forward, with cricket's return to the Olympic Games in two years' time looming large.

Prior to the tournament, Australia were firmly ahead of New Zealand in the rankings and appeared to be in the box seat to earn automatic qualification for the six-team event.

However, with the Black Caps still in the running at the T20 World Cup, they could now leapfrog their Trans-Tasman rivals and force the Aussies into a tricky qualifying process, according to The Sydney Morning Herald.

"My understanding is head office is still working through exactly what it means, so until we get specifics, that's down the path for us," Dodemaide said.

Smith - who will be 39 by the time the LA Olympics roll around - has expressed interest in playing in the tournament and has roots in the United States, where he owns property and spends a lot of his downtime when he's not playing for Australia.

"My main goal is to get in the team when the Olympics is rolling around," he said.

"I'd be keen to do that. That'd be pretty cool."

Australia will play their final World Cup group stage game against Oman on Saturday.