“Global Immersive Entertainment Market to reach a market value of USD 419.5 Billion by 2030 growing at a CAGR of 23.1%”
The Global Immersive Entertainment Market size is expected to reach $419.5 billion by 2030, rising at a market growth of 23.1% CAGR during the forecast period.
The integration of cutting-edge audio technologies and spatial sound design has enhanced the immersive nature of live music experiences, replicating the atmosphere of traditional concerts. Consequently, the music & concerts segment would acquire nearly 10% of the total market share by 2030. The global reach afforded by virtual concerts has broadened the artist's audience, transcending geographical boundaries. Moreover, the COVID-19 pandemic has accelerated the adoption of virtual and hybrid concert formats, prompting consumer behavior toward digital alternatives.
The major strategies followed by the market participants are Partnerships as the key developmental strategy to keep pace with the changing demands of end users. For instance, in December, 2023, Meta Platforms, Inc. partnered with Telefónica, a telecommunications company, to promote mixed reality among elderly people. The partnership reinforces Meta's goal to provide everyone with the benefit of immersive technologies. Moreover, in December, 2023, Samsung Electronics Co., Ltd. announced a partnership with Netflix, an American streaming media company. Under the partnership, Samsung Electronics would provide immersive live streaming of Netflix’s “Squid Game: The Trials”.
Based on the Analysis presented in the KBV Cardinal matrix; Apple, Inc. and Microsoft Corporation are the forerunners in the Market. In October, 2022, Microsoft Corporation came into partnership with Meta, an American technology company, to provide immersive VR experiences. The partnership involves the integration of Microsoft's Mesh for Teams with Meta Quest Pro devices and would lead to enhanced collaboration between different people. Companies such as Samsung Electronics Co., Ltd., Meta Platforms, Inc. and Qualcomm Incorporated are some of the key innovators in the Market.
LBE venues provide access to immersive technologies for individuals who may not have high-end VR equipment at home. This widens the audience base and introduces immersive experiences to diverse people. Additionally, LBE venues typically invest in high-quality VR and AR equipment, providing users with a premium immersive experience that may surpass what is achievable with consumer-grade devices. LBE staff members are often trained to assist users, ensuring a smooth and enjoyable experience. Due to these factors, the market will grow significantly in the coming years.
Technological advancements have led to more advanced VR headsets with higher resolutions, improved field of view, and better comfort. This results in a more realistic and immersive visual experience for users. Innovations in tracking technologies, including inside-out tracking and improved sensors, enhance the accuracy and responsiveness of motion tracking in VR and AR environments, reducing latency and improving overall immersion. As advancements in immersive technologies continue, the market is expected to grow further.
Instances of data breaches or misuse of personal information can erode consumer trust in immersive technologies. High-profile incidents can lead to skepticism and reluctance to adopt this form of entertainment. Violating privacy regulations can lead to legal consequences and damage a company's reputation. The negative fallout from privacy-related incidents can have lasting effects. Integrating immersive technologies in everyday life may lead to concerns about constant surveillance, impacting user comfort and the willingness to adopt immersive experiences. Due to the above factors, market growth will be hampered in the coming years.
Based on application, the market is fragmented into gaming, live events, museum & cultural experiences, music & concerts, sports, arcade studios, immersive theatre, and others. The arcade studios segment recorded a remarkable revenue share in the market in 2022. Arcades can leverage immersive technologies for innovative marketing campaigns, attracting new customers and engaging existing patrons with unique and memorable experiences. The integration of immersive technologies in arcades allows operators to create loyalty programs, rewarding frequent visitors with exclusive access to new experiences or discounts.
On the basis of technology, the market is segmented into virtual reality (VR), augmented reality (AR), mixed reality (MR), and others. The mixed reality (MR) segment acquired a substantial revenue share in the market in 2022. This expansion is driven by technological advances and an increasing need for seamlessly integrated virtual and real-world experiences. It enables realistic and interactive training environments where users can practice aptitudes and procedures in a risk-free virtual setting. Moreover, the capacity of MR to overlay digital content onto the physical world, complemented by interactive elements, has given rise to engaging and dynamic entertainment scenarios, fueling segment growth.
Free Valuable Insights: Global Immersive Entertainment Market size to reach USD 419.5 Billion by 2030
Region-wise, the market is analysed across North America, Europe, Asia Pacific, and LAMEA. In 2022, the North America region witnessed the largest revenue share in the market. The region's well-established entertainment industry, including Hollywood and the gaming sector, has played a pivotal role in driving consumer awareness and adoption of immersive experiences. Additionally, the prevalence of high disposable incomes in North America has facilitated the widespread adoption of this form of entertainment, including virtual reality gaming, concerts, and experiential events.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 81.5 Billion |
| Market size forecast in 2030 | USD 419.5 Billion |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2030 |
| Revenue Growth Rate | CAGR of 23.1% from 2023 to 2030 |
| Number of Pages | 242 |
| Number of Tables | 323 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Technology, Application, Region |
| Country scope |
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| Companies Included | Meta Platforms, Inc. (Meta), Microsoft Corporation, HTC Corporation, Barco NV, Magic Leap, Inc., Samsung Electronics Co., Ltd. (Samsung Group), Apple, Inc., Sony Corporation, Qualcomm Incorporated (Qualcomm Technologies, Inc.) and Unity Software, Inc. |
By Technology
By Application
By Geography
The Market size is projected to reach USD $419.5 billion by 2030.
Rise of location-based entertainment (LBE) are driving the Market in coming years, however, Substantial privacy and data concerns restraints the growth of the Market.
Meta Platforms, Inc. (Meta), Microsoft Corporation, HTC Corporation, Barco NV, Magic Leap, Inc., Samsung Electronics Co., Ltd. (Samsung Group), Apple, Inc., Sony Corporation, Qualcomm Incorporated (Qualcomm Technologies, Inc.) and Unity Software, Inc.
The expected CAGR of this Market is 23.1% from 2023 to 2030.
The North America region dominated the Market, by Region in 2022, and would continue to be a dominant market till 2030; thereby, achieving a market value of $162.8 Billion by 2030.
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