Immersive Entertainment Market to Grow at 24.9% CAGR | 2030

Immersive Entertainment Market Size and Forecast (2020 - 2030), Global and Regional Share, Trend, and Growth Opportunity Analysis Report Coverage: By Component (Hardware, and Software & Services), Technology (Virtual Reality (VR), Augmented Reality (AR), Mixed Reality (MR), and Others), Organization Size (Large Enterprises and SMEs), and End User (IT & Telecom, BFSI, Healthcare, Government, Manufacturing, and Others)

  • Report Code : TIPRE00038939
  • Category : Technology, Media and Telecommunications
  • Status : Data Released
  • No. of Pages : 150
Buy Now

The immersive entertainment market size is expected to grow from US$ 87.51 billion in 2022 to US$ 519.77 billion by 2030. The immersive entertainment market is estimated to record a CAGR of 24.9% from 2022 to 2030.

Analyst Perspective:

Over the past few years, the immersive entertainment market has seen a spectacular evolution that has attracted customers and artists. The immersive experience has been fueled by technological advancements such as virtual reality and augmented reality, which have also expedited the entertainment industry's rapid expansion. Technologies such as AR, MR and VR headsets, 3D displays, 3D audio, gesture recognition, spatial sensing, holograms, speech recognition, haptics, AI, drones, and cameras are becoming more and more accessible, affordable, and valuable, which is encouraging their adoption in specific areas such as gaming, education, and entertainment. With the advancement of technology, science fiction will increasingly become a reality with more realistic and complex immersive experiences that blur the boundaries between the virtual and physical worlds.

Although immersive entertainment is still in the early stages, it is already starting to significantly impact the video game, movie, and music industries. In the upcoming years, it is anticipated to dramatically affect several different areas, including retail, healthcare, and education.

Immersive Entertainment Market Overview:

Immersive entertainment refers to a recent trend in entertainment that aims to immerse the spectator, listener, or player in a more realistic, lifelike, and interactive world. This can be accomplished using haptic feedback, virtual reality, augmented reality, three-dimensional audio, and other techniques. Immersive entertainment aims to produce an experience that surpasses conventional forms of entertainment in terms of engagement, plausibility, and overall enjoyment. The usage of virtual reality (VR), augmented reality (AR), and mixed reality (MR) for gaming and other applications is one of the emerging trends in immersive entertainment. Businesses across various industries, such as entertainment, education, healthcare, e-commerce, gaming, and others, use immersive technologies to bring innovation, improve customer experiences, and upend traditional operational practices.

Immersive Entertainment Market Driver:

Widespread Application Of Immersive Technologies Across Entertainment Industry to Fuel Growth of Immersive Entertainment Market During Forecast Period

Immersive technology has gained popularity recently, revolutionizing various industries and transforming how consumers experience the world. From virtual reality (VR) and augmented reality (AR) to mixed reality (MR) and extended reality (XR), immersive technology offers new possibilities for the entertainment industry. The entertainment sector has seen a rise in the usage of immersive technology, which allows users to fully immerse themselves in virtual environments or engage in novel and fascinating interactions with fictitious characters and tales. In past years, virtual reality systems were bulky and expensive, making them inaccessible to most consumers. Nonetheless, customers have been more interested in immersive technology in recent years as VR headsets have become more widely available and reasonably priced. People can now explore new worlds and play immersive video games in their living rooms. Companies such as Oculus, HTC Corporation, and Sony have provided VR experiences.

Virtual reality holds a significant position in the media and entertainment sector, primarily used for creating and improving immersive video content such as TV series and films. In addition, virtual reality (VR) is used in art galleries and museums to enhance user experience and make tours interactive with background information. On the other hand, augmented reality is emerging as a profitable immersive technology that is changing the entertainment industry. Filmmakers are experimenting with VR and AR to create immersive stories that allow audiences to participate in the story actively. These technologies are used in live events, such as concerts and sporting events, to provide guests with unique experiences and boost interaction and engagement.

AR and VR continuously produce innovative and groundbreaking solutions for the entertainment industry. Companies in this sector were increasingly coming up with new ideas to make engaging virtual environments to provide an exciting way of entertainment that is engaging enough for audiences. Thus, the widespread application of immersive technologies across the entertainment industry drives the immersive entertainment market.

Customize Research To Suit Your Requirement

We can optimize and tailor the analysis and scope which is unmet through our standard offerings. This flexibility will help you gain the exact information needed for your business planning and decision making.

Immersive Entertainment Market: Strategic Insights

immersive-entertainment-market
Market Size Value inUS$ 87.51 billion in 2022
Market Size Value byUS$ 519.77 billion by 2030
Growth rateCAGR of 24.9% from 2022 to 2030
Forecast Period2022-2030
Base Year2022
Analyst Image

Naveen

Have a question?

Naveen will walk you through a 15-minute call to present the report’s content and answer all queries if you have any.

Analyst Image  Speak to Analyst

Immersive Entertainment Market Report Segmentation and Scope:

The immersive entertainment market is segmented on the basis of component, technology, end user, and geography. Based on component, the immersive entertainment market is bifurcated into hardware, software, and services. Based on technology, the immersive entertainment market is divided into virtual reality (VR), augmented reality (AR), mixed reality (MR), and others. Based on end user, the immersive entertainment market is segmented into media and entertainment, gaming, design and architecture, education, retail, and others. The immersive entertainment market, based on geography, is segmented into North America, Europe, Asia Pacific, the Middle East & Africa, and South America.

 

  • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

Immersive Entertainment Market Segmental Analysis:

Based on component, the immersive entertainment market is bifurcated into hardware, and software & services. The hardware segment in the immersive entertainment market is anticipated to lead the market with the highest market share in 2022. Immersive technology heavily relies on advanced hardware designed to create immersive experiences. This includes headsets, sensors, controllers, and haptic devices that provide physical feedback. Oculus Quest 2 and HTC VIVE Focus are among the popular examples of VR hardware. Smartphones with cameras and other sensors can also act as AR hardware for apps on mobile devices.

technology-media-and-telecomunications
Immersive Entertainment Market Segmental Analysis:
  • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

Immersive Entertainment Market Key Player Analysis:

Microsoft Corporation; Meta Platforms, Inc.; Qualcomm Technologies, Inc.; Google LLC; Sony Corporation; Infosys; HTC Corporation; Samsung Electronics Co., Ltd.; Apple Inc.; and Magic Leap, Inc. are among the key immersive entertainment market players profiled in the report.

Immersive Entertainment Market Recent Developments: 

Inorganic and organic strategies such as mergers and acquisitions are highly adopted by companies in the market. A few recent key immersive entertainment market developments are listed below:

  • In December 2023, Sony Pictures announced the launch of an immersive indoor entertainment park at Oakbrook Center in Chicago featuring escape rooms, interactive exhibits, racing simulators, VR attractions, bumper cars, and food and drink. The entertainment destination will occupy a 45,000 sq ft retail space. Immersive experiences will be based on hits, including Zombieland, Jumanji, and Ghostbusters, from the studio's movie, TV, and video game franchises.
  • In October 2023, Netflix announced its plans to open a brick-and-mortar location named "Netflix Houses" in the US in 2025. In Netflix Houses, customers can shop, play, and interact, immersing themselves in their favorite Netflix shows.
  • In October 2023, AXA XL Risk Consulting announced the launch of AXA Immersive Solutions, an innovative training solution leveraging Virtual Reality (VR) and Digital Twin technologies. AXA Immersive Solutions gives AXA XL's risk consultants access to a 3D model of a standard factory to provide engaging and sophisticated training for risk managers, facilities/plant managers, and site operators through the use of VR experiences.
  • In August 2023, Dolby Laboratories announced the launch of its latest innovation in immersive audio–Dolby Atmos FlexConnect. Dolby Atmos FlexConnect is a new feature that seamlessly pairs a TV's sound system with accessory wireless speakers to unlock a more extensive and immersive Dolby Atmos proper experience. TCL, a TV brand, is the first to implement Dolby Atmos FlexConnect in its 2024 TV lineup.
  • In July 2023, Punjab National Bank announced the launch of its virtual branch, PNB Metaverse, with an immersive 3D experience. It is a virtual branch of the bank, which will deliver a unique experience of banking to existing and new customers who can now explore the bank's products and services, such as bank deposits, retail/MSME loans, digital products, women/senior citizens, "Do It Yourself" and government flagship schemes.
  • In June 2023, Cirque du Soleil Entertainment Group and Cosm announced a partnership to launch immersive LED dome shows. Under the partnership, Cosm will produce and present an iconic Cirque du Soleil show at its forthcoming venues; the first will open in Los Angeles in spring 2024 and showcase a 26.6-meter diameter LED dome in a 65,000 total square feet facility.
  • In March 2023, Infinite Reality announced the launch of an AI feature set offering customized recommendations for immersive events, entertainment, and retail experiences. The new AI-enabled capabilities in all Infinite Reality products and experiences will enable users to access real-time engagement with an avatar salesperson who can be quickly and intuitively trained on a brand's products and services and a consumer's preferences.
  • In February 2023, iQIYI, an innovative online entertainment service in China, announced the launch of an all-immersive entertainment experience–The Luoyang VR Project in Shanghai. This project showcases all-immersive entertainment experiences incorporating VR technologies, original IP-based plotlines, and immersive theatre.
  • In November 2022, Infinite Reality announced the launch of a suite of immersive digital technology products, Infinite Skybox, Infinite Showroom, and Infinite Mainstreet, that redefine how people experience live events and online shopping. These new launches are plug-and-play virtual environments that will disrupt how creators and brands engage with their audiences.

Immersive Entertainment Market Report Scope

Report Attribute Details
Market size in
Market Size by
Global CAGR ()
Historical Data
Forecast period
Regions and Countries Covered
Market leaders and key company profiles
    • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.
    Report Coverage
    Report Coverage

    Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends

    Segment Covered
    Segment Covered

    Component, Technology, Organization Size, and End User

    Regional Scope
    Regional Scope

    North America, Europe, Asia Pacific, Middle East & Africa, South & Central America

    Country Scope
    Country Scope

    This text is related
    to country scope.

    Frequently Asked Questions


    What is the estimated global market size for the immersive entertainment in 2022?

    The immersive entertainment was valued at US$ 87.51 billion in 2022 and is projected to reach US$ 519.77 billion by 2030; it is expected to grow at a CAGR of 24.9% during 2022–2030.

    What are the future trends of the immersive entertainment market?

    Integration of artificial intelligence is the future trend of the immersive entertainment market.

    Which is the fastest growing regional market?

    North America is anticipated to grow with the highest CAGR over the forecast period.

    What are the driving factors impacting the immersive entertainment market?

    Widespread application of immersive technologies across entertainment industry, strategic initiatives by key market players, and advancements in Virtual Reality (VR), Augmented Reality (AR), And Mixed Reality (MR) are the driving factors impacting the immersive entertainment market grrowth.

    Which region is holding the major market share of global immersive entertainment market?

    The North America held the largest market share in 2022, followed by Europe and Asia Pacific.

    Which are the key players holding the major market share of immersive entertainment?

    The key players, holding majority shares, in immersive entertainment includes Microsoft; Meta Platforms, Inc.; Qualcomm Technologies, Inc; Google LLC; and Sony Corporation among others.

    The List of Companies - Immersive Entertainment Market 

    • Microsoft Corporation
    • Meta Platforms, Inc.
    • Qualcomm Technologies, Inc.
    • Google LLC
    • Sony Corporation
    • Infosys
    • HTC Corporation
    • Samsung Electronics Co., Ltd.
    • Apple Inc.
    • Magic Leap, Inc.

    The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.

    1. Data Collection and Secondary Research:

    As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.

    Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.

    1. Primary Research:

    The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.

    For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.

    A typical research interview fulfils the following functions:

    • Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
    • Validates and strengthens in-house secondary research findings
    • Develops the analysis team’s expertise and market understanding

    Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:

    • Industry participants: VPs, business development managers, market intelligence managers and national sales managers
    • Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.

    Below is the breakup of our primary respondents by company, designation, and region:

    Research Methodology

    Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.

    1. Data Analysis:

    Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.

    • 3.1 Macro-Economic Factor Analysis:

    We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.

    • 3.2 Country Level Data:

    Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.

    • 3.3 Company Profile:

    The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.

    • 3.4 Developing Base Number:

    Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.

    1. Data Triangulation and Final Review:

    The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.

    We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.

    We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.

    Your data will never be shared with third parties, however, we may send you information from time to time about our products that may be of interest to you. By submitting your details, you agree to be contacted by us. You may contact us at any time to opt-out.

    Trends and growth analysis reports related to Immersive Entertainment Market