Dublin, March 05, 2025 (GLOBE NEWSWIRE) — The “Location-Based Entertainment Market by Systems (AR/VR, Projection Mapping, Interactive Gaming), Software (Content Management, Experience Design, Analytics & Monitoring), Application (Immersive Rides, Cinematic Experiences) – Global Forecast to 2029” report has been added to ResearchAndMarkets.com’s offering.
The Location-Based entertainment market was estimated to be USD 5.47 billion in 2024 to USD 15.33 billion by 2029 at a compound annual growth rate (CAGR) of 22.9%.
The growth of LBE depends on several factors including improvements in holographic displays as well as spatial computing and motion tracking and AI-driven simulations that deliver highly immersive experiences. The transition from generic to individualized entertainment experiences drives up demand at amusement parks and themed attractions and digital experience centers. Advanced analytics and cloud-based content management systems and real-time monitoring capabilities enable businesses to optimize visitor interactions and business operations while increasing revenue.
High-speed network adoption and IoT-based interactive installations create new ways for users to experience physical spaces. The market expansion gets a boost from investments in smart tourism and next-generation entertainment hubs. The use of AI-generated content coupled with adaptive storytelling allows businesses to develop distinct playable experiences that attract more consumers to LBE. For instance, Meow Wolf integrates sensor-based interactivity into its immersive art exhibitions and AREA15 in Las Vegas provides multi-sensory entertainment through mixed reality and large-scale projection technology.
Based on system, AR/VR systems are expected to have second largest market size during the forecast period
AR/VR systems will dominate the market because they provide highly immersive and interactive experiences. Organizations have started implementing these systems to boost customer involvement within entertainment centers and theme parks and retail settings. Market growth exists because of increasing use of head-mounted displays (HMDs) and haptic feedback technologies and spatial computing devices. Recent developments in 5G technology together with AI systems that personalize content have improved the delivery of AR/VR experiences while making them both more fluid and capable of mass scale deployment.
Location-Based VR arenas incorporating AI-powered avatars and real-time multiplayer interactions draw in more customers to their facilities. The combination of MR technologies within cultural institutions lets visitors experience interactive historical events firsthand. The boundaries of engagement continue to expand because of the advancements in full-body motion tracking and extended reality (XR) theme park rides. The sports and fitness industries use VR-based simulations to develop hyper-realistic training scenarios which benefit their operations. Metaverse-related applications expansion drives investments that position AR/VR system technology as market leaders in the LBE sector.
Based on services, professional services will witness the highest growth during the forecast period
Businesses will depend on professional services to dominate the market because they need expert consultation along with training and support to optimize their Location-Based entertainment (LBE) experiences. The range of services includes consulting & advisory, training & development, and support & maintenance, guaranteeing smooth integration with ongoing system efficiency. The market demands specialized expertise because immersive technologies, including AI-driven interactive environments, spatial computing, and sensor-based installations, continue to increase in complexity.
Large companies implementing projection mapping and AI-driven interactive projects need specialized consultation services to develop compelling visitor experiences. Theme parks and entertainment venues dedicate ongoing training programs to teach their staff how to operate advanced AR-based attractions and real-time analytics platforms. Periodic system updates and predictive maintenance services are essential for LBE operators to ensure operational continuity and maximize user engagement since the LBE market experiences rapid hardware and software changes. Data-driven personalized entertainment solutions have increased the market demand for professional services thus strengthening their position as market leaders.
Based on region, Asia Pacific will achieve the highest growth rate during the forecast period
The Asia Pacific region will experience the fastest expansion of LBE market operations because of increasing urbanization, growing consumer disposable income, and increasing entertainment demand. The leading countries in Asia Pacific, such as China, Japan, and South Korea, use advanced technologies such as AI-powered attractions, holographic entertainment, and multi-sensory installations to lead LBE development. The ongoing smart city developments alongside digital infrastructure growth across India and Southeast Asia provide perfect conditions for LBE market adoption.
Public authorities and private stakeholders dedicate resources to establish theme parks alongside VR gaming facilities and advanced movie theaters. China’s strong metaverse initiative supports AR/VR adoption, while Japan’s advanced integration of robotics and interactive park experiences improves visitor engagement. The interactive gaming culture of South Korea, together with its esports popularity, drives the market demand for advanced gaming facilities. Asia Pacific has become the fastest-growing market for Location-Based entertainment because its diverse consumer base grows alongside its middle class while smartphone penetration numbers rise.
Research Coverage
The market study covers the Location-Based entertainment market size across different segments. It aims at estimating the market size and the growth potential across different segments, including offering, venue, application, and region. The offerings include systems, software, and services. Systems comprise simulation-based attractions, holographic displays, and other interactive systems, while software includes content management, experience design, analytics, and monitoring tools. Services cover professional consulting, training, support, and managed services.
Further, the venue segment consists of amusement parks, theme parks, arcades, and other entertainment venues. The applications encompass gaming, immersive rides, cinematic experiences, and other interactive entertainment formats. The regional analysis of the Location-Based entertainment market covers North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America.
The study includes an in-depth competitive analysis of the leading market players, their company profiles, key observations related to product and business offerings, recent developments, and market strategies. The major players in the Location-Based entertainment market include Microsoft (US), Google (US), Meta (US), NVIDIA (US), Unity Technologies (US), Sony Interactive Experiences (US), Samsung (South Korea), Barco Electronic System (Belgium), Panasonic (Japan), Huawei Technologies (China), HQ Software (Estonia), HTC Vive (Taiwan), Niantic (US), Vicon Motion Systems (UK), Optitrack (US), Springboard VR (US), 4Experience (Poland), Hologate (Germany), Ultraleap (UK), Magic Leap (US), Shape Immersive (Canada), Camon (Argentina), Kat VR (China), Virtuix (US), Pico (US), Illumix (US), Sandbox VR (US).
Key Attributes
| Report Attribute | Details |
| No. of Pages | 279 |
| Forecast Period | 2024-2029 |
| Estimated Market Value (USD) in 2024 | $5.47 Billion |
| Forecasted Market Value (USD) by 2029 | $15.33 Billion |
| Compound Annual Growth Rate | 22.9% |
| Regions Covered | Global |
Market Dynamics
- Drivers
- Rising Consumer Spending Power
- Advancements in VR and AR Technologies
- Integration of Artificial Intelligence (AI) and Machine Learning (ML) Technologies
- Rising Demand for Social and Shared Experiences
- Restraints
- Limited Scalability of Location-based Entertainment Business
- High Upfront Cost
- Impact of Wealth Dependency
- Opportunities
- Increase in Live Events and Performances
- Rising Popularity of Wearables such as Fitness Trackers and Smartwatches
- Collaboration with Brands & Events
- Challenges
- Regulatory Requirements at Local, State, and Federal Levels
- Rapid Pace of Technological Change
- Limited Appeal
Case Study Analysis
- Andretti Karting Enhances Location-based Entertainment Operations with Microsoft Dynamics 365 Business Central
- Worldbuildr Utilizes Unity Industry for Aec to Power Next-Generation Virtual World Creation
- Maquette Utilizes Optitrack Motion Capture by Naturalpoint for Enhanced Xr Prototyping
- Dreamtrace Utilizes 4Experience for Motion Tracking and Multiplayer Functionalities in Physical VR Arena
- Fennec Labs and Spawnpoint Utilize Vive Focus 3 and Lbss to Deliver Engaging VR Arcade Experiences
- Atlantis Aquarium Relies on Panasonic to Offer Fully Immersive Experience of Underwater World
Additional insights covered include:
- Brief History of Location-based Entertainment
- Ecosystem Analysis
- Supply Chain Analysis
- Regulatory Landscape
- Pricing Analysis
- Technology Analysis
- Patent Analysis
- Trends/Disruptions Impacting Customer Business
- Key Stakeholders and Buying Criteria
- Key Conferences and Events, 2025-2026
- Technology Roadmap for Location-based Entertainment Market
- Best Practices in Location-based Entertainment Market
- Current and Emerging Business Models
- Location-based Entertainment Market: Tools, Frameworks, and Techniques
- Trade Analysis
- Investment and Funding Scenario
- Impact of Generative AI on Location-based Entertainment Market
Companies Profiled
- Microsoft
- Meta
- Unity Technologies
- Nvidia
- Sony Interactive Entertainment
- Samsung
- Barco Electronic Systems
- Panasonic
- Huawei Technologies
- HQ Software
- HTC Vive
- Niantic Inc.
- Vicon Motion Systems
- Optitrack
- SpringboardVR
- 4Experience
- Hologate
- Ultraleap
- Magic Leap
- Shape Immersive
- Camon
- KatVR
- Virtuix
- Pico
- Illumix
- Sandbox VR
For more information about this report visit https://www.researchandmarkets.com/r/t3w3hc
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- Location-Based Entertainment Market
