Global Visual Effects (VFX) Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Visual Effects (VFX) Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Visual effects refer to the process of creating, manipulating, or enhancing images by manipulating scenes outside of the live-action environment through various means when producing a video. Visual effects often involve the integration between actual footage and processed images to create a realistic-looking environment for context. Visual effects typically use computer-generated imagery (CGI) and specific VFX software to achieve this.

Market Overview:

The latest research study on the global Visual Effects (VFX) market finds that the global Visual Effects (VFX) market reached a value of USD 10142.04 million in 2022. It’s expected that the market will achieve USD 18436.36 million by 2028, exhibiting a CAGR of 10.47% during the forecast period.

Regional conflicts are formed as interrelated wars between neighboring countries that complement each other and are therefore usually protracted. They are characterized by complex political, economic, social and military cross-border linkages. Across the region, conflict restricts trade, increases social distress, weakens governance, increases tensions and limits people-to-people connections.

The social instability caused by regional conflicts has greatly restricted the development of the entertainment industry, especially the film and television industry. One of the most influential events in the world in the current regional conflict: The Russian-Ukrainian war. The Russian-Ukrainian war has entered its third phase, with ground forces appearing to be more balanced than ever, lacking a real military breakthrough. Both sides appear reluctant to negotiate a ceasefire, and Russia's move to organize a referendum to formally annex the occupied territories could further dampen hopes for a ceasefire. The effects of war have gone far beyond the strict geographic boundaries of the conflict. Due to the impact of the war, the state's financial expenditures for the film and television industry will decrease, and more military expenditures will be added. The VFX industry requires high costs. The budget reduction of the film and television industry caused by regional conflicts is expected to be detrimental to the VFX industry. influences.

Development of the TV Industry

Visual Effects (VFX) can enhance TV scenes, help build things that don't exist, etc. such as digital visuals in fights in TV shows. Visual Effects (VFX) can build some of the actor's movements in TV series, especially the difficult movements in fights; this is the process of capturing the physical movements of the actors through motion and then re-creating them on the digital character models. Therefore, the development of the TV industry is more conducive to the development of the Visual Effects (VFX) industry.

Currently, the TV industry is constantly developing in the global market. For example, U.S. production levels continue to grow, driven more by the streaming boom. Variety reports that nearly 2,000 original series aired in the U.S. by the end of 2021. In addition, many studios in the global market are increasing their TV budgets to produce high-quality content. This is undoubtedly more conducive to the development of the Visual Effects (VFX) industry.

The development of the film industry

Visual Effects (VFX) helps create special effects in movies such as fire, explosions, creature creation, and object destruction, helping audiences better understand the story. Additionally, Visual Effects (VFX) enables filmmakers to more efficiently achieve the nearly impossible parts of a shoot. Visual Effects (VFX) on film is the process of creating images that don't actually exist by using CGI, compositing, and motion capture. These include 3D modeling, green screen shooting and performance capture.

At present, the global film market is showing good development. Africas film industry, for example, is booming; according to a UNESCO study due in the fall of 2021, there are 2,500 films in Nigerian production alone. Therefore, within the development of the film industry, it is more conducive to the development of the Visual Effects (VFX) industry.

The growing demand for high-quality content is driving the Visual Effects (VFX) industry

The growing global demand for high-quality content is an important factor driving the VFX market. Visual Effects (VFX) can be used to alter, create, and enhance live-action media to include effects that might not have been captured in live-action. Therefore, Visual Effects (VFX) have been widely used in TV shows, movies, advertisements and games.

Surging use of digital video streams such as Netflix, Amazon Prime Video and Hulu in global markets; The global demand for premium visual entertainment continues to soar. Because of this, the high-quality content and VFX market have become very important in the overall market. In addition, the use of smart devices such as HDTVs, smartphones, laptops and tablets has contributed to the growth of digital video streaming services.

Region Overview:

In 2021, the share of the Visual Effects (VFX) market in United States stood at 31.60%.

Company Overview:

DNEG Matte is one of the major players operating in the Visual Effects (VFX) market, holding a share of 3.17% in 2022.

DNEG, one of the world's leading visual effects, animation and stereo conversion companies for feature film and television, with studios in London, Vancouver, Mumbai, Los Angeles, Chennai, Montreal, Chandigarh, Bangalore and Toronto. DNEG has over 20 years of industry experience and has been honored with the Academy Award for 'Best VFX' five times.

Weta FX (formerly known as Weta Digital) is a digital visual effects company based in Wellington, New Zealand. Weta FX is the standard-bearer for creativity and innovation in visual effects and animation, attracting talent, partners, and clients that seek to push what is possible in pursuit of their artistic vision.

Industrial Light and Magic serves the film, television, streaming, commercial production and attraction industries. Industrial Light and Magic has created visual effects for over 350 feature films. With so many technical and creative innovations, Industrial Light and Magic has been a constant force in the advancement of visual effects.

Fuse Group Acquires El Ranchito VFX Firm Known for Work on The Mandalorian, Game of Thrones

JUNE 7, 2022

Fuse Group has added another pillar of its strategy to assemble a diversified collection of visual effects firms with the acquisition of Madrid-based El Ranchito, known for its work on such fantasy blockbusters as The Mandalorian, Game of Thrones and Stranger Things.

El Ranchito is the latest acquisition for the parent company of FuseFX, FOLKS and Rising Sun Pictures. Fuse Group, backed by EagleTree Capital, aims to be a large-scale, full-service provider of vfx services with reach and expertise in major media markets in Asia, Latin America, Europe and other markets beyond the U.S.

David Altenau, FuseFX founder and chairman, and Fuse Group CEO Sbastien Bergeron have been building up the company with private equity backing from EagleTree, since 2018. El Ranchito brings to Fuses portfolio specific expertise in a high-end fantasy effect and reaches in an important European market.

Segmentation Overview:

Among different product types, Simulation FX segment is anticipated to contribute the largest market share in 2027.

Simulation FX refers to a visual technique used in simulating a story or imaginary event in a virtual world. Simulation FX is commonly used in the entertainment industry for TV series, movies, video games, and more.

Animation is a video technology that shoots continuous pictures and causes the naked eye to produce a visual afterimage illusion that the pictures are moving. Usually animation is produced by a lot of intensive and tedious labor, even now with the great progress and development of computer animation technology.

Modeling refers to the process of creating 2D pictures into 3D characters, objects or even environments using some 3D rendering modeling software.

Matte painting is the use of digital or traditional painting to create an imaginary or realistic scene for filmmaking. It allows access to places that cameras cannot, and offers the possibility of constructing fictional universes.

Composition is the process of combining two or more images into the appearance of a single image, often giving the illusion that these elements are all from the same scene.

Application Overview:

By application, the Film segment occupied the biggest share from 2017 to 2022.

Television refers to an electronic transmission device that receives moving images and sound from a source receiver. Television has had a considerable impact on society by expanding sensory sight and hearing beyond the limitations of physical distance. Visual effects can make things that can't happen in real life into reality, and more and more people like to watch TV with visual effects. Visual effects are widely used in the television and film industry.

A film is a work of visual art that conveys an idea, story, perception, feeling, beauty, or atmosphere using a series of moving images projected onto a screen in rapid succession with light. Film is a very effective medium for conveying drama, especially in evoking emotion. The production of some big movies is inseparable from the visual effects.

A video game is a game that exists and is controlled by software and is run by a video game console or computer. Video games often provide audio feedback through speakers or headphones, and sometimes use other types of feedback, including haptic technology. Video games are mostly made with visual effects.

Key Companies in the global Visual Effects (VFX) market covered in Chapter 3:

Sony Pictures Imageworks
BUF
Weta FX (Weta Digital)
Scanline VFX
Digital Domain
Rodeo FX
Pixomondo
Cinesite
Framestore
DNEG Matte
Animal Logic
Industrial Light and Magic
Moving Picture Company (MPC)
The Mill
Tippett Studio

In Chapter 4 and Chapter 14.2, on the basis of types, the Visual Effects (VFX) market from 2018 to 2029 is primarily split into:

Simulation FX
Animation
Modelling
Matte Painting
Compositing

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Visual Effects (VFX) market from 2018 to 2029 covers:

Television
Film
Video Game
Others

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)