Belonging to the entertainment sector means this company will be affected directly and indirectly by a number of disruptive opportunities and challenges over the coming decades. While described in detail within Quantumrun’s special reports, these disruptive trends can be summarized along the following broad points:

*First off, the cultural shift among Millennials and Gen Zs toward experiences over material goods will make entertainment consumption an increasingly desirable activity.

*By the late 2020s, virtual reality (VR) and augmented reality (AR) will reach a level of market penetration significant enough for entertainment companies to start shifting sizeable resources into content production for these platforms.

*By the late 2030s, the widespread popularity of VR and AR will shift the public’s media consumption tastes away from voyeuristic storytelling (traditional movies and television shows) to participatory forms of storytelling that immerses the content consumer by allowing them to influence the content they experience—kind of like being an actor in the movie you’re watching.

*The shrinking cost and versatility of artificial intelligence systems, combined with the increasing computational capacity of future quantum computing systems, will drive down the cost of producing higher budget looking content, especially for future VR and AR platforms.

*All entertainment media (especially video games) will eventually be delivered primarily through subscription based platforms.