2025 TRENDS: WHAT’S IN STORE FOR THE 3D INDUSTRY?

December 18, 2024

This past year, Hollywood’s slow recovery from the writer and actor strikes took its toll on many in the wider entertainment industry.

 

But 2024 wasn’t all bad.

 

The demand for high-quality 3D and VFX work continued to be strong. Plus, we began to see the fear of a Terminator-style judgment day turn to cautious optimism as artists found new ways to make AI work for them.

 

While we don’t have a crystal ball and we can’t tell you exactly what next year has in store, we do know a 3D industry trend when we see it. From the next step in virtual production’s rapid evolution to technology in the creator economy, in this blog we’ll run you through the biggest trends we foresee in 2025, with some of our PR and marketing insights for good measure.

 

Read on to see the trends that will define 2025.

 

2025 TREND 1: AI REACHES ITS LIMIT (FOR NOW)

 

Don’t get us wrong, we’re not saying 2025 won’t see exciting (and potentially nervewracking) new applications for AI, it almost certainly will. But it’s equally possible that we’ll start to see its limitations. Most AIs are built on existing information, that information will inevitably run out and development of the technology will slow down — for a time. Many believe it’s already happening and it’s been dubbed the ‘AI plateau,’ echoing the development patterns of many technologies over the years. It is, however, worth mentioning the emerging possibility of companies training AI on social media, an idea that raises a litany of ethical and practical questions.

 

Whether its rapid evolution slows or not, we’re likely to see more regulations imposed on AI, as governing bodies establish rules around its use. In May 2024, Colorado became the first US state to enact a comprehensive US AI legislation. The Colorado AI Act largely centers on avoiding bias or discrimination from decision-making AI systems and comes into effect in 2026. Right now, publicizing the use of even the most ethical AI is a delicate business. With more regulations and further peace of mind surrounding the technology, public perception could become much more positive.

 

2025 TREND 2: VIRTUAL PRODUCTION FOR LOWER BUDGETS

 

We highlighted the trend towards scalable virtual production in our roundup of 3D trends for 2024. In the last six months, we’ve seen it used on live sports broadcasts and independent movies. Next year we expect to see the technology enter a new era of accessibility, with improved portability and options to quickly change the size or shape of an LED volume to suit different shots.

 

No longer just a fancy new tool for adventurous filmmakers, virtual production techniques can lower the budget and speed up production on all kinds of projects. That’s one of the many reasons the market is expected to grow from $3.37 billion in 2024 to $10.07 billion by 2032. Plus, there are tools like Cuebric, which enables teams to create a 2D image, separate it into multiple layers of depth each with its own geometry and textures and display it on an LED volume. This 2.5D technology presents an easier and more cost-effective way to generate realistic 3D backdrops.

 

It’s probably a stretch to say that virtual production will become available to any production in 2025, but you can expect to see it being used in surprising places and inventive ways throughout the year. The press is also still fascinated by the virtual evolution of filmmaking, giving relevant companies a leg up if they are pushing the tech in novel ways.

2025 TREND 3: BIG SCREEN SPECTACLE HITS THE LIVE ARENA

 

For the biggest names in the business, live events are an immensely profitable enterprise. Having been valued at $58.91 billion in 2023, the market is expected to be worth $754.04 billion by 2030. That’s a major contribution to the global economy and a lucrative place for groundbreaking visual storytellers to be working. As such, the standard of live visuals has risen to colossal heights (in some cases, literally) and boundaries are being pushed all the time.

 

This year we’ve worked on projects involving the Las Vegas Sphere — which contains a 6Kx16K resolution, 240 feet tall screen comprising 64,000 LED tiles — and Adele’s one-of-a-kind Munich residency. The latter of which featured one of the world’s largest LED media walls, displaying captivating visuals to rapturous audiences in the custom-built outdoor arena.

 

Whether it’s Coachella, the return of Oasis, or the FIFA World Cup, you can bet 2025’s biggest events will be exploring ways to incorporate real-time CG visuals on a massive scale. This could open up new career paths for talented 3D artists and an increased demand for high-quality visuals. It also gives companies/studios a chance to play guide, illuminating how creative projects get more interesting when a medium expands.

 

2025 TREND 4: CG GETS A LITTLE GREENER

 

Every year the effects of climate change become more and more apparent. Every industry is exploring ways to increase sustainability and 3D is no exception. Spending most of our days behind computer screens, it’s easy to forget that animation studios, post-production houses, and game developers can all leave a pretty significant carbon footprint. Server rooms, powerful machinery, and staff commutes are all contributing factors. Although, as VFX Voice explains, exact figures are difficult to determine amidst the entertainment industry’s very large carbon footprint.

 

Still, exact data isn’t always needed to know that we could be greener. Over the last 12 months, we’ve spoken to studios finding new ways to lessen their environmental impact. For example, doing the vast majority (or all) of their computing in the cloud reduces the need for CO2-emitting on-site machinery. Similarly, the use of software that facilitates remote production meetings and reviews can cut unnecessary travel.

 

Publicizing efforts to make your company more sustainable is a great opportunity. Not only will you show your audience how committed you are to prioritising the environment, you might even inspire more positive change in the industry. The time for indecision is over when it comes to environmental impact, so expect to see more and more 3D companies publicizing the ways their work is getting greener. After all, there is no planet B.

 

2025 TREND 5: CREATORS DO EVEN MORE WITH LESS

 

In recent years we’ve seen creatives doing more and more incredible work with limited resources. On a relatively modest budget of $80 million, Gareth Edwards and ILM were able to make The Creator’s VFX rival and in some cases surpass that of the biggest Hollywood juggernauts. Similarly, a team of just 35 artists bagged the Best Visual Effects Oscar earlier this year for their work on Godzilla Minus One.

 

Elsewhere, the creator economy — in which content creators use digital platforms to create and share content with an audience — is booming. These individuals, some of whom have huge followings, are finding ways to utilize technologies like AI and virtual production to enhance their content and optimize its distribution or monetization. Developers are increasingly looking at ways to bring their tools directly to creators, so they can slide it into their existing setup with minimal effort.

 

Everybody loves an underdog story. Since the dawn of time they’ve shown us what’s possible with belief, resourcefulness and talent. From a PR standpoint, telling your own underdog story can make your company more relatable to an audience and get your work in front of the right people.

2025 TREND 6: VFX TAKES THINGS UP ANOTHER NOTCH

 

Much of the demand for VFX may be in streaming, but it’s still the big screen that’s pushing the technology forward. This summer saw a de-aged and sadly deceased actor brought back for Alien: Romulus, using a mix of puppetry and CGI. Like almost every instance of this technology on screen, reactions have been mixed, but the character’s substantial screen time is a huge vote of confidence in the technique and its potential.

 

More recently, Robert Zemeckis — a filmmaker known for his keen embrace of the latest filmmaking techniques — used generative AI to portray Tom Hanks and Robin Wright across a span of 60 years. The technology, by Metaphysic, enables the actors to appear at different ages throughout the story. Both films are bold applications of cutting-edge technology and the differing receptions show that it’s a topic sure to inspire and enrage filmmakers in the years to come.

 

With superhero movies back in a big way, the next installment of James Cameron’s Avatar saga, and lots more, next year promises plenty of digital innovation on the silver screen.

 

2025 TREND 7: THERE WILL BE MORE TO CELEBRATE

 

There’s no denying it’s been a tough few years for the 3D industry and recovery from the double-whammy of a pandemic and Hollywood strikes has been slow. All the same, there’s been plenty of incredible work.

 

As the industry continues to recover, we predict even more positive headlines in 2025. In some cases, it’s already happening. Over in the UK, a new VFX tax credit uplift begins on January 1st. The decision looks set to attract a spend of £175 million per year on VFX for film and TV — an increase of more than 45% — and to create 2,800 new jobs.

 

The market growth of areas like virtual production, immersive entertainment, and animation promises plenty of opportunity ahead. If your company has good news to share, there’s never been a better time to get it out there and show the wider industry how you’ve navigated a changing landscape. Event keynotes or interviews can be a great way to celebrate your wins in a practical and helpful way.

 

Want to reshape your PR and content strategy in 2025? Or launching a big project you want the right people to see? We’re here to help. Just get in touch and we can figure out a plan tailored to your needs.