LED volume making waves in virtual production

Virtual production using LED volume’s has gained a firm foothold in feature films and high-end episodic series. According to Futuresource Consulting's new publication on Virtual Production & XR, there was a global installed base of 200 LED in-camera visual effects (ICVFX) volume at the end of 2023. And despite receiving a large amount of exaggerated hype, the technology should not be dismissed as a fad or gimmick.

ICVFX uses display technologies alongside camera tracking and game engines to capture convincing virtual backdrops on set. Rather than shooting against a greenscreen and conducting background replacements in post-production, ICVFX provides visual cues, which can help enhance actors’ performances and make them more comfortable on set.

LED volume delivers wide range of benefits

Other benefits include a lack of greenspill, which is the artifacts produced on reflective surfaces when shooting on a greenscreen. Greenspill is costly and time consuming to remove in postproduction. In addition, as LED volume locations are virtual, crews don’t need to contend with the challenges of an uncontrollable natural environment. When shooting a sunset scene, for example, crews have unlimited time.

The location of virtual production facilities can also open up new opportunities relating to reducing the cost of real estate or enhancing access to talent. And the shift to virtual sets also eliminates the amount of physical material that is used, thereby reducing waste created by a production. Virtual backdrops can also accelerate the time taken to set up shots, as the background can be spun 180 degrees to create an identical reverse shot, while leaving the camera in its existing position.

Shrinking production pipeline, expanding opportunities

“The practice of shooting ICVFX on LED volumes will continue to develop as it becomes an established tool for directors and producers,” says Ted Romanowitz, Principal Analyst, Futuresource Consulting. “Virtual production radically reconfigures the production pipeline, bringing the VFX department much closer to pre-production and on set. And this pipeline shrink is creating opportunities beyond film and television. Watch out for ICVFX as it becomes applied to corporate, government, house of worship, and education verticals, as tools become more widely available through the rental channel, and the freelancer pool grows.”

Europe leads the way for ICVFX

Europe was the region with the most installs at the end of 2023, with 65 facilities, or 33% of the global installed base. North America took second position, with China in third. Together, these three regions accounted for more than 80% of the worldwide facilities.

Of the products required to integrate an ICVFX volume, LED displays account for the greatest value share of the total project spend. In 2023, LED displays accounted for almost three in every four dollars of total spend on ICVFX volumes globally, equating to more than $42 million.

Future growth will come from smaller installs

Futuresource expects the number of LED ICVFX volume installs to increase with a CAGR of 18% out to 2028. Overall growth will largely be driven by the expanding number of small and medium-sized facilities, while large and mega volume installs will be subdued. As a result, the average spend per volume will drop slightly over the forecast period.

Futuresource Consulting’s Virtual Production and XR report presents a quantification of the value of the existing installed base of equipment, while providing detailed analysis, forecasts and information on the opportunity for technology vendors. For more information or to make a purchase, please contact Ben at ben.thrussell@futuresource-hq.com.

About the author

Ted Romanowitz

Ted Romanowitz is a visionary product leader spearheading industry transitions in the Semiconductor, Consumer Electronics, Networking and Professional Audio Visual industries.  He held increasingly responsible marketing roles at Intel Corporation over his twelve year tenure, helping drive the highly successful Centrino Mobile Technology launch and Gigabit Ethernet market transition as well as owning the global consumer processor and chipset roadmap.  

Romanowitz begin in the Pro AV industry in the 1990s expanding the Vivatek brand for Delta Products and has spent the past decade focused on LED product management with Industry leaders Leyard/Planar and Christie Digital Systems. Currently an independent Consultant and Contributing Assistant Professor at Willamette University's Atkinson Graduate School of Management, Ted lectures, writes and consults in the areas of new product planning, go-to-market strategy, product and sales management.  

In August 2021, he co-authored a comprehensive industry report on MicroLED display technology focused on the Pro AV and Consumer Electronics industries.