Rapid evolution of XR within the entertainment sector, with increased capital flowing into augmented reality (AR) and mixed reality (MR) applications, particularly in location-based entertainment (LBE). Notable innovations include immersive AR experiences at global events like Kansai Expo and AR theme parks utilizing headsets like Meta Quest 3 and HoloLens2, alongside holographic attractions by Enklu. However, the consumer VR landscape faces turbulence, exemplified by Meta’s shift away from VR hardware development toward AR/MR, a move driven by declining Quest sales and substantial financial losses. Microsoft’s discontinuation of HoloLens and Mojang’s removal of VR support from Minecraft underscore the sector’s challenges. Meanwhile, Asia’s amusement industry remains dynamic, with major expos in China revealing a focus on digital tech, IP-driven attractions, and the integration of VR/AR innovations. Overall, the trend indicates a strategic pivot toward lightweight AR/MR hardware, with significant implications for investor positioning in immersive tech, entertainment formats, and cross-sector collaborations.