Sphere Entertainment spent an estimated $2.3B on a huge, state-of-the-art venue in Las Vegas, 366 feet tall and 516 feet wide, and launched it in 2023 with a U2 performance.
Now, it’s not only the world's biggest spherical structure, but possibly its “most profitable venue,” per Wolfe Research analyst Peter Supino, according to The Hollywood Reporter.
How’d we get here?
By leaving Kansas. The Wizard of Oz has been a beloved classic for decades. You can stream it, rent it, or check out any number of repertory screenings, but nothing’s like seeing it at the Sphere.
New York Times reviewer Alissa Wilkinson described the experience as “being inside a massive bubble” with an IMAX screen spanning over and around the viewer so that they have to swivel to see it all.
The film has been — controversially — stretched and modified with AI tools to accommodate such a venue, warping original effects and performances in a way that some find creepy. It also cut the film down due to scenes that couldn’t be adapted.
But less purist audiences may be distracted from all that by immersive touches, including wind in tandem with the famous tornado scene, falling snow, inflatable flying monkeys, pyrotechnics, and piped-in scents.
It’s certainly been lucrative, at least
Despite the fact that tickets start at $114, they’re selling. It cost $100m to adapt the film, but Supino estimates that the Sphere will achieve profits exceeding $500m in 2026 for an adjusted operating income near $200m — which will likely appeal to investors and studios looking to boost their iconic IPs.
Sphere CEO James Dolan has reportedly already approached Disney and Warner Bros. about properties including Star Wars and Harry Potter, and effects already used in Oz could be adapted for other screenings, akin to the way 4DX theaters are already equipped for various weather and motion effects.
- Jaws, BTW, just earned $10.5m at US box offices thanks to its 50th anniversary re-release, during which it screened in IMAX and 4DX.
And Sphere isn’t the only venue in the game
Cosm, with locations in Dallas and LA, recently adapted The Matrix for its “shared reality” dome, where visual effects enhance what’s happening in the movie.
Tickets are cheaper, starting at under $50 and scaling to $100+ to include a themed tasting menu, timed to associated scenes.
And, yes, those ticket holders did get to choose between a red and blue… cocktail.
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