China’s ‘Netflix’ Iqiyi to open the theme park with VR based on the shows

Beijing – Chinese video streaming platform Iqiyi On Thursday announced that it is planning later this year to open its first fully -fledged theme park in China based on characters from his own shows.

The upcoming “Iqiyi Land” will be opened in the city of Yangzhou in the province of Jiangsu, just over two hours of Shanghai with a fast train. The company said that the theme park will contain seven types of attractions – including compelling theater, interactive film sets and experiences that Virtual Reality use – largely based on characters from the films and television dramas of Iqiyi.

It is the newest company that bet that local consumers will spend more on experiences, despite lukewarm retail sales.

Legoland opens its First China Resort In Shanghai this summer, while Warner Bros. Discovery last month announced that it will open a “Harry Potter Studio Tour” in the same city in 2027. Chinese toy company Pop Mart At the end of 2023, a theme “Pop Land” in Beijing opened, which became the most popular attraction in the business district of the city, according to rankings of Dianping.

The planned IQIYI theme park builds on the recent success of the company with VR-specific attractions.

The company has developed technology that combines VR headsets with moving platforms – giving visitors the impression that they are walking, driving on boats or are in a flying carriage. That means that a theme park -like experience can be compressed in a room as small as a square only 57 feet long.

Since the first special VR experience of IQIYI was opened in Shanghai two years ago, the company has worked with business partners to open more than 40 locations in at least 20 Chinese cities. According to the company, one VR experience based on Iqiyi’s “Strange Tales of the Tang Dynasty: Journey to the West” received more than 100,000 visitors in the first opening year.

VR, gaming and artificial intelligence have made the turnout possible of “distributed” theme parks that are more compact, more interactive and able to repeat content faster, said Hang Zhang, senior vice president at Iqiyi, translated into a Chinese statement by CNBC.

He said that some of the VR -based experiences will first be released in Iqiyi Land before they are launched at other locations.

IQIYI shares closed almost 3% higher in US trade on Thursday and have risen 14% for the year so far.

The income of the Chinese theme park of the mainland will be more than 480 billion yuan ($ 67 billion) this year, with more than 500 million visitors, according to data shared by the International Association of Amusement Parks and Attractions. That would be exponentially higher than 30.39 billion Yuan registered in 86 large theme parks on the mainland of China in 2023, just after COVID-19 Pandemic checks were over, the data showed.

Parks are increasingly using a mix of virtual reality to involve guests while using AI tools to manage crowds, the association said. It added that parks also combine global franchises for intellectual property with domestic stories in China.

The association announced on Wednesday that the head of Disney Parks International would speak to being Asia Expo this summer in Shanghai.

Disneywhose Disneyland in Shanghai opened in 2016, one reported 28% on annual rise in international parks and experiences The business income in the quarter ended on December 28, in contrast to a 5% decrease in the US

ComcastWhose Universal Studios Beijing opened in 2021, said Higher income In the international theme parks, the lower guest rise in the American parks compensated in the fourth quarter.

Tourism has been a rare bright spot in the Anders Matte consumer market of China. The consumer price index, an indication of domestic demand, rose by only 0.2%last year, while the tourist component increased 3.5%.

China’s plan to stimulate consumption this year, specifically mentioned for developing the experiential economy. Iqiyi has previously worked with a local tourism board to produce a television drama that takes place in a remote part of China, which attracts visitors.

Competition in content, however, remains fierce. IQIYI reported a decrease of 8% in the turnover from 2024 to 29.23 billion Yuan, as a result of which the previous year reversed an increase of 10%.

Theme park projects can also be confronted with delays.

Was a Legoland in the province of Sichuan in West -China Originally planned to open by 2023. When CNBC contact with Operator Merlin Entertainment about the project, the company only emphasized the summer opening of Legoland in Shanghai this summer.

Publication: Comcast is the owner of NBCUIVERSAL, parent company of CNBC.