The Stinger Report #1263 - Active Entertainment and Beyond!

Leading investors should note the surge in “Sportstainment,” exemplified by the ambitious ‘Real David Lloyd's Sports Gardens,’ integrating fitness, sports, and entertainment in large-scale venues supported by digital innovation. The sector is also evolving through immersive exergaming, AI-driven personal training, and transmedia partnerships like TOCA Social’s ‘Angry Birds’ game expansion. Meanwhile, Middle East entertainment shows reveal a shifting landscape amid geopolitical tensions, with regional events facing disruptions and strategic changes. Overall, the focus is on integrated, tech-driven active entertainment experiences and regional market adaptations, highlighting significant opportunities amid ongoing geopolitical and technological shifts.

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Transcript

Report Introduction

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This is the Stinger Report, issue number 1263, Active Entertainment and Beyond, by Kevin Williams. The drive towards greater active entertainment experiences has seen the explosion in the concept of sports stainment. These aspects are charted, along with coverage of the Middle East entertainment landscape through the lens of the last major expo for the region, just as the global conditions change. Sports Entertainment and Fitness. The new investment into exagaming, sports stainment, and social entertainment accelerated greatly in February, with the announcement of new concept projects being revealed by chief executives with previous track records in the fitness, leisure, and entertainment sector, all looking to define the next phase of these areas of the business wrapped in digital transformation, DX. The sports stainment landscape was rocked by the reveal of a considerable concept planned to roll out into the sector, helmed by the founder of David Lloyd Leisure, well-known sports professional and innovator in the fitness sector, previously through the chain of over 139 fitness clubs in the UK and Europe. David has also had dealings in the trampoline and hospitality sector, all now culminating with the announcement made this February. Revealed the launching of Real David Lloyd Sports Gardens, the highly ambitious new concept comprising fitness, sports, entertainment, and hospitality inside and out of a dedicated venue. A unique large structure comprises zip lines sharing space with tennis, volleyball and pickleball courts, along with exagaming areas, while amusement and VR, along with sports simulators, escape and party rooms, and bar slash food courts. But not forgetting children's activity areas and soft play attractions all will fill this environment. Outside, active ropes courses, mini golf, carting tracks, coasters, water attractions, golf courses and play areas will all be laid out. A dedicated hub of sports stainment, supported by a dedicated food court and hospitality element. The complicated mix of activities will see the first venue planned for a 100,000 square foot indoor space, supported by outdoor elements, at Boca Raton, Florida launch, aiming for late 2026. While in the UK, it was revealed that two or more sites have been actively located towards opening at least three venues simultaneously. A strategy borrowing from David's previous management style within his fitness chain. The founder of David Lloyd Leisure is no longer directly involved with the fitness, David Lloyd Clubs, Empire having sold this in 1995, the operation currently owned by TDR Capital, now turning his skill and management style to the launch of this ambitious sports and entertainment hub. The concept represents one of the largest combinations of mule, mixed-use leisure entertainment, social entertainment, sports and fitness in one place. The new real David Lloyd Sports Gardens concept will employ the latest technology regarding pricing, with different packages, all governed by ticketing and guest-worn smartwatches. Staffing will also build on the previous management style, looking to establish a robust team of leadership to steer operation. With the Florida venue in the construction and installation stage for a late 2026-early 2027 schedule, with the UK sites close behind. The sports gardens are exiting the traps at speed and is sure to be a pivotal concept in establishing this new genre of entertainment and activity hub. Innovation in the fitness genre was also revealed from another UK entrepreneur, previously the co-founder of the Tough Mudders concept, and more recently founder of the Immersive Game Box operation. Will Dean following the restructuring of that operation and moving on from the Operation Coach Cube. Presented as reinventing the personal training and fitness scene, the concept incorporates a smart room approach with a projection mapped environment which also monitors the activities of the user. Supported by AI charting the user's movements, a personal fitness experience is crafted with autonomous coaching. This immersive environment, borrowing heavily on what was seen with the previous immersive game box projection mapped experience. This represents a frictionless approach to exagaming than that seen with the Blackbox VR Fitness Initiative, promoted as the world's first virtual reality gym experience, with some 12 locations incorporating the application. This also sits alongside the recent announcement that saw the LA Fitness venue in Whitby, Canada, adding an 8x8 square foot XR Fit Center to their mix, offering the VR-based fitness experience. All these approaches point once again to the rise in interest in exergaming, exercises-based gamification, a concept the Stinger Report has charted since the 90s. One of the Sporttainment brands that is expanding the competitive socializing footprint is Tocker Social. Having recently opened their first U.S. facility with a 20,000 square foot venue in Dallas, Texas, the operation has continued to grow the brand. It was announced that the company is also working on new venue plans, as well as expanding their content range. The company announced a partnership with Rovio Entertainment to create a fun game based on the Angry Birds property created by Rovio that will offer players a chance to compete on knocking down towers. This latest example of consumer game IP appearing the LBE sector, bookending our focus on transmedia impact across the market. Middle East Entertainment Placement. Following the London show and the commencement of the major show season, venturing into 2026, and we turned to the Dubai Entertainment Amusement and Leisure Deal Show 2026. Celebrating its 32nd anniversary for the event held at the Dubai World Trade Center Convention venue. The reality of the IAAPA launches had started to be felt by EAG26, but the full impact was felt at DEAL 26. Amusement Services International, ASI, had a major showing as always from the regional powerhouse, representing their third-party partners. This included Sega Amusement International, SAI, who had their updated Daytona USA, Motion Edition on booth as well as other properties. Also represented was the LAI Games release, Ubisoft All-Star VR looked to be defending their space on the ASI booth. Discussions still ongoing surrounding the final release version, with sources speaking of an update in the wings for the content and hardware. Chinese developed Speedrider 4DX Superbike Racer with its innovative motion envelope was on the ASI booth, as well as redemption and skill games, including the Superwin Hoopshot video basketball platform. ASI promoted their social entertainment aspirations, having supported competitive socializing venues in the region. The booth also playing host to a strong pinball selection, finding homes in social as well as conventional FEC. ASI also represented the LAUT ECLOR 2.0 platform, hoping to see interest in this concept in the region. The other major distributor powerhouse for the region was Warehouse of Games, dub a buog, representing the Raw Thrills range, including the showing of the innovative Vedemption Racer Jackpot Racer. Along with Chinese releases such as Storm Racer 2, previously reported on, also had the Chinese VR mounted gun shooter Zombie Frenzy, while the metal gun game shooter Mega Shot, developed by Leon Amusement and represented in the West by Jet Games. WOG also had an example of the XR future, representing the Vex Solutions Party Dash LED immersive platform. Deals' proximity to EAG26 had expected there to be limited surprises on the amusement side. Though United Distributing Company, UDC, there was the representation of the Chinese developer Ace Amusement and their Dinosaur Arena Xtreme, three-player mounted blaster, along with an assortment of the latest claw machines, along with the ubiquitous music game represented by Step Revolution's Step Maniac's latest edition. Deal had one of the largest showings for the year of Chinese operations in the amusement and leisure entertainment scene. The Chinese manufacturers were still pushing VR-based attractions while the Western market seemed to be cooling. Amusement VR systems like the 4-Rider Motion Ride, Crazy Swing from Movie Power, or exhibitor Yuto Games with their four-player tethered gun VR Amusement piece, Combat Heroes Co-op, as well as Funin VR with their latest VR motorcycle ride-on and VR Motion Ride. The mini attraction space was reflected with the demonstration of a LED dome media-based motion theater system, with Fly Over the World riding the popularity of the soaring style attraction, but in a pocket-size presentation from the Chinese manufacturer supporting six riders. We can expect to see several LED dome soaring platforms from Chinese supported developers as a new mid-scale attraction for LBE and FEC deployment in the coming months. That social entertainment element of the Deal 26 show was reflected with a considerable showing of bowling machine manufacturers and installation and design operations like Exhibitor BFIT. The region has seen a pivot towards more installation of social entertainment venues than the more familiar FEC approach to the entertainment venue business. That did not stop Deal 26 from having a strong presence from the FEC service sector, such as the smart payment systems from Intercard and Semnox. The influence of active entertainment was also on show at the vent with the ski simulation system seen from one exhibitor, and the continued interest in the interactive floor platform. In conclusion, in difficult conditions and with the shadow of the 20-pound gorilla in the room, represented by the new IAAPA Middle East show, Deal 26 concluded. Obviously, at this stage, actual attendance numbers were impossible to come by, but it was obvious that the show was smaller and the attendance was less than on previous years. Many booths had cut back on their exuberance as spending was split over two events in the region. Some deal exhibitors claiming they had seen decent attendance on their booths, and that the market was willing to do business, with innovation and new products in their focus. The fall out of the conflict between the shadow of IAAPA moving into the region with their Middle East Expo later in the year was clearly felt. The International Expo Consults, IEC, who has organized the Deal Trade Show for the past 32 years, taken the decision to transition the responsibility for the exhibition to a new organizer, Global Lynx. This news felt to be more a discarding of the show rather than a transition by IEC and their backers. Rumors suggested that IAAPA and IEC may have had discussions regarding their intention to enter the region, but these could not be officially substantiated. One rumor that had circulated IAAPA 25 Expo was surrounding how the association was supporting its moves into the Middle East region. This was officially confirmed with news a few days after deal that IAAPA and the Middle East and North Africa Leisure and Attractions Council, Menelac, will join forces to launch IAAPA MANA. Menelac has been a powerful association force in the MENA region, even working closely with the previous deal and sea trade events. The proximity for Deal 2026 to the schedule for the inaugural IAAPA Middle East Expo taking place was telling, and had raised one of the biggest questions spoke in hushtones was how much the planned Saudi entertainment attraction SEA show would be impacted by this three-way fight-off. This whole situation was thrown into doubt with the news on February the 28th of the commencement of an air war on Iran, Operation Epic Fury, along with attacks on U.S. and Israeli assets across Jerusalem, Jordan, Bahrain, Kuwait, Qatar, Saudi Arabia, Jordan, and the UAE. This saw in the following minutes the mass cancellation of all flights and impact on international business. The King of Saudi Arabia condemning the retaliatory attacks by Iran against their region and supporting the U.S. operation, while the White House confirmed that the initial attacks had killed the Supreme Leader of Iran and several senior officials. This became an hour-by-hour, day-by-day situation as the initial attacks evolved into a full-blow conflict and war, and the closure of shipping and airlanes in the region. With constant changes, but it became inevitable that the armed conflict will force the abandonment of international attendance and operations at IAAPA Middle East, March, and SEA May Expos, if not a postponement of the events. Inevitably, IAAPA would bend to the situation and postponed the inaugural trade show plans, moving their focus to the 2027 event. While the organizers of the C Expo waited till the end of March to announce that their May event would be moved to an end of August fixture to better support international travel and freight logistics, the hope being that international attendance to the region will be restored by this point. The deal show was the next starting gun for the season's buying and promotion period. Some attendees from the Dubai Show having to make the rushed move to India for the 24th anniversary of the International Amusement Attraction and Park India, IAAPI. Expo held at Bombay Exhibition Center in Mumbai. The importance of this Indian event took on new significance following the commencement of a new conflict in the Middle East. An expo attracting some 200 exhibitors, other relevant events that helped to define the attraction and immersive sector. Returning to London and the InnovateX Experience Economy Forum took place. Organized by Experience UK, gathering leading museum, attraction and leisure developers to the iconic London Science Museum. Developments saw stage presentations from Fever and Merlin Entertainments regarding their working together. Little Lions Entertainment regarding their plans for their arcade arena, comprising Chaos Cart, and Pac-Man Live Experience, opening in London, and the application of AI-powered avatars to be used in the museum and leisure sector. All this and a special panel session covering the competitive socializing landscape, moving into the more peripheral aspects of the immersive digital entertainment aspects, and the Game Developer Conference, GDC 2026, now rebranded the GDC Festival of Gaming, took place in San Francisco. The event focused on consumer video game development and innovation, but still had elements that impacts the out-of-home entertainment landscape. The big developments being the continued job apocalypse in the game studio business and how the market is attempting to address its future. This was underpinned by the news after the show that Epic Games would be laying off 1,000 people. The GDC proving a strong bellwether of the state of the market, the emission of the same levels of VR releases as seen previously proving incredibly telling. This was reflected by news that was revealed prior to the event regarding major transition in the investment in consumer VR. The reverberations of the Meta pivot in the consumer VR scene were still being felt. The comment from a senior Meta Reality Labs executive that the gravy train had ended for their investment into the market still saw Meta's endorsement underpinning their focus on VR gaming and pointing towards long-form gaming as their focus away from previous Horizon World investment. Meta going as far as ending their VR platforms attachment to their Metaverse aspirations. Key influencers continued to promote the hopes of a 2027 Quest 4 reveal, now approaching the market as a VR console, abandoning any illusion of enterprise interest, closing their meta for business, meta workrooms investment. The abandonment of supporting enterprise impacted workforce development, but has also confounded immersive attraction developers, who had been counting on lower-cost MetaQuest 3 usage in multiple guest experiences. Previous claims that using meta hardware in shared reality attractions was not problematic were found to be incorrect, as operators with tens of MetaQuest units in their inventory found their systems blocked, rushing to find an alternative hardware solution to avoid abandoning planned projects. Other consumer VR investment was felt from the likes of Virtuix, the developers of the Omnidirectional Treadmill Platform, Omni One, now traded on the NASDQ. The operation has increased its investment into supporting consumer VR with the news that they had received meta certification to use with their Quest III ecosystem, underpinning their pivot towards VR gaming. This announcement was followed by increased investment in their consumer support. This, however, did not stretch to confirming the status of the Virtuex Omni Arena, information on if the operations were still focused on LBE deployment, and how many of the previous 60 installed base is still in operation. We will work in future coverage to get answers to these questions. The commercial VR sector was not immune to the impacts reshaping the virtual technology market. It was announced that the manufacturer Lynx, who were releasing a series of commercial-focused MR headsets, Lynx R2XR, has entered judicial liquidation, the French courts issuing the closure of the operation and the sales of their assets immediately. The VR startup had promised to start shipping their new MR headset that had seen interest, but the liquidation has ended, hopes that any hardware will be shipped.