What is Virtual Production & How is it Revolutionizing Film - MAGES
What is virtual production

What is Virtual Production & How is it Revolutionizing Film

16 May, 2025

Discover what Virtual Production is and how it’s transforming filmmaking with real-time technology like Unreal Engine. Step into the future of storytelling.

If you’ve seen episodes of The Mandalorian or noticed the amazing settings in recent films, you’ve seen virtual production in action. With game engines like Unreal Engine at the wheel, virtual production is changing the game for movies, video games, and more.

Whether you’re building games through our Indie Game Development course or mastering real-time skills with the Unreal Engine Foundation course, understanding virtual production opens up endless creative possibilities.

In this article, we’ll explain how it works, why it matters, and how you can get started in this field that is blowing up right now!

What is Virtual Production?

 

Virtual Production combines live-action filming with real-time CGI, letting filmmakers create and tweak digital backgrounds on the spot instead of waiting for post-production.

By using things like LED walls, camera tracking, and powerful engines such as Unreal Engine, Virtual Production merges real and virtual worlds easily.

The idea of Virtual Production has roots in early motion capture used in films like The Lord of the Rings and Avatar. But it was The Mandalorian in 2019 that really made the tech mainstream with its use of real-time LED screens powered by Unreal Engine.

Now, Virtual Production is booming. The Global Virtual Production Market size is expected to reach $6.54 billion by 2031, according to KBV Research.

Over 80% of Virtual Production stages are now on Unreal Engine, changing the way stories are told across film, TV, gaming, and beyond, according to official Unreal Engine blog.

How Does Virtual Production Work?

The key to Virtual Production lies in three main technologies:

  1. Real-Time Rendering Engines: Engines like Unreal Engine instantly create detailed 3D environments.
  2. Camera Tracking Systems: Sensors track camera movement, making sure the digital background adjusts naturally.
  3. LED Volume Stages: Huge LED screens show the 3D environments while providing real light on actors and sets.

As the camera moves, the scene behind the actors shifts right away, blending the real and virtual seamlessly.

Why Unreal Engine is the King of Virtual Production

There are various tools for Virtual Production, but Unreal Engine stands out for good reasons:

  1. Photorealism: Unreal Engine 5 has features like Lumen for dynamic lighting and Nanite for detailed visuals, making environments look super real.
  2. Real-Time Performance: Unreal can handle big, complex worlds without delays, which is crucial for live shoots.
  3. Versatility: It works for everything, from motion capture to augmented reality. In fact, over 80% of Virtual Production stages globally use Unreal Engine. Big studios, including Lucasfilm’s ILM and Netflix, are heavily investing in Unreal-based setups.

The Benefits of Virtual Production

  1. Speedy Shoots: Need a specific scene? Just tweak the background on the fly. No more waiting for the perfect light.
  2. Cost Savings: Skip the travel and permits. Create the scenery in Unreal and film locally instead.
  3. Better Acting: Actors can see the environment rather than just imagining it, leading to more genuine performances.
  4. Eco-Friendly: With less travel and fewer materials needed, Virtual Production is a greener option.

Challenges of Virtual Production You Should Know About

Of course, Virtual Production isn’t without its hurdles:

  1. High initial costs: Setting up an LED Volume studio and equipping it with tracking and rendering systems can run into millions.
  2. Technical complexity: Success depends on the seamless interaction between software, hardware, and creative vision.
  3. Skills gap: There’s a growing shortage of trained professionals who understand real-time engines, virtual cameras, and LED workflows.

Careers in Virtual Production

The need for talent in this field is skyrocketing. Here’s a look at some of the emerging jobs:

  • Virtual Production Artist: Designing and building real-time environments.
  • Technical Artist: Bridging the gap between art and programming.
  • Virtual Camera Operator: Using game controllers to “fly” cameras through 3D worlds.
  • LED Technician: Managing the calibration and maintenance of LED walls.
  • Performance Capture Specialist: Recording human movement for digital characters.

If you love film, games, animation, or technology, there’s a place for you in this fast-growing field.

Final Thoughts

Virtual Production isn’t just a passing trend; it’s shaping the future of storytelling. It changes how movies and games are made and how people experience new worlds.

By mixing real-time engines like Unreal Engine with live filming, Virtual Production opens a wealth of creative chances while saving time, cutting costs, and making the industry greener.

If you want to jump into this exciting space, now is the perfect time to start at MAGES!

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