“I believe that this is the greatest opportunity for movies and for the theatrical exhibition business that has come along in 30 years,” said Jeffrey Katzenberg, CEO of DreamWorks Animation.

Although 3D has been used in the movies before, the technology wasn't up to scratch. But with new digital cinemas, realistic 3D is now feasible.

In the US alone, there are 600 digital screens capable of 3D at present. That number is expected to rise drastically in the future.

“I believe CG animation is in the best position to take advantage of the latest advancement in 3D technology,” said Katzenberg. “Since our films are made digitally, it presents numerous opportunities for our filmmakers.”

Last summer's epic Superman Returns incorporated a number of scenes in 3D. Disney will be releasing Meet the Robinsons in 3D later this month.

James Cameron, the legendary director films such as The Terminator and Titanic, will produce his next movie Avatar in 3D for a premiere in 2009.

"Theater owners are excited by this technology because it not only provides a more special movie going experience but also a meaningful growth opportunity as research suggests more people come to see 3D movies," said Jim Tharp of Paramount Pictures, distributors of Dreamworks movies.