With modern technology you can have a decent enough experience without the theater. Huge screens, projectors, surround-sound, etc is all available and relatively affordable by normal people these days. Sure, you're not going to get iMAX at home easily but it's good enough to make the effort of going out not worth it.
Problem with this is, most people I know won't make the commitment that it takes to make a nice home cinema. Not a fancy one -- just a technically accomplished one.
What does it take?
0. Absolute light control. No windows, no shutters, no blinds, no light.
1. Black ceiling and front wall
2. Dark-ish side and back walls -- the room should have as little light reflection as possible.
3. A fixed screen of half the height of viewing distance, placed high up coupled with chairs with a good deal of gangsta lean. (so if you sit 8-9 ft away from the screen, the screen should be 4 ft tall, which works to about 7 ft wide. This is what I have.)
4. 3 IDENTICAL channels up front -- not two big "mains" and a ridiculously tiny "center." You need three of the same speaker up front
5. Surrounds identical to the front (or at least from the same family)
6. Properly calibrate all that mess.
7. Shelving to store physical media and display figures, models, whatever.
8. Lighting with a remote dimmer to light all those toys and things -- narrow spots, for the most part. That means low-voltage MR16 heads, and that means more $ and more commitment.
Still think the avg. homeowner can do all that?
I did, It took me 3 months of after-work labor just to paint and wire and carpet. All my audio gear is 10+ years old, some of it sourced from Craigslist. None of it is what people would cal hi-end. But it all works, and I can throw a better picture than a badly-ran theater. I'm particularly proud of my audio, which uses horn speakers, letting me get outrageous fidelity and almost unlimited headroom. Bring on the ka-boom. .
But none of my friends will do it, none of my coworkers will. All they want is a stupid TV with speakers haphazardly strewn about. To them that's good enough. And I bet you 90% of people think the same way.
It takes commitment and a certain degree of crazy to make a proper home cinema.