Why would the Gear VR be better for virtual theaters? Or are you just saying convenience wise?
honestly if one was buying this just for a virtual theater..i'd rather but a projector and a screen... i have one and use it for movies the screen is 100" and I have it in my living room of my apartment...so doesn't really take up space. I mean imagine having a VR headset on your head for 2-3 hours watching a movie it'd be very uncomfortable. Also, I highly doubt this will be very useful for at least 1-2 years until games actually start coming out for it...you guys remember the ps4 camera everyone was excited about it when it first came out was even selling on ebay for like 150 dollars a people were buying it but then afterwards it turned out to be a piece of crap ... you got to use it for a virtual game room and a virtual pet or something. Games actually started figuring out way to avoid using it like just dance started using cell phones to track movements instead of the cam stuff..anyways it's up to everyone but I'd suggest waiting until this thing drops in price and if you're only buying it for a "virtual theater" experience I wouldn't ...especially if you may wanna watch movies with other people at the same time...2+ heads don't fit inside one headset
Well, it probably depends on your lifestyle a little bit. But for me, portability and convenience play a big role. I've been on board with Oculus from day one and have a DK1, DK2, and a Gear VR (ironically, I'm holding off on the consumer Rift because I'm not in love with the direction things have gone in since the Facebook acquisition, but we'll see how it goes over the next year).
But for a virtual theater experience, to me, you'd want it as an option when a living room and a big screen TV (or a projector like srac84 mentions) is not. Whether that means you're a college student living in a dorm room...or you have a small apartment...or you have family members competing for the same space. The caveat of the Rift/Vive and the PSVR is that you have to be tethered to a PC/console. So, even then, you're going to be limited to a living room/bedroom/den/etc.
With Gear VR (or hell, even that cheapie Viewmaster one if you don't have a Samsung phone), you can take it anywhere. You could lie in a hammock in the back yard and watch a movie on a gigantic screen. You could watch a movie in Starbucks. Or you could even throw that thing on while sitting on the can. There's just a lot of options that are not possible with the technically more powerful VR headsets. And it can be a lifesaver on trips to visit family.
That said, Gear VR is not without flaws. Since it uses your phone to run on, it will drain your battery quick and it actually has some overheating issues as well. It varies from app to app. I have watched an entire 85 minute Netflix documentary while lying in bed without problem. Other times, certain video streaming apps can make the phone overheat in 15 minutes. It kind of sucks, but hopefully it's something they get figured out.
And of course, Gear VR (or any phone based VR) is not going to be that great for gaming. We're really not even sure if PSVR is going to be "good enough" yet. But whatever the graphics/resolution/framerate for PSVR ends up being...anything on a phone is obviously going to be far below that. But if the big selling point for you is virtual theaters...and you like the idea of not being leashed to your PS4/PC, Gear VR would definitely be worth considering.
My decision to buy a Gear VR (I already owned an S6) was based on thinking of it like a handheld system. Why do people buy Vitas when they have a Playstation? Well, because you can't always take your Playstation with you everywhere.