While both a home theater system and a soundbar provide enhanced audio, there are some key differences. A home theater system consists of multiple speakers strategically placed around the room to create a surround sound experience. On the other hand, a soundbar is a compact speaker that typically sits below or in front of your TV, providing a wider soundstage. Home theater systems offer a more immersive audio experience, while soundbars are a space-saving option for smaller rooms or setups.