According to a market synopsis by Emergen Research, the international metaverse market is currently valued at USD 47.68 billion as of 2020.
And Bloomberg estimates the metaverse market size at $800 billion.
Further, the metaverse market will attain a revenue CAGR of 43.3% in the forecast period. This is a testament to the emerging focus of the converging physical and digital worlds via the internet.
Furthermore, there is increased traction and popularity of Mixed Reality (MR).
This rise has been occasioned by several factors, including the Covid-19 pandemic, which encouraged more people to work from home.
Thus, most of their time is spent at home, and they need an activity to keep their minds occupied.
By definition, a metaverse is a 3D immersive environment that many users share.
The participants may choose to interact with each other through the avatars they created earlier on. In other areas, many people are using the
Metaverse to buy some digital resources such as cryptocurrencies. This trend is fast on the rise and is expected to grow tremendously.
Currently, people interact with each other digitally through the use of websites or social media applications.
The entire concept behind the Metaverse is an introduction of a new platform in which people can interact with each other.
However, this new platform has to be multidimensional, and people can thus immerse and interact more.
Recently, Facebook, through Mark Zuckerberg, announced they would in the future be known as “Meta Platforms Inc.”.
In short, the company will channel more resources into creating immersive digital worlds known as Metaverse.
Many people currently view the Metaverse as a gaming platform. However, this is fast changing because through blockchain technology; users will own, create and trade digital assets with cryptocurrencies.
Thus, an amplified demand for the deployment of blockchain technology into metaverse platforms will support a considerable share of the market revenue growth.
There are, however, certain factors that limit its growth. For instance, security issues have emerged as cyber-attacks are always bound to happen on digital platforms.
Other issues regarding the identity of users, convincing users to utilize the payment systems, and other factors may limit the growth of metaverse platforms.
Metaverse Growth insights:
• Component insights
The hardware segment of metaverse platforms is subdivided into displays, AR/VR headsets, and XR hardware.
This single segment will account for the majority revenue share in the forecast period.
This is due to a rising focus in companies that develop metaverse components to provide users with a better user experience and guarantee a better immersion experience.
• Platform insights
The global metaverse platform is subdivided into mobile and desktop. More people are slowly moving from using their PCs to access the internet to using their mobile phones.
This also applies to the Metaverse.
The mobile segment revenue will expand at a swift CAGR in the worldwide metaverse market throughout the forecast period. The mobile section will experience a rapid revenue growth rate during 2021-2028.
• Offering insights
The insights platform is subdivided into financial services, virtual platforms, avatars, and asset marketplaces.
The virtual platforms division accounts for the majority revenue share in the metaverse market in 2020
Virtual platforms involve the creation of immersive digital simulations. Here, people can create, explore, engage and socialize remotely.
• Technology insights
In regards to technology, metaverse platforms are divided into virtual reality (VR), blockchain, augmented reality (AR), and Mixed Reality (MR).
The mixed reality division is set to rise at a rapid CAGR in the forecast period.
Mixed reality is where users can engage with metaverse environments in a physical setting without using VR headsets. Here, users can use a keyboard irrespective of the immersion level.
• Application insights
Here, in this subdivision, the gaming segment accounts for the majority revenue share in the international metaverse market.
This is because many people believe that a Metaverse solely involves gaming because of the immersion experience.
Looking into the future, the Metaverse will be where all forms of media and entertainment will converge.
It will be a gateway for entertainment, and many companies in this field are preparing to re-invent themselves to embrace this concept fully.
Moreover, the Metaverse will be a social place where online group discussion platforms and social media will migrate into.
Earlier in the year, HiDef, a US-based firm, raised money totalling $9 million.
This money was entirely dedicated to having its own metaverse project.
The CEO, Jace Hall, describes the Metaverse as a virtual item that integrates with reality compared to replacing it. In his own words, “reality is the metaverse and the metaverse is reality.”
How Big Do You Think The Metaverse Will Be?
Remember, according to Emergen Research, the international metaverse market is currently valued at USD 47.68 billion as of 2020.
And Bloomberg estimates the metaverse market size at $800 billion.
How big do you think it will be?
Conclusively, there is something monumental about virtual worlds and the metaverse.
This is because many people spend a lot of time playing online games, trading digital assets, e-learning and other internet-based activities.
Therefore, as many people follow this trend, there is an expectation that new aspects of the economy and society will follow wherever individuals spend their time.