Global consultancy firm McKinsey & Company released a new report on the Metaverse, stating that in eight years, the field could be valued at $5 trillion – around the same size as Japan’s economy. The report “Value Creation in the Metaverse” drew data from two surveys, including 3,104 consumers across 11 countries and 448 companies across 15 industries.
Metaverse is an Opportunity
According to the report, as the Metaverse continues infiltrating into everyday life, 50% of live events could be held in a virtual space, and 80% of commerce would be “impacted by something consumers do there” by 2030. Every internet user would spend approximately 6 hours per day in the space at that point.
Gaming will be the major driver of the Metaverse. This sector will overtake entertainment industries such as music and movies. It is estimated that the gaming sector currently has approximately 3 billion gamers around the globe and is valued at $200 Billion.
It’s worth noting that besides gaming – the report predicted – e-commerce and virtual advertising are two major sectors that could take advantage of the Metaverse by 2030, with approximately $2 trillion to $2.6 trillion of all spending in the former one and $144 billion to $206 billion in the latter one.
Eric Hazan (the report’s lead author) revealed in a blog post that the current state is similar to Web 2.0 2004. Online social networks and user-generated material were poised to change the way people interact on the Internet. However, he added, the infrastructural technology was not ready to boost the “utopian visions of consumer control and the democratization of the internet.”
Hazan saw the Metaverse, a field similar in growth to artificial tech five years back, and predicted capital would continue to flow into the area for building its infrastructure.
“Billions of dollars are flowing into every corner of metaverse infrastructure to help get it there. This ranges from back-end tech enablers like engines, blockchain, and hardware devices to platforms and virtual worlds.”
According to the report, 95% of executives believed that the Metaverse could have a positive impact on their industry. About two-thirds (or roughly) of consumers are excited by the potential changes caused by the integration technology between the physical and virtual worlds.
In addition to revolutionizing social interactions and businesses, Hazan said the integrated network of virtual worlds could “open new avenues to providing public services like education and healthcare, creating employment, and planning community spaces.”
31% of all executives are worried about investing in the new technology, as they see it as a young and unstable space.
Despite the extreme pessimism taking reign on the crypto market lately, over $120 billion has already been injected into Metaverse-related technologies — more than double the total $57 billion investments in such a field by 2021.