By 2030, the global market for the metaverse could be worth $2 trillion, but developers could miss out on rich opportunities if the ecosystem doesn’t adopt standards, promote interoperability, and educate users. A recent study from the research firm ABI Research backs this up.
ABI Principal Analyst Michael Inouye told TelecomTV that the total addressable market (TAM) for the consumer metaverse will be built around metaverse-related developments in the streaming video, social media, gaming, and digital advertising sectors, which will be important for the growth of the immersive virtual world.
He said that rather than the well-known renaming of Facebook to Meta, the metaverse is supported by patterns in the digital content industry, and growth in these fields would be its foundation.
The analyst also thinks that if trends in these well-established markets keep going, the metaverse will make a lot of money in the consumer market.
He said, “As more parts of our lives become part of these virtual ecosystems, more of the money we spend on media, entertainment, advertising, etc. will be considered metaverse potential.
So, he thought that in the future, many of the problems that businesses in these industries face would also affect the metaverse. There are political and economic factors, as well as concerns about data privacy and how the inner market sees things.
Inouye said that consumers who don’t like the idea of non-fungible tokens (NFTs), which are thought to be linked to the future metaverse, “may slow down the growth of the metaverse.” Some countries don’t allow cryptocurrencies, and some Web3 parts are limited. This could slow down the growth of the metaverse even more. There are many things that need to be worked out before we can have a unified metaverse.
He thinks that laws and rules are necessary to lay the groundwork for standardization, interoperability, and educating consumers. And as they push for standardization and interoperability, groups and platforms like the Metaverse Standards Forum and NVIDIA’s Omniverse platform will come into play.
The expert says that the release and widespread use of popular smart glasses will be the turning point that will bring “the most dramatic changes” to the metaverse and digital services in general.
These gadgets will help the metaverse reach its full potential, especially in public places, though maybe not on the same scale (or in as many places) as smartphones. This will happen in both the consumer goods and business sectors. According to Inouye, this will also make it easier for mobile markets to get into the metaverse. By the 2030s, people should be able to easily get these kinds of headsets.
The results of ABI Research also show that consumer education will be important for the growth of the virtual world. Well-known companies like Apple, Google, Microsoft, Tencent, and Tencent are expected to play important roles in providing content and services.
Companies like Intel, Qualcomm, and Nokia that provide the infrastructure and computing power for these experiences will play a key role in the metaverse.
“The opportunity is definitely there because there are so many things that need to happen before a full metaverse future,” said Inouye. “But for now, I’m keeping more conservative expectations (and classifications) about what is directly driven by the metaverse and what is just natural changes to markets that already exist.” “If, on the other hand, the pieces fit together faster and better than expected, this could speed up the curve,” he said, and this could mean that the $2 trillion revenue goal is reached.