Leading global management consultancy Bain & Company has released a report projecting the immense economic potential of the metaverse, estimating its value to potentially surge to $900 billion by 2030. However, the report suggests that the metaverse could remain in its nascent “seed stage” for the next five to 10 years.
Entitled “Taking the Hyperbole Out of the Metaverse,” Bain’s report examines the evolving landscape of the metaverse and the opportunities it presents for businesses. It underscores the significance of early engagement in the metaverse’s development, particularly during its formative “seed stage,” to secure a competitive edge in the market.
The report said that the metaverse’s evolution will likely result in a variety of platforms, rather than a singular monolithic entity. Established platforms with substantial user bases may progress towards deeper levels of immersion, while smaller metaverse-like environments will seek to expand their user reach. These distinct virtual worlds are anticipated to function independently, safeguarding their data sets as private companies endeavor to capitalize on their investments.
Various sectors have showcased applications of metaverse technologies, including entertainment, manufacturing, healthcare, education, and employee training.
Key Competitive Battlegrounds
Bain outlines five pivotal competitive battlegrounds that businesses should prioritize to gain a foothold in the burgeoning metaverse landscape:
Virtual Experiences (estimated to comprise approximately 65 percent of the projected metaverse market in 2030): While gaming currently takes the lead as a consumer-oriented metaverse application, potential growth areas include immersive fitness and entertainment. On the enterprise side, novel applications are emerging in collaboration, productivity, digital marketing, employee training, education, and healthcare.
Content-Creation Tools (forecasted to contribute about 5 percent of the metaverse market in 2030): The proliferation of software tools facilitating metaverse world and experience creation empowers users to generate content seamlessly.
App Stores and Operating Systems (expected to encompass around 10 percent of the metaverse market in 2030): During the metaverse’s seed stage, app stores will play a pivotal role in delivering high-quality, curated experiences to maintain user engagement with the platform and associated hardware.
Devices (projected to comprise approximately 10 percent of the metaverse market in 2030): Advancements are crucial in overcoming technological barriers for the creation of comfortable, stand-alone devices capable of providing truly immersive experiences. Broad adoption will necessitate cross-device compatibility, encompassing personal computers, gaming consoles, and smartphones.
Computing and Infrastructure (estimated to encompass around 10 percent of the metaverse market in 2030): Hardware manufacturers will be compelled to develop more powerful chips, servers, and networking technologies to enhance graphics quality and reduce latency.
Bain’s insightful analysis underscores the transformative potential of the metaverse while guiding businesses toward strategic avenues for growth and success in an evolving digital landscape.
