Published on: 10/10/2022
Metaverse market to reach $996B by 2030, says GlobalData
GlobalData, a London-based data analytics and consulting company, has predicted that the global metaverse market will reach $996 billion by 2030.
As the metaverse market was valued at $22.79 billion in 2021, the company also predicted that the market would have a compound annual growth rate of 39.8 percent. In its report, GlobalData attributed the success to the entertainment industry, which had successfully hosted virtual concerts in the metaverse, leading to significant revenue increases.
“As of 2021, the media and entertainment market captured a sizable revenue share of the metaverse market. The entertainment experience we have seen through the metaverse has been through music and concerts,” said the project manager at GlobalData, Deepak Agarwal, as quoted by BusinessInsider.
“In the non-blockchain world, Travis Scott in Fortnite had put on an enormous concert which showed $20 billion, including merchandise, versus the 1.7 billion from the regular show.”
This success has led to more companies investing in metaverse and blockchain technology, including those outside the tech sector. The metaverse allows a brand to develop more engaging experiences, increase brand awareness among customers and open the avenue for alternative revenue streams.
Regional insights and factors behind growth
According to the report, half of the metaverse market share was concentrated in North America and Asia-Pacific. Despite contrasting economic situations in the regions, they both drove high metaverse market growth. Key players in the industry that GlobalData identified included Apple, Epic Games, Tencent, Roblox, Nvidia, Epic Games, Microsoft and Meta.
“The strong presence of big technology giants in the advanced economies of North America and the emerging economies in the Asia-Pacific region are fuelling the metaverse market growth,” GlobalData said in the report.
GlobalData also reported that companies not directly related to the blockchain industry, but were adopting technologies related to it, helped drive the adoption of the metaverse. It added that the metaverse market would grow simultaneously with the “software service addressable market,” which focuses on blockchain technology, machine learning, augmented reality and virtual reality, adtech, payment platforms, enterprise applications, gaming and data governance.
“The metaverse is still largely conceptual but could transform how people work, shop, communicate, and consume content. Although it is in the early stages of development, it has the potential to be the next mega-theme in digital media,” said Agarwal.
Partnerships between companies inside and outside the field were also becoming increasingly common. GlobalData pointed out a collaboration between Gucci and Roblox during the pandemic, which led to the creation of games that allowed Roblox users to win real-world prizes in the form of Gucci products. This collaboration also led to the sale of a limited-edition digital Dionysus Bag for $4,100 in Roblox’s currency, Robux, which is higher than the price of a real-world bag.
GlobalData also noted that there was an increase in the prevalence of mergers and acquisitions between companies since the pandemic. Companies that specialize in blockchain, artificial intelligence, virtual reality and augmented reality became “prime targets” for bigger companies looking to break into the industry. Arogo Capital’s acquisition of the VR-based company EON Reality in April and Microsoft’s acquisition of Activision Blizzard were among the key mergers and acquisitions in 2022 that GlobalData identified.