The global Metaverse market will be valued at USD 11,251.2 million in 2024 and is expected to reach USD 1,05,597.5 million by 2030, with a CAGR rate of 45.2% during 2022–2030.
The Metaverse can be defined as a simulated digital environment that uses augmented reality, virtual reality, blockchain, and social media concepts to create spaces for rich user interaction mimicking the real world. Metaverse will create online spaces where user interactions are more multidimensional than current technology supports. Instead of just viewing digital content, users in the Metaverse will be able to immerse themselves in a space where the digital and physical worlds converge. Users will be able to hang out with friends, work, play, learn, shop, create, and more without going anywhere physically.
This study on the global Metaverse market provides detailed information on industry trends, market dynamics, market size, competitive landscape, and growth opportunities. This research report categorizes the global Metaverse market by component, platform, technology, application, end user, and region/country.
Based on component, the Metaverse market has been divided into Hardware and Software. The Hardware segment dominated the market in 2021 and is estimated to remain the same during the review period, whereas the Software segment is expected to register the highest CAGR during the forecast period from 2022 to 2030.
Many organizations made substantial cuts in spending in almost every category observed flat or increasing technology budgets in most organizations. Many leading technology providers reported that the pandemic brought an opportunity to recalibrate technology investments quickly, and in many cases, hastening the existing investment plans. One of the most interesting aspects of the pandemic crisis is that, for several companies, the pandemic was more of an accelerator than an obstacle. Remote work, digital economy, supply chain enhancements, automation, and enhanced customer experience have changed the technology spending among organizations. Furthermore, spending on cloud, automation, AI, and IoT technologies has witnessed a significant surge. The application development industry significantly accelerated during the pandemic due to increased online interaction to avoid physical interaction. Therefore, metaverse spending also increased during the pandemic, along with key IT areas spending.
During this pandemic, it has become vital for organizations to touch with their customer base continuously. Therefore, organizations across various verticals, especially BFSI, retail, manufacturing, and education, connect with customers using metaverse services. Metaverse solutions are essential in the age of remote working and social distancing. Organizations are seeking a simple yet interactive way of communicating with customers. Due to the pandemic, the demand for remotely accessing services is rising, owing to increasing financial incentives and regulatory support from governments worldwide.
Before the pandemic, the Metaverse topic wasn’t much in limelight. The pandemic accelerated its importance among consumers as well as industries. Tech companies started to develop this technology and announced their investments in 2020 year. The 2021 year was the solid year for the Metaverse technology investments owing to the billion dollars spent by Meta (Facebook). According to industry experts, the pandemic acted as the catalyst for the Metaverse technology, and the post-pandemic world is expected to generate significant interest among the consumers.
Metaverse Market Dynamics
The major factors driving the growth of the metaverse market are the increasing focus on converging digital and physical worlds using the Internet and the growing demand for Metaverse to purchase digital assets using cryptocurrencies. However, cyber-threats in Metaverse are hindering market growth. But technological advancements are creating an opportunity in the Metaverse Market.
Increasing focus on converging digital and physical worlds using internet
Digital twins such as digital and physical worlds increase as their powers and complexity increase. However, realizing their full potential may necessitate system and data integration across whole business ecosystems. This allows users to interact online, instantly take sensor data and simulate situations, clearly grasp what-if scenarios, more precisely forecast consequences, and issue commands to change the actual environment. It can represent a new product's technical drawings and dimensions or show all subcomponents and their lineage in the larger supply chain, from the design table to the end user. It creates new production methods and collects data to enable better judgments and predictions, which might assist in the automation of complicated chemical and biological processes.
However, the Metaverse serves as a link between the real and virtual worlds. The Metaverse is a collection of interconnected online realms where physical, augmented, and virtual reality interact. Users can interact with their friends, work, travel, purchase goods and services, and attend events. While numerous virtual worlds are available on the Internet, people cannot move between them while maintaining their identities and assets. This challenge could be solved in the future by combining diverse internet realms into a single, seamless entity. It has even been labeled the Internet's next phase.
The Metaverse is the next step in the growth of the Internet. It is a shared online space where physical, augmented, and virtual reality collide. The Metaverse is a four-dimensional version of the Internet as we know it today. As the concept evolves, it is planned to go beyond video games and social media platforms. Metaverse's potential characteristics include remote work, decentralized government, and digital identification. The emergence of interconnected virtual reality (VR) headsets and glasses can also become more multidimensional, allowing users to wander about and explore 3D environments.
Real-world applications include gaming, social networking, education, and job training. The Metaverse can disrupt different businesses by providing virtual reality (VR)-based wearables that transfer individuals to a virtual world from the comfort of their own homes. Artificial intelligence is bridging the gap between humans and robots. AI will improve the Metaverse in a variety of ways. AI technology can aid in constructing Metaverse assets such as characters, landscapes, buildings, character routines, and other assets.
Metaverse Market Segmentation
The Metaverse Market has been segmented based on component, platform, technology, application, end user, and region.
Based on Component, the global Metaverse market has been segmented into Hardware and Software.
By Platform, the Metaverse market has been segmented into Desktop/Laptops, Mobile, and Wearables.
Based on Technology, the Metaverse market has been segmented into Blockchain, VR & AR, Mixed Reality, and Others.
By Application, the Metaverse market has been segmented into Gaming, Online Shopping, Content Creation, Social Media, and Others.
Metaverse Market Regional Analysis
Globally, the Metaverse market has been categorized into five different regions—North America, Europe, Asia-Pacific, Middle East & Africa, and South America. North America will be accounted for the largest market share, with a market value of USD 8,103.1 Million in 2024; it is expected to register a CAGR of 30.3% during the forecast period. Asia-Pacific will be the second-largest market in 2024, valued at USD 1,711.3 Million; it is projected to register CAGR of 62.2%. North America is expected to be the largest contributor to the metaverse market. This includes the US, Canada, and Mexico. The most significant factor driving the growth of the market is the increasing focus on converging digital and physical worlds using the internet and the increased traction and popularity of mixed reality (MR). Numerous enterprises in North America are significantly adopting advanced virtual reality, 3D Simulation, augmented reality to enhance their business operations. From a business intelligence point of view, technologies such as Extended Reality, 5G, and AImay make the metaverse futuristic.
The metaverse market in the Asia-Pacific region is expected to register a CAGR of 62.2% from 2024 to 2030 owing to the increasing use of the internet and other technologies to bring the digital and physical worlds closer together is becoming more important. Mixed reality is gaining traction and appeal for increasing use of capabilities evolving various trends across numerous companies in China, Japan, and India, to make business decisions supported by data insights. The rising need among the regional companies to better compete with their western counterparts has been driving the usage of metaverse solutions in the region.
GLOBAL METAVERSE MARKET, BY REGION, 2024 (% SHARE)
Source: Industry Expert, Secondary Research, and MRFR Analysis
Europe Region to Bolster the Metaverse Market
Continuous technological innovations and increase in big data usage in many other industries. Due to the extensive number of technological advancements in European countries are driving the demand for virtual analytics solutions in this sector. The metaverse market is expected to gain momentum in Europe due to major initiatives such as AEGLE (an analytics framework for integrated and personalized healthcare services in Europe) and Meaningful Integration of Data, Analytics and Services (MIDAS). Some applications of virtual reality and augmented reality for healthcare have been tested where doctors perform remotely via robotic arms using a combination of technologies. The growing development across and virtual reality is further expected to drive Metaverse Market growth in the coming years.
Metaverse Market Competitive Landscape
The global Metaverse Market has witnessed significant growth over the forecast period due to the growing digital content. There are several domestic, regional, and global players operating in the Metaverse market who continuously strive to gain a significant share of the overall market. During the study, MRFR has analyzed some of the major players in the global Metaverse market who have contributed to the market growth. These include Meta Platforms Inc., NVIDIA, Microsoft Corporation, Tencent Holdings Ltd, ByteDance, Epic Games, Netease Inc., Roblox Corporation, Lilith Games, Nextech AR Solutions Inc., and Unity Software Inc.
During the study, MRFR has analyzed some of the major players in the global Metaverse market who have contributed to the global market growth.
Metaverse Market Key Players
This study estimates revenue growth at global, regional, and country levels and offers an overview of the latest developments in each of the sub-sectors from 2020 to 2030. For this analysis, MRFR segmented the global Metaverse Market report based on component, platform, technology, application, end user, and region.
By End User
|Market Size||USD 105,597.5 Million By 2030|
|CAGR||45.2% From 2024 to 2030|
|Forecast Period||2024 to 2030|
|Historical Data||2018 and 2019|
|Forecast Units||Value USD Billion|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||• By Component (Hardware and Software) • By Platform (Desktop/ Laptops, Mobiles and Wearables) • By Technology (Blockchain, VR & AR, Mixed Reality and Others) • By Application (Gaming, Online Shopping, Content Creation, Social Media and Others) • By End User (Consumer and Enterprises [BFSI, Retail, Media & Entertainment, Education, Real Estate, Aerospace & Defense, Healthcare, Engineering, and Others]) • By Region (North America, Europe, Asia-Pacific, Middle East & Africa, and South America)|
|Geographies Covered||• North America (US, Canada, and Mexico) • Europe (UK, Germany, France, Rest of Europe) • Asia-Pacific (China, Japan, India, and Rest of Asia-Pacific) • Middle East & Africa • South America|
|Key Vendors||• Meta Platforms Inc. • Nvidia • Microsoft Corporation • Tencent Holdings Ltd. • Bytedance • Epic Games • Netease Inc. • Roblox Corporation • Lilith Games • Nextech AR Solutions Inc. • Unity Software Inc. • Antier Solutions|
|Key Market Opportunities||• The Metaverse represents the next stage in the evolution of the Internet • It is a shared online environment where physical, augmented, and virtual reality merge • It is planned to expand the concept beyond video games and social media platforms as it matures • Remote labour, decentralised government, and digital identity are some of the potential aspects of the Metaverse|
|Key Market Drivers||
The global metaverse market will be valued at USD 105,597.5 million by 2030. The global Metaverse market is estimated to witness substantial growth during the forecast period
At 45.2% CAGR is expected to transform the market.
The key contenders in the market are Meta Platforms Inc., NVIDIA, Microsoft Corporation, Tencent Holdings Ltd, ByteDance, Epic Games, Netease Inc., Roblox Corporation, Lilith Games, Nextech AR Solutions Inc., and Unity Software Inc.
The segments in the market are component, platform, technology, application, and end user
The North America regional market is projected to be the major driver of the market.