The metaverse, virtual reality’s future, could fail or become the next big thing in tech. We try to figure out if the metaverse will fail or just be a gimmick or it will let virtual reality shape the future. Utilizing this link will allow you to confidently trade Bitcoin even if you are just starting in the cryptocurrency market.
What’s happening in the metaverse, and why do you think it might not work?
Putting about $100 billion into something whose future can’t be predicted is a significant and scary move, even for Silicon Valley. It’s too late to be too lazy. Big tech companies must lose weight, get in shape, and compete to win the next wave of significant innovations.
As Zuckerberg said, meta had to make a significant change to take advantage of the metaverse’s meteoric rise in popularity. On the other hand, investing on a whim stopped all at once a year later.
In this case, Meta does not break the rule. The company’s stock price has dropped by more than 70% in 2022, and investors are now paying attention to how much money Meta is wasting on the metaverse. This is because, during the same period, Meta has yet to do as well as other large technology companies.
The worst news came out just last night: Meta’s investments in the metaverse lost $3.7 billion in the third quarter. Since the beginning of the year, investments in the metaverse have lost a total of $9.4 billion.
After the results call, the stock price of Meta dropped another 20%, which made people who don’t like the metaverse even more upset.
Since the good in-game prizes have run out, keeping people interested in the decentralized metaverse and gaming platforms has been challenging. The number of people who use Sandbox, Decentraland, and Axie Infinity every day has dropped by a lot, according to investors.
Axie Infinity, which used to be one of the decentralized games with the fastest rate of player growth, is an excellent example of how bad the problem is.
Why is it possible that Meta’s money won’t pay off in the metaverse?
Meta might have wanted to think about the metaverse more before putting so much money into it. People were most sure about the value of their assets on the cryptocurrency market just two weeks after Facebook changed its name to Meta.
“That misunderstanding might not even be a problem if the company spent between $1 billion and $2 billion per year on this project.”
After the announcement, Meta put $10–15 billion into the metaverse and built its virtual world, Horizon World, the following year. But none of these claims is true. On the other hand, a study from the Wall Street Journal says that Horizon World has become a metaverse with no life.
At least fifty people visit 9% of the worlds that the developers have made. Most avatars in Horizon World are never seen because they still need legs. Users must get a Meta’s Quest VR visor to go into the metaverse. More than half of the $400 Quest headsets bought are used for only the first six months.
In the past few weeks, Meta changed its goal for Horizon Worlds from 500,000 monthly active users to 280,000. At first, the company wanted 500,000 users by the end of the year. The WSJ looked at the company’s records and found that the number is currently less than 200,000.
According to reports, sandbox, on the other hand, is a blockchain-based game that 200,000 people play every month. The company that made the game thought earlier this year about making it worth $4 billion because it is so popular.
Even though Meta has put a lot more money into its projects, it doesn’t look like it wants to catch up to gaming metaverses that have been around longer.
The Nemesis is a global metaverse that began in Italy and is now based in Switzerland. It has been signed up for by more than 100,000 people, and about 23,000 people use it monthly. Also, 600 people leave the house every day.
Based on these numbers, Nemesis is now the sixth most-used project in the metaverse. In fact, since September, it had gone up by 48 percent.
Over, which is also an all-Italian metaverse, has a lot of people. More than 30,000 people have bought land in the metaverse, and more than 100,000 have downloaded Android apps.
Based on these facts, it doesn’t look like the metaverse was a failure. Since the trend seems to be going in the same direction, metaverses like Nemesis and Over can make a living in their industries.