Metaverse Will Hit $5 Trillion in Investments by 2030: McKinsey
- Consumers have already shown their readiness to spend their money on the metaverse.
- Metaverse combines elements of promising top trends like Artificial Intelligence (AI), immersive reality, advanced connectivity, and Web3.
According to research by McKinsey, a global management and consulting firm, the metaverse could generate up to $5 trillion across consumer and enterprise use cases by 2030. That is equal to the current size of Japan’s economy, the third largest in the world.
McKinsey’s report attributed the expected exponential growth of the metaverse to an alignment of several factors. It identified the acceptability quotient of the metaverse across genders, geographies, demographics, and generations as a key element that promotes its growth and adoption.
In the report, Mckinsey outlined that despite the novelty of the metaverse, consumers have already shown their readiness to spend their money on the technology. Companies are also heavily investing in infrastructure that supports metaverse development, while brands are already experimenting and recording positive feedback.
McKinsey’s latest research shows that enterprises will attract more high-use cases for the metaverse in key service areas. Banking, discrete manufacturing, media, process manufacturing, professional services, retail, and telecommunications are the areas with potentially high use cases for enterprises, as identified by McKinsey.
For consumers, only e-commerce reflected the potential for a high metaverse use case. However, other areas like ads, education, gaming, and live entertainment will attract medium-level use cases by consumers in the metaverse.
Another factor behind the large volume predicted for the metaverse by 2030 is the combinatorial nature of the technology. According to the McKinsey report, the metaverse does not stand alone. It combines elements of promising top trends like Artificial Intelligence (AI), immersive reality, advanced connectivity, and Web3. McKinsey notes that it is a crucial reason why enterprise leaders should be interested and invested in the technology.
Two of the most significant existing and more advanced uses of the metaverse identified by McKinsey are ‘Brand marketing and consumer engagement’, and ‘Digital twins’. Several companies staking their presence in virtual worlds like Roblox, Fortnite, and Sandbox have implemented the former. For the latter, enterprises are creating replicas of their physical settings and objects in a metaverse that generates data in real-time.