February 21, 2023
By R. Michael Brown
In 2022, there was a lot of press and discussion about the Metaverse, or Web 3.0, but the Metaverse is making money. As of February, 2023 total revenue has been U.S. $61 billion worldwide. But, Statista’s Advertising & Media Markets Insights estimates that worldwide Metaverse revenue will stand at $490 billion in 2030. However, this is a comparatively conservative forecast. Other analyst companies assume a market volume of between approximately 750 and 1,700 billion U.S. dollars.
The term Metaverse is defined as a virtual world or a collection of virtual worlds that exist in a common digital space and that users can access over the Internet. Metaverses include applications of virtual reality, augmented reality and other immersive technologies. The biggest revenue drivers for Metaverses are e-commerce and gaming. In addition, Metaverses also offer new opportunities for revenue creation in the segments of education, entertainment, health and fitness and even telecommuting.
For example, your kid is in the Metaverse when you see them playing a game with a VR headset. Consequently, they will drive the future because they grew up with it.
Competition Heats Up in Metaverse Companies
Metaverse companies haven’t seen popularity overnight but they have been implementing a strategy to outrace other companies in the Metaverse competition.
Metaverse e-commerce sales alone could grow to more than $200 billion by 2030 from currently just around $20 billion. Gaming is expected to grow even more, from just around $10 billion as of now to around $163 billion in 2030. The next biggest applications for Metaverse revenue are health & fitness, workplace and education.
Digital Media in the Metaverse
For multimedia writers and producers, the Statistica forecast isn’t as rosy. Revenue in the Metaverse Digital Media segment is projected to reach a slim US $0.54 billion in 2023.
- Revenue is expected to show an annual growth rate (CAGR 2023-2030) of 13.13%, resulting in a projected market volume of $1.27 billion by 2030.
- With a projected market volume of $188.10 million in 2023, most revenue is generated in the United States.
- In the Metaverse Digital Media segment, the number of users is expected to amount to 8.0 million users by 2030.
- User penetration will be 0.1% in 2023 and is expected to hit 0.1% by 2030.
- The average revenue per user (ARPU) is expected to amount to $105.20.
Although these numbers aren’t as impressive as the overall revenue and users, keep an eye out on this because as tech advances, the numbers can change on a dime.
The number of users is expected to reach 1.4 billion in 2023 and 1.7 billion in 2024 worldwide.