WHAT IS METAVERSE?
Metaverse is the new buzzword these days. In short, it is a ‘Virtual Alternative World’. It’s the next iteration of the internet and is going to replace the 2D internet world with 3D virtual environments.
Metaverse would provide an online space where people can interact in real-time via a virtual-reality headset. Users can create their own digital avatars and will be able to do almost anything in the metaverse. They can join meetings, attend a concert, or go shopping.
Meta (formerly Facebook), Unity Software Inc, Nvidia Corp, Microsoft Corp are some of the leading companies developing hardware and software for Metaverse.
HOW IT WILL IMPACT US?
Metaverse will have its own pros and cons.
It will open a new era where people can do things beyond their imagination.
- Users can attend their favorite musician’s concert, visit Eiffel Tower, or even go out for a walk with their long-distance partner.
- People can buy or sell real estate with a fully immersive virtual home tour.
- Consumers can test and feel the products without even visiting the stores.
- Gaming industry will benefit a lot from Metaverse as instead of just watching it from a distance, players can now be a part of the virtual games.
Although Metaverse will open doors to a totally different experience, it will also come with a few challenges.
- There can be a risk to privacy and security of users in Metaverse.
- Mental health issues can increase as users can have long exposures to virtual-headsets and can start ignoring the real world. This could also result in increased number of depression cases.
COMPANIES CONTRIBUTING TO METAVERSE
On October 28, 2021, Facebook’s CEO Mark Zuckerberg announced that he is changing his company’s name to Meta Platforms Inc. (or Meta in short). Meta will change its focus from being a social media company to a Metaverse company.
Here’s the link to Mark Zuckerberg’s Metaverse video.
AMD (Advanced Micro Devices) is partnering with Meta to help power its data centers. The two companies will partner to develop a high-performance and power-efficient processor.
Microsoft and Nvidia are two other companies that are planning to come out with their own version of Metaverse.
STOCKS IMPACTED BY METAVERSE
AMD, Meta Platforms Inc (formerly Facebook), Microsoft, Nvidia, Unity Software, Matterport, and Roblox are some of the companies that may see a huge spike in their share price in the coming months.
Meta (Roundhill Ball Metaverse) is a passively managed ETF that spans various industries related to the future iteration of internet Metaverse. Although the expense ratio for Meta ETF is 0.75%, it can still be a good option to invest if you don’t want to research specific companies and want to cover most of the Metaverse industries.
Metaverse can bring a digital revolution in the next 5 to 10 years. Oculus Quest 2 and Sony PlayStation VR are two of the virtual reality headsets that you can use to experience augmented reality games. However, the Metaverse is expected to be a much more powerful and authentic virtual 3D world environment.
Like any other technology, Metaverse will also have few its own side effects, however, these side effects can be mitigated if the technology is used in moderation.
I am excited to see how the future will unfold with Metaverse.
What are your thoughts about Metaverse? Let me know in the comments section.
Blogger, Traveler and supporter of writers