The metaverse market in the United States is set to expand to a projected value of $110.44 billion by 2028, according to the latest metaverse report by Research and Markets.
According to the analysis, the U.S. market, valued at $16.69 billion, is poised for remarkable growth, with a forecasted compound annual growth rate (CAGR) of 37%. The significant upsurge is driven by substantial investments in advanced technologies and a pivotal shift in Gen Z and Gen Alpha metaverse usage. Research and Markets attribute this momentum to the synergistic application of virtual reality (VR), augmented reality (AR), artificial intelligence (AI), machine learning (ML), blockchain, and 5G technology.
The report elaborates on the metaverse as the forthcoming evolution of the internet – a unified, 3D virtual space where digital and physical worlds merge. At its nascent stage, the metaverse is rapidly taking a vital role in the business landscape, fostering collaborative and innovative ventures while offering real-time insights.
Research and Markets highlight the active efforts by numerous industries to blend digital and physical experiences, notably in customer support. This integration, propelled by technologies like digital twins and 3D reconstructions, is purportedly receiving a boost from advancements in 5G infrastructure. The report cites the “Metaverse Global Congress” held in June 2022 as a prime example, demonstrating the metaverse’s potential to revolutionize business operations and enhance customer engagement.
The report also identifies the escalating use of cryptocurrencies for purchasing digital assets as a critical growth driver in the U.S. It emphasizes how crypto and non-fungible tokens (NFTs) are crucial in supporting blockchain-based metaverse platforms, thus enabling users to create, own, and trade digital assets in novel ways.
Alongside digital assets, the adoption of AR and VR in the media and entertainment sector enhances user experiences, particularly in gaming, and is spurred by the development of realistic virtual environments. The report notes the growing demand for mixed reality devices, with major market players making significant investments, fueling the market’s revenue growth.
To back up this data, the Meta Quest VR headset has sold over 20 million units, which compares favorably to the 32+ million PS5 sales. Given the previously niche view of VR hardware, such strong sales are crucial in the potential growth of metaverse experiences. Further, the Apple Vision Pro announcement earlier in 2023 has only led to increased excitement in both VR and AR possibilities.
Research and Markets report further delves into market trends and developments, such as the introduction of generative AI technologies, decentralization, and innovations in communication infrastructure, as pivotal tools in growing the metaverse. The report also addresses challenges facing the market, including cybersecurity threats and the high costs associated with installing and maintaining metaverse components.
In conclusion, the Research and Markets report provides a detailed and exciting overview of the prospects of the U.S. metaverse market, marking it as a rapidly evolving and highly influential sector in the digital economy.