The Metaverse has been hailed in the past decade as the future of the internet, a place that can bridge the boundaries of the real and the virtual and provide a new kind of entertainment, with opportunities to socialize, work, create, and play. But, due to recent setbacks, it seems that the days of the Metaverse may be numbered. It appears that business has abandoned the Metaverse, as suggested in a newly published article from Business Insider with the drooping title “RIP Metaverse, We Hardly Knew Ye.” In the article, Ed Zitron of PR noted that the Metaverse, once a ‘buzzy technology,’ had ‘died after being abandoned by the business world.’
Metaverse: Disappointment vs. Optimism
This was supported by the claim that Meta’s virtual reality (VR) platform Horizon Worlds had not lived up to its “grand promise” of becoming the future of the internet. Other platforms such as Decentraland and Yuga Labs’ Otherside also failed to enjoy success, and subsequently, investors turned their attention to the latest technology in AI.
However, Epic Games CEO Tim Sweeney did not appear to share in Zitron’s pessimism. He instead suggested there were 600 million users in virtual world platforms such as Fortnite, Minecraft, Roblox, The Sandbox and VR Chat, and jokingly proposed an online wake to mourn the death of the metaverse with those users.
Despite the seeming gloom, it appears some companies remain optimistic, evidenced in the recently announced $2 billion funding round from Epic Games to “accelerate” their plans for the Metaverse. This investment included a $1 billion investment from Sony Group and KIRKBI, the holding company behind the LEGO group, who formed a partnership with Epic Games to develop a “family-friendly” Metaverse.
The Sandbox COO Emphasizes the Need for Openness and Digital Ownership in the Metaverse
The Sandbox co-founder and Sandbox COO, Sebastien Borget, has also refused to accept the doom and gloom lambasted upon the Metaverse. In an interview with Decrypt, he proclaimed the need for the Metaverse to remain open, pointing out the closed-off virtual worlds of competitors such as Roblox and Fortnite.
Borget noted that The Sandbox, which launched in 2012, allows users to purchase digital real estate in the form of NFTs called LAND. He insisted that such purchases and creations should be able to move between platforms, and ownership should be retained.
“It is essential that users have true digital ownership of that content,” Borget said. “They are the true owners of their avatar, but also their wearables, their equipment, their land, their house, and the content they create and earn as they engage.” In a unique move, he also proposed that creators should be able to enjoy as much as 100% of the revenue generated from their content.
Keeping up in the competition
The Sandbox also announced plans to host their first virtual concert later this year. This, coupled with partnerships with the likes of Warner Music Group, puts The Sandbox in competition with other Metaverse providers such as Roblox and Decentraland, who have both held concerts of their own.
The downturn of venture capital within the tech industry and NFT royalty issues have served to be impediments of progress, however the builder communities within the web3 industry remain motivated and determined to innovate. To keep them going, Animoca Brands has launched a campaign for the open metaverse and is attempting to raise $1 billion for a new Metaverse fund.
Hope for the Metaverse: Companies Advocate for an Open Metaverse to Ensure its Survival
As the Metaverse mourns its doom, maybe it will eventually rise from the ashes and flourish once again. There is a silver lining to the cloud that shrouds the Metaverse, and with companies such as Epic Games and Animoca Brands at the vanguard of the campaign for an open Metaverse, it seems likely that the digitized realm will survive another day.
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