Do not feel left out if you haven’t yet heard about Metaverse and found out its meaning. For some days now, it has been the buzz of the town. Mostly since Mark Zuckerberg changed Facebook’s name to Meta, he announced this with a commitment to creating an immersive virtual realm that kindles the world’s physical plane. But, how does that change the reality of virtual video games? Well, we will be discussing that in this article. Video games are no more confined to consoles, PCs, and smartphones. It is a full-fledged industry and is expanding with every second.
The concept of Metaverse includes building a virtual environment where we work, play, and live. This current trend made some stocks grow. It is even estimated that the metaverse market will rise higher in the next five years. So, if you are thinking of investing in metaverse stocks, this might be the right time. In this article, you will get to know the metaverse stocks that you should invest in. But, before that, you should understand the depths of the Metaverse.
What Is Metaverse?
The roots of metaverse trace back to “Ready Player One” and “Snow Crash”, the two science-fiction novels. But, it is not limited to fiction anymore. Metaverse is a complete paradise for those who are into the virtual and digital world. Even though it is yet to take its proper form, we are very far from it. Metaverse can be casually defined as a widespread online world. People can interact here via their digital avatars. Facebook has committed to developing the service and hardware for a better metaverse experience.
Think how amazing it would be if you could watch a match from any angle. Metaverse can make this possible. You might have experience metaverse unknowingly. Virtual concerts and events have already been hosted with extensive experience. But it doesn’t stop there. You will be able to go shopping, participate in meetings, attend school, organize personal events, etc. You will be able to enter the world of Metaverse via smartphones and PCs. If you add virtual-reality headsets, you will witness an even more immersive experience. Companies including Meta, Microsoft, and Snap Inc. have introduced augmented reality glasses and virtual-reality headsets for businesses and consumers. There is still time for Metaverse to take its complete form as it is pretty costly. However, experts think that Metaverse will enter via video games. This is only because the platforms are entirely developed already.
How Metaverse Involves Gaming? Why Should You Invest?
Not just Tech Giants but Video Game companies too are starting to build their metaverse platform. These platforms include different elements. Metaverse is said to come in via video games. Roblox and Epic Games have already organized multiple virtual events. Once the virtual reality environment is fully incorporated with games, video games will attract more players. Pointless to say that it will increase the playability and features of the games tremendously.
Metaverse is a trending topic, and investors are looking forward to getting a share of this trend. You can strike gold if you choose to invest in the right metaverse stocks. Metaverse will be a full-fledged industry in a few years, and you could benefit from that.
Metaverse Stocks That Are Perfect for Investing
Meta Platform, aka Facebook, is already investing billions for the development of this augmented world. But that is not it. Multiple other companies are doing the same. The best part is that you can purchase their stocks and get rich in a few years. So if you are wondering which metaverse stocks to invest in, you have come to the ideal place. Let’s get to know the perfect metaverse stocks to invest in.
Video games are well-equipped with the concept of blending in virtual and physical worlds. However, this indeed takes the game to some other level. Hence, it will not be difficult for these companies to incorporate Metaverse in business applications. From holding the meeting virtually to letting co-workers collaborate from different parts of the globe.
It is impossible to never hear of the name Tencent. Video games are not their only business but social media as well. Tencent is the largest video game distributor in China. They even own Epic Games, a video game studio, and Unreal, a game engine platform. Tencent is also the parent company of WeChat.
They have the newest development known as “the industrial internet,” which involves cloud-based enterprise applications. Consider this a stepping stone to enter Metaverse. WeCom, Tencent Documents, and Tencent Meeting are not yet monetized, but the business service of Tencent still grew by 30% year after year.
Tencent has revealed three proprietary semiconductor designs that include networking, AI, and video transcoding. In addition, it is one of the leading companies in China to use metaverse cases multiple times.
Anyone who plays video games must be pretty familiar with Unity Software. Most of the video games are played via Unity Software’s platform. It is one of the giant firms to help game designers build the 3D world. Around 71% of the famous video games were made using Unity. Another 50% of all video games were made by using Utility’s code.
Unity has currently designed the framework for the whole Metaverse. But it doesn’t end there. They even democratized it for the public. They have already helped developers build a world. Utility Softwares are famous for running, creating, and monetizing 3D content. But, its contribution is far beyond that. Unity has consumers in education, manufacturing, engineering, sports, and much more.
Unity has a vast range of options open to expand in the Metaverse. Unlimited content can be made by using this platform once Metaverse takes its pure form. The platform has already invested billions of dollars in the development of computing. Hence, you can say that the digital world is here.
Investors around the world are incredibly excited about Unity Software’s take on Metaverse. As a result, the stock of Utility is of quite some value. If you are willing to invest in the development of virtual-world Utility can be a great choice.
Roblox has an edge when it comes to companies getting into the Metaverse. It has already organized an Ariana Grande concert and Gucci’s 100th anniversary virtually. In addition, Roblox helps in building, exploring, and creating the 3D world and video games. Time included Roblox in the inaugural list of Time100 Most Influential Companies.
Roblox is indeed making some considerable changes in the world. From letting artists host virtual concerts to listening parties, Roblox has helped them all. Moreover, Roblox is not very far from allowing its users to work and play on its platforms.
It is one of those companies that thrived even during the pandemic. The revenues increased by 102%, and the bookings increased 28% of Roblox. Even though the net loss increased by 525, they still raised their free cash flow by 7%. This was mainly because the existing players were devoted to gaming.
Roblox has even attracted more developers and created a promising cycle. In 2020, Roblox generated a revenue of $924 million. However, the market opportunity was $600 billion in the same year.
It has a metaverse wrapped in itself. Whoever is looking forward to investing in an experienced company must go for Roblox.
Nvidia has hardly disappointed its shareholders in previous years. However, when it comes to Nvidia, nothing comes as close to its stocks. They have a share of 83% in the desktop GPU market. From calculating complex mathematical expressions in a blink of an eye to rendering lifelike pictures, Nvidia GPUs master it all.
Not just that, Nvidia even offers state-of-the-art technology for self-driving cars. In addition, their GPUs are famous for building unique Artificial Intelligence systems. Transferring data in cloud computing systems and data centres are also a field they excel in.
Needless to say that all of this has contributed to Nvidia’s ever-growing stocks. Their stocks have increased more than 130% in the past 12 years. This helped them in bringing 88005 gain in the past ten years.
As the Metaverse starts to become a reality of tomorrow, Nvidia continues to grow. The GPUs of Nvidia have some features necessary to sprinkle life to Metaverse. The technology used to produce real games can be used in the digital realm for the same reasons.
Metaverse or not, Nvidia is always an outstanding stock to invest in. Nvidia has the responsibility to power up the Metaverse. The total addressable market of Nvidia is estimated to be $250 billion by 2023.
The stepping-in of Satya Nadella as the CEO of Microsoft did change the world for the company. The new CEO must be praised for what he has done. It was his vision that helped the reputed firm to upgrade from PC to cloud computing. Investors believe that he has the potential to work the same with Metaverse.
At a recent event, Nadella revealed a new suite of the Metaverse. Along with this, he even unveiled the virtual products designed to upgrade its popular tools. This will allow users to create AI avatars for meetings, virtual workrooms, and other events.
The best part about Microsoft introducing Metaverse to the mass is they can do it in a non-corporate way. They can do so via their modern Xbox gaming console. People have bought over 8 million NextGen consoles. All of these people will have access to Metaverse via their Xbox.
Microsoft is in a position of a leader in the cloud as well as productivity software. They know how to make metaverse work for innovativeness. Moreover, they have an edge with huge sales of the Xbox. Thus, feel free to invest in the stocks of Microsoft.
If you are looking forward to investing in the next big thing or the future, you must invest in the Metaverse. Once it is fully developed, it will change the world of social interaction. Hence, you can imagine how huge it is going to get. Thus, companies are doing their best to have successful versions of the Metaverse. Some have already thrived at it. This will surely take years, but that does not mean you will idly wait for it. You can go on and have your bit invested in the future. Invest in the mentioned stocks, and you will surely see some profit in no time.