Top 7 Technologies That Power the Metaverse in 2023

Isn’t it mind-blowing how Sci-fi concepts such as Metaverse are becoming a reality because of technological advances?

Many of you might already know that Neal Stephenson’s science fiction novel “Snow Crash” introduced the metaverse concept to the world for the first time. Evolving at an unprecedented rate, metaverse technology has succeeded in developing an online environment after several years of research and billions of investments. What’s more breathtaking fact is that the metaverse market is expected to reach approximately $700 billion in the next 7 years, which is 14x the CAGR from 2022 to 2030!

The metaverse is the next step in human evolution, connecting people in a shared digital space. The needs of humanity will inevitably continue to evolve. The speed of these evolutions is accelerating, bringing with it more technologies and innovations that promote the growth and spread of the metaverse. As these technologies grow and mature, they will play a vital role in every aspect of our lives as one human race and species. To say the least, the core intent of the metaverse is to provide immense experience.

In this piece of content, you will lay your eyes on 7 top-notch technologies that power the metaverse and are revolutionizing the world. So hold onto your hats while we hurl through some nail-biting technologies.

Let’s jump in.

1. Artificial Intelligence

Love it or hate it, this umbrella term has occupied the entire It industry. Artificial intelligence plays a core role in establishing bots and chatbots and brings intelligence to computer vision in the real world. As per BCG, only 10% of the companies report significant benefits of artificial intelligence from their deployments. Processing capabilities of artificial intelligence can create metaverse avatars, improve digital human characteristics to make them more life-like, and can be applied to non-player characters (NPCs) that converse with players in gaming environments. Another crucial use of AI in the metaverse is to create metaverse avatars. AI engines can analyze 2D and 3D images to generate accurate and realistic-looking avatars.

2. Blockchain Technology

Blockchain technology develops the bedrock of the metaverse as the majority of the applications run on blockchains. Basically, this provides transparency and decentralization that is crucial for the functioning of the metaverse. Blockchain technology lets developers integrate several functions in the metaverse, such as interoperability, accessibility, digital collectability, governance, value transfer, and digital ownership verification. The tremendous disruptive forces of blockchain technology and artificial intelligence are now combining to create a platform for the future that changes the way people communicate and interact with one another across identity systems, everyday business operations, and even social politics.

3. Cryptocurrency

Cryptocurrency has become a hot asset, considering the massive rise of users investing in cryptocurrency and its value. As you know, cryptocurrencies purchase resources such as NFTs, digital real estate, and in-game purchases. Owning and using cryptocurrencies is becoming effortless since more platforms accept different cryptocurrencies irrespective of the type. These have massive value in the world of the metaverse. For example, you would have to convert your real-world currency to MANA if you want to purchase a plot of land on decentraland. It is similar for almost all the games and platforms on the metaverse. So you can effortlessly understand the significance that cryptocurrency holds in the metaverse.

4. Augmented Reality and Virtual Reality

AR/VR technologies empower major features of Metaverse as it has the potential to create endless possibilities for learning, gaming, and entertainment. According to BCG, such technologies transform how businesses visualize and utilize data by shifting from 2D to 3D for more realistic digital displays and experiences. Researchers claim that the international market of augmented reality (AR), virtual reality (VR), and mixed reality (MR) is expected to reach $252 billion by the year 2028. Furthermore, 1.1 billion people were actively using mobile AR devices in 2022. The number of users is predicted to reach 1.4 billion in 2023 and 1.7 billion in 2024.

5. Edge Computing and 5G

Usually utilized in commercial spaces, edge computing facilitates faster data transfer with fewer delays and helps enable smoother experiences. It is a preliminary factor that has allowed metaverse to be viable. Computers need to handle the intense stimulations efficiently to deter lag and ensure that the users have an immersive and uncontrolled gaming experience. The availability of 5G networks is also an important feature, usually combined with edge computing. The advent of 5G made itself available to users at affordable rates. As a result, more users can experience the metaverse from their desktops and other devices without facing any issues regarding network speed lag.

6. Hybrid and Distributed Cloud Environments

The acquisition of cloud computing makes complete sense, given that hosting 3D environments needs storage resources and significant computing. In addition, cloud computing companies such as Oracle Cloud, Azure, AWS, and Google Cloud Platforms may offer a more optimized cloud environment for the Metaverse based on how widely used Metaverse, and its offerings are. One of the significant challenges that Metaverse cloud providers usually face is ensuring that bandwidth restrictions and internet connectivity outrages do not harm users’ experiences.

7. 3D Modelling and Reconstruction

3D reconstruction captures the shape and appearance of real objects and plays a significant role in injecting reality into the metaverse world. The technology includes tools such as 3D modeling to offer a three-dimensional framework and prototype of a specific product or process. The data collected using 4K photography and 3D cameras are passed through computers, creating life-like stimulations for the metaverse. According to the SkyQuest Technology Consulting report, the international 3D reconstruction technology market is expected to double over the upcoming years to approximately $2 billion by 2028.

Buckle Up for an Uncertain Future!

Beyond a doubt, the swiftly evolving technologies discussed above play a pivotal role in making Metaverse a reality. Moreover, with the infinite possibilities and potentials Metaverse has, plenty of businesses can foresee its demand in the upcoming years.

According to the prediction by Gartner, intraverse technologies would be the most significant investment area in the next few years.

Gartner’s Resnick explained that,

“An Intraverse is how we perceive building internal virtual ecosystems for employee collaboration, communication, training, and onboarding. So that’s another way of saying we are making our own virtual office.”

In addition, Gartner predicts that by the year 2027, entirely virtual workspaces will reimagine the office experience and account for 30% of the enterprises’ investment growth in metaverse technologies. Also, brands are enthusiastic about buying virtual real estate on Metaverse servers to develop virtual showrooms.

Hence, the entire world will face burgeoning metaverse influence, resulting in more human dependence on technology for a stellar lifestyle.