The metaverse can be understood as a digital world that increasingly exists on an equal footing with the physical world and is merging more and more with it. A hybrid reality is emerging in which physical and virtual experiences merge into one another.

Key technologies that enable access to the metaverse are virtual reality (VR), augmented reality (AR) and mixed reality (MR). It will soon be possible to switch seamlessly between the physical and digital worlds – depending on the intended use and personal needs. Users will be able to choose whether they want to extend their reality digitally, immerse themselves completely in virtual worlds or remain in the physical world.

The more complex and interactive the tasks become, the more frequently digital supplements and immersive technologies are used. At the same time, technologies such as artificial intelligence (AI), the Internet of Things (IoT), 5G and, increasingly, 6G are significantly expanding the possibilities in the metaverse. They ensure smooth, intelligent networking and create personalized, dynamic experiences in real time.

The metaverse is already supplementing the physical world with open and exclusive virtual spaces. Users usually enter this new social reality via avatars that represent them individually. However, AI agents are increasingly taking on the role of independent avatars: They can represent users in the metaverse, complete tasks, hold conversations or design virtual experiences. Such intelligent avatars are developing into digital assistants and significantly expanding the possibilities for interaction.

New business models are emerging in this parallel digital world. Virtual images of objects, real estate, clothing or works of art – so-called “digital twins” – are developing their own dynamic by linking with real-time data. In the metaverse, people communicate, work, learn, store, celebrate, design and experience almost everything that is also known from the physical world – but independent of time and place.

This new reality makes it possible to overcome boundaries that exist in the physical world due to crises, pandemics, illnesses or social restrictions. Experiences in the metaverse are taking on new dimensions thanks to technical innovations such as high-resolution VR headsets, haptic suits, neural interfaces and fast cloud services. Millions of people are already experiencing this on platforms such as Fortnite, Roblox and Decentraland.

Currently, the metaverse is still often used via 2D interfaces such as computer screens, tablets or smartphones. However, immersive technologies are constantly driving the transition to real 3D experiences.

As society changes, new status symbols and investment opportunities are emerging in the metaverse. Digital luxury goods, such as virtual designer watches or items of clothing, are increasingly being presented as an expression of prestige on platforms such as Instagram or in metaverse environments. Investments in virtual real estate, music projects, fashion items and works of art are made possible by cryptocurrencies and NFTs (non-fungible tokens). Millions have already been transacted here in 2021 and growth is continuing.

Business leaders such as Jensen Huang, CEO of Nvidia, expressed the expectation early on that the metaverse could create its own, larger economy than the current global economy, which recently passed the 100 trillion US dollar mark. The metaverse will transform every sector – from education and entertainment to industry and medicine – in the coming years.

The future of the metaverse is hybrid, intelligent and globally networked. A new reality is emerging that is fundamentally changing the way we live, learn, work and experience life.

In order to shape the potential of the metaverse responsibly and in line with European values, the Metaverse Europe Foundation is committed to the development of an ethically sound digital space. The focus is on eleven central core topics that form the basis for a sustainable and fair digital future.