If a year is a long time in technology, then two years is practically a lifetime. In late 2021, the metaverse was a hot topic, but two years later, it has faded from the spotlight, with few people talking about it aside from Mark Zuckerberg. So, what caused this shift in interest?
One major issue is hype. It’s difficult to live up to the enormous excitement that surrounds a new technology, as seen with blockchain. Additionally, the metaverse is following the typical pattern of over-hyped technologies, according to Gartner Director Analyst Samantha Searle. She explains that the metaverse captured people’s imagination, but the search for proven use cases that generate value continues.
The rise of generative AI is another factor contributing to the decline in interest in the metaverse. OpenAI’s ChatGPT and similar generative AI tools quickly gained attention in 2022, overshadowing virtual worlds. The ease of use and widespread accessibility of generative AI have made it a hit among users, including children. This democratization sets it apart from previously hyped technologies like blockchain. However, concerns about ethics, plagiarism, and hallucinations must be addressed.
Despite its decline in popularity, Searle and others still see potential use cases for the metaverse, particularly in delivering customer services in the financial services sector. However, Cynthia Stoddard, CIO at Adobe, notes that finding the right use case for the metaverse remains a challenge for her company.
On the other hand, the interest in the metaverse from businesses is gaining traction, with organizations like Heineken investigating virtual worlds for opportunities to interact with customers in new ways. Lalo Luna, global head of strategy and insights at Heineken, predicts the growing significance of virtual worlds in the coming decade and emphasizes the company’s eager and experimental approach to technology.
While the metaverse faces challenges in gaining widespread adoption, there is still hope for its potential to transform the way businesses engage with customers. Meanwhile, generative AI continues to capture imaginations with its ease of use and accessibility, raising concerns about its ethical implications.
