Metaverse Arrives in India: What You Need to Know

A production company, Pooja Entertainment, recently announced it acquired a piece of ‘virtual land’.

This piece of virtual real estate is part of what is known as the ‘Metaverse’.

The metaverse is one of the most buzzing topics in the news these days. Ever since Facebook’s boss Mark Zuckerberg announced Facebook’s new name – Meta – the ‘Metaverse’ has become a buzzword.

It seems to be a new and exciting thing.

But what is it exactly? And can you make money investing in this theme?

That’s what we will cover in this article.

First things first…

What is the Metaverse?

Here’s the short and simple answer.

The metaverse is an extension of our real world into the digital realm. It’s a space where you can do everything you do in this real world, on the internet.

And.. many more things that would not be possible in the real world.

But how?

The metaverse is a virtual 3D world…with a difference. Instead of just looking at a screen, you can literally go inside it.

Think of it as an extension of the internet. A 3D virtual internet that you can enter and interact with.

What’s in the Metaverse?

Well, that’s where things get interesting. You see, the list of things possibilities in the metaverse keeps growing all the time.

You can work, shop, meet, play games, socialise, and much more. The sky is the limit for this futuristic technology. Software developers all around the world are already pushing the boundaries of what is possible.

How can You Access the Metaverse?

You can enter the metaverse via your virtual ‘avatar’. The technology behind this is called Augmented Reality (AR) and Virtual Reality (VR).

With the help of AR and a headset, you will be able to – in the near future – enter the metaverse. Your avatar can interact with the elements in the metaverse just like you do in the real world.

VR is the virtual environment your avatar will enter. It’s what makes up the metaverse environment.

The metaverse integrates AR and VR to create a new digital universe. This universe can be filled up with an unlimited number of experiences.

How Big is the Metaverse?

As per an industry report, India’s augmented reality (AR) and virtual reality (VR) market was worth ₹135 bn in FY20. With a projected annual growth of 38%, it grow to 10 times in size by 2027.

Worldwide, spending on AR and VR, is forecast to reach US$160 bn by 2023, from the US$16.8 bn forecast for 2019. So it’s no wonder companies are pumping in huge sums in this latest tech trend.

So What Kind of Things can we do in the Metaverse?

The whole point of the Metaverse is to enhance our physical lives… not replace it.

We order all kinds of things online today. In the future metaverse, we will walk virtual streets to check out offers in real time.

We can try on clothes, shoes and accessories, attend concerts, take courses, play games, and of course, shop.

You can also invest.

Yes, that’s right. The metaverse will have crypto currencies enabling transactions. If you wish to own a piece of the metaverse, you can.

Metaverse Examples

On Republic Day, singer Daler Mehndi became India’s first artist to host a concert on the metaverse – a platform called PartyNite.

Last week, he bought virtual land in the metaverse. He calls it ‘Balle Balle Land’ and will use it to host a Daler Mehndi store. This virtual store will sell his merchandise as NFTs. He also plans to host concerts on this virtual property.

It won’t be long before other celebrities jump on the bandwagon.

Many companies and celebrities in the western world are buying up pieces of virtual land in the metaverse. Then they break them up into smaller pieces and sell it as Non-Fungible Tokens (NFTs).

In the US, rap star Snoop Dogg purchased virtual land in the metaverse (called Sandbox). He uses it to give fans an exclusive look into his personal life. One fan paid an astonishing US$ 450,000 just to become his neighbour in the metaverse.

In a celebrity crazy nation like India, the metaverse is all set to explode. Many brands will soon jump on the bandwagon.

And it’s not just celebrities. Companies with deep pockets are entering the fray.

On Valentine’s Day, Mondelez (Cadbury) created a virtual environment for couples to give them the experience of walking on the moon.

All this seems exciting. But how will these companies execute their plans?

Indian Companies Working on the Metaverse

The most prominent Indian firms are of course in the IT sector.

They will create the systems and digital infrastructure to enable other companies profit of the Metaverse.

Let’s look at both the IT and non-IT Indian firms that have big plans for the metaverse.

Non-IT first…

# Reliance Industries

Last year Reliance Jio announced smart glasses called Jio Glass.

Jio Glass is designed for teachers and students to enable 3D virtual rooms and conduct holographic classes via the Jio Mixed Reality service in real-time. They can also be used for virtual meetings.

It will use a combination of AR and VR to make video conferencing better. To improve its AR and VR services, Jio has partnered with a startup Tesseract.

Reliance Jio invested US$15 m in Two Platforms Inc (TWO), a Silicon Valley startup for a 25% equity stake.

Founded in July 2021 by Pranav Mistry, a pioneer in the field of AR/VR, artificial intelligence (AI) and robotics, Two Platforms is an AR startup that builds interactive and visual AI experiences. The startup enables real-time AI voice and video calls, digital humans, immersive spaces, and lifelike gaming.

# Nazara Technologies

Nazara Technologies has invested in VR gaming firm InstaSportz which is engaged in the business of running sports and VR entertainment zones in India and abroad.

The gaming company also has a stake in Nodwin, an Indian e-sports firm, which is partnering with other firms for more immersive experiences.

In 2021, Nodwin gaming acquired the gaming and adjacent IP (intellectual property) business of OML Entertainment, a media and entertainment company.

Nazara also has a stake in Next Wave Multimedia, a firm with plans to launch non-fungible tokens (NFT).

Last year in August, it also acquired Hyderabad-based OpenPlay for ₹1.9 bn. OpenPlay will offer tech platforms for Nazara to build a network of skill gaming destinations operating on a common platform.

# Hindustan Media Ventures (HMVL)

HMVL has invested in WURKR, a UK and India-based SaaS platform. This platform enables teams to work together from anywhere in an immersive virtual workspace.

We all know that the work from home trend is here to stay. We have video calling and screen sharing applications like Teams, etc, but the experience is limited to calls, texts, and screen sharing.

WURKR increases the online experience by creating a virtual office space. Employees can co-work, interact, visit rooms, and move from one place to another with their colleagues just like in a brick-and-mortar office.

WURKR’s virtual workplace management platform replicates a physical office environment in the cloud, backed by video technology.

# Triveni Engineering & Industries

This sugar company has taken the indirect way and invested in a gaming startup JetSynthesys.

JetSynthesys has a catalogue of over 300 games across HTML, Java, Android, and iOS platforms spanning multiple segments. JetSynthesys is also the co-founder of e-sports company, Nodwin Gaming, in which Nazara has stake.

Under its arm, JetSynthesys has Wakau Interactive, a social media platform. Wakau offers a combination of mobile-first screen experience and short video content in entertainment and fashion domains with a video commerce element.

Now let’s look at the Indian IT firms powering the metaverse revolution.

Many Indian IT firms have launched their metaverse projects. They want to create capacity and expertise before this trend explodes.

These companies can provide end-to-end services creating avatars to developing the entire metaverse environment.

Which companies are leading the charge and investing heavily in the metaverse?

# Infosys

Infosys recently announced its metaverse foundry. The company aims to create platforms to that will enable companies across various industries create their own customised virtual environments.

# TCS

India’s largest software services firm has begun work on metaverse development. The company is reportedly working on creating a virtual workspace environment for its employees.

# HCL Technologies

HCL Tech has taken on the challenge of the metaverse quite seriously. The company has begun providing services on metaverse development to companies across industries.

# Tech Mahindra

Tech Mahindra has rolled out ambitious plans to build world-class metaverse solutions for its customers across industries. The company has begun developing capabilities for the same.

# Zensar Technologies

The company has announced plans to provide metaverse solutions to it customers. The IT firm has a team to provide tools and services to help companies create and improve virtual experiences. It has identified the metaverse as one of its five growth areas.

# L&T Technology Services

Just last week, L&T Tech announced its entry into the metaverse. It will set up a centre of excellence and a new business unit dedicated to making the company a leader in this space in the coming years.

In Conclusion

The future is bright for the metaverse. Business will boom for companies that build virtual worlds and integrate online experiences.

Don’t be surprised if more companies tap into this red hot theme in the months and years to come.

We will keep a close watch on this space for you.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such.

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